Steem and Steemit: Review, History, Rates and Perspectives

steem cryptocurrency

Virtual currency market has a number of interesting coins, which means The Coin Shark will continue to talk about cryptocurrency projects that managed to attract attention of many users and are worth mentioning. Today we have – Steem, a reward blockchain platform and Steemit social network that enables its users to earn virtual coins.

Contents:
(please click the topic to scroll down to it)

  1. What is Steem
  2. The ecosystem of Steem platform
  3. History of Steem cryptocurrency project
  4. How to make money on Steemit
  5. Steem cryptocurrency exchange rate
  6. Forecasts

1. What is Steem?

Steem is a blockchain platform for monetizing user content. Steemit, a social network focused on creating and sharing users content on various topics, operates on Steem blockchain. It is similar to the platforms you’ve definitely heard about – Medium and Reddit. However, the main difference between Steemit and its market mates is content monetization. In other words, each user receives a certain number of cryptocurrency for the publication of a certain material, depending on how this material is valued by the community. The more posts, likes, comments users make – the more coins users get. It is supposed to encourage users to make good quality, interesting and useful works, as nobody actually expects to recieve a lot of likes, if he or she simply rewrites a Wikipedia article. So, content authors and curators  receive daily rewards based on the community voting. According to the information on the official website of the project, Steem has already paid more than $40 million to its users, and there’re almost one million accounts in Steemit social network itself. One and a half million publications are made each month.

The main language of the platform is English, but you may also find articles written in other common languages, such as Russian, German or Spanish.

2. The ecosystem of Steem platform

There are several virtual currencies operating on Steem. They form a single ecosystem of the project. STEEM is a basic coin of tge Steemit social network. However, in order to be able to vote on the platform, users need to convert STEEM to Steem Power. The more Steem Power a user has, the more important is their vote for a content. Those users who have a lot of Steem Power receive more than 90% of new STEEM coins issued, which, in fact, encourages Steem community members to invest the assets back into the platform by converting their STEEM to Steem Power.

There is also a coin called Steem Dollar. Its rate is 1:1 equivalent to the US dollar. According to the Whitepaper of the project, Steem Dollar confirms the community’s debt obligation to a holder, so a holder, in fact, lends money to the project for its development. Steem Dollar is actually very similar to stocks.

3. History of Steem cryptocurrency project

The startup was created in New York in 2016 by Ned Scott and Daniel Larimer. Larimer is a well-known figure in the world of IT and virtual currencies. In 2014 he developed a cryptocurrency exchange platform called BitShares, in 2016 he co-founded Steemit, and later joined a sensational project EOS. In addition, he is also the developer of the Delegated Proof-of-Stake (DPoS) consensus algorithm.

4. How to make money on Steemit

Every user of Steemit social network can receive a reward in Steem coins. The main thing is to post interesting and useful content that other users will appreciate with sufficient number of likes and votes. As we have already said, not only posts, but also comments, as well as other activities are taken into account.

Users vote, thereby forming a rating of content and determining how much reward the author will receive.

Steem coins are traded on the major cryptocurrency exchanges, like Bittrex, HitBTC, Upbit, Poloniex, Huobi, Binance, OpenLedger, RuDEX and GOPAX, where users can exchange them for fiat money (US dollar and South Korean won), and for other virtual currencies, such as Bitcoin, Ethereum, Tether, etc.

5. Steem cryptocurrency exchange rate

Currently (June, 2018), one Steem costs around $ 1.67, and project’s market capitalization exceedes $ 400 million. That allowes Steem to be the world’s 33 cryptocurrency buy market cap.

The first time the rate increased significantly was in the summer of 2016, when Steem reached a price of almost 4.5 dollars. However, then the rate fell, and did not exceed one dollar for almost a year. Once it was even as low as 9 cents. In summer, 2017, Steem rate increased again, this time to $ 2, and by the end of the year, together with most of other cryptocurrencies, Steem managed to set its all-time record having reached 6, 6.5 and finally 7.2 dollars.

6. Forecasts

Steem is a fairly young project, and so far only Steemit social network functions on its platform. Considering the fact that Daniel Larimer stands behind its creation, one can assume that the project will continue to develop, improve its technical base and attract new users. However, on the other hand, Daniel is already engaged in other projects, in particular EOS. The popularity of Steem platform will be a very important point of the project’s development – whether third-party companies and developers will use Steem blockchain to launch their own social networks with monetization mechanisms, already applied in Steemit.

Steem provides very high transaction speed, better than Bitcoin or Ethereum and, what is also important, has no commission fees. The platform provides tools for launching and running blockchain business, in particular, users can issue their own digital currency. Steem’s special way to distribute cryptocurrency was called “Proof-of-Brain” consensus algorithm. In fact, users can earn virtual currency without any special IT-skills, any mining or trading involvement. Anyone who can create interesting and useful content can receive a reward.

However, Steem has its drawbacks. There are no technical restrictions for users who have the largest number of Steem Power (and, therefore, the most “important” votes), against voting for their own content, no matter how good or bad it may be. Steem has less than a million users, comparing, for example with Facebook, that has hundreds of millions. But it is probably too early to say what is going to happen with Steem in the long term and whether it manage to increase the number of users of Steemit social network and attract other developers to use Steem blockchain platform. First steps have already been made and appeared to be successfull, but it is still difficult to say what will happen in a few years or more.

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Cryptocurrency Prices Today, February 15: Cryptocurrencies “Stand Still”

Bitcoin, Ethereum, Ripple, Bitcoin Cash, EOS, Litecoin, Cardano, Stellar, IOTA, Dash, Monero: Cryptocurrency prices

According to the online platform Coingecko, Bitcoin (BTC) remained stable over the past 24 hours. The price at the time of writing is $3604 per coin.

For the most part, cryptocurrencies did not change in price throughout the day:

Bitcoin Cash lost 0.99% over the past 24 hours and costs $121 per coin;

Ripple dropped by 0.03 and costs $0.30;

EOS added 2.3%, and its price is $2.85;

Litecoin grew by 0.18%, and its value is $42;

Cardano gained 0.27%, and its cost is $0.040;

Stellar added 2.66% and costs $0.078;

IOTA grew by 0.87%, and its cost is $0.27;

Dash lost 0.6, and its price is $79;

Monero fell by 0.06% and costs $47.

Over the past 24 hours, Ethereum remained stable. The exchange rate of the coin is $122.

The total market capitalization is $120 billion. Bitcoin accounts for 52.7% of the total volume. In monetary terms, it is $63 billion.

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Japanese Giant GMO Internet Lost ¥1.3 Billion in 2018: Report

One of the biggest Internet companies in the world, Japan-based GMO Internet Inc., posted a report on its financial performance. An operating loss accounts for ¥1.3 billion (~$11.75 million) in 2018.

GMO’s mining business

According to the report, mining business fared very poorly in 2018 which resulted in great losses. The company explained that the business did not increase as expected due to the collapse of cryptocurrency market in Q4. The report provides  the table where we can see the real revenue and real loss of the company. The data provided below does not include “extraordinary losses” of approximately $319.2 million.

Source: GMO Fiscal Report 2018

Alongside, Internet giant announced that it would implement a policy change regarding to their mining business model. The company will sell its bitcoin mining assets at cheaper rates to compensate for a portion of its annual losses.

Moreover, GMO plans to relocate mining centers to the regions where power supply is cheaper. The centers allegedly will be somewhere in Northern Europe.

GMO’s Bitcoin exchange

Source: GMO Fiscal Report 2018

According to the report, the company’s quarter-revenue has fallen by 66.7%, even though the company annually posts about its 7% profit from its crypto exchange GMOCoin.

In 2018, GMOCoin recorded a net sales of ¥4.02 billion (~$36.33 million). In Q1, crypto exchange has lost about ¥76 million, yet, high sales of next quarters compensated them. The fall of cryptocurrency market has also played a significant role in GMO’s revenues. Each phase ended on a lower note than a previous one in terms of sales, while the profits remained marginal.

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Cryptocurrency Prices Today, February 14: Cryptocurrency Did Not Catch The Romantic Atmosphere And Began To Fall In Price

Bitcoin, Ethereum, Ripple, Bitcoin Cash, EOS, Litecoin, Cardano, Stellar, IOTA, Dash, Monero: Cryptocurrency Rate

According to the Coingecko online platform, Bitcoin (BTC) lost 0.35% over the past 24 hours after a period of growth. The price at the time of writing is $3607 per coin.

Cryptocurrencies have returned to the red zone:

Bitcoin Cash lost 0.6% over the past 24 hours and costs $121 per coin;

Ripple fell by 1% and costs $0.30;

EOS decreased by 4.1% and its price is $2.78;

Litecoin dropped by 3.2% and its value is $41;

Cardano lost 2.5% and its cost is $0.040;

Stellar fell by 1.1% and costs $0.076;

IOTA decreased by 1.6% and its value is $0.26;

Dash lost 1.9% and its price is $78;

Monero dropped by 2.5% and costs $47.

Over the past 24 hours, Ethereum has lost 0.7%. The rate of the coin is $122.

The total market capitalization fell to $120 billion. Bitcoin accounts for 52.5% of the total. In monetary terms, it is $63 billion.

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The Most Dangerous Crypto Crimes: What About SIM Swappers?

Cyber attack and crypto crimes in every shape and form are quite abundant on the market of digital assets right now. They all have different goals and different levels of harm. The careful and thorough analysis of such attacks will make it possible to predict them and protect sites, platforms and companies from breaches and money losses.

However, there is a weird tendency going on among the analytical reports, which we will try to explain down below.

Two major cyber security companies Chainalysis and CipherTrace released their analytical statements at the end of last year. Both reports contained statistics on hacker attacks and crypto crimes and an outline of current trends.

The main focus of CipherTrace was different money laundering techniques, cryptocurrencies that are the easiest targets for crypto criminals that choose this path, AML regulations and other related info.

Whereas Chainalysis told its readers on the scale and profitability of such Ethereum scams as phishing and various Ponzi schemes.

Surprisingly, there seems to be nothing about the infamous SIM-swapping.

Just to remind you, SIM-swapping is a kind of a cyber attack aimed at money theft. Simply speaking, a hacker convinces the phone provider to “swap” the number of a victim to a new device. In such way, criminals get full access to the personal information of their victims, still their identity, and later money.

SIM-swapping scams have been involved in multiple scandals with the biggest cell-phone providers of America, the crimes involving this technique resulted in huge money thefts and loud arrests of witty hackers, yet very few reports actually mention it.

However, this still does not diminish the dominance of SIM-swapping over many other types of crypto crimes. In order to fight it, we not only need more coverage from the mass media and analytical firms, but also the cooperation from the cell phone companies to protect the users, their info and their money.

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How To Read Trading Charts

Cryptocurrency exchanges work on the same principle as traditional exchanges. Potentially, it is possible to earn very good money on these platforms, but for this, it is needed to be able to correctly read the cryptocurrency coin chart. Of course, in order to become a professional trader, it needs to learn and practice a lot, but if your goal is to understand the basics, this article will be an excellent starting point in the exciting world of trading for you.

There are a huge variety of different charts, but the most common is the “Candlestick chart”. The chart is a much more informative tool than digital or text analysis. Using graphics, it is possible to quickly navigate and understand the current mood of the crowd, as well as the balance of power between sellers and buyers of a particular asset. Based on the obtained data, it is possible to calculate the potential profitability or unprofitability of a particular deal.

1. The main types of stock charts

As it was mentioned above, there are a huge number of different types of charts, but the main ones are lines, bars, and candlesticks. All of these tools (with the exception of the line charts) can tell about:

  • price at the beginning of the selected period (1 minute, 5 minutes, 15 minutes, 1 hour, 1 day, 1 week, etc.);
  • price at the end of the selected period;
  • the minimum and maximum rate of the selected period.

By and large, the crypto chart clearly shows the history of the struggle between bulls and bears. In the process of this confrontation, a large number of deals are made. It should be understood that even a slight fluctuation of the price means that some have already earned on it, while others, on the contrary, have suffered losses.

2. “Candlestick chart”

Let’s take a closer look at the most common version of charts, namely “Candlestick chart”. It was invented almost 400 years ago by a rice seller from the country of the Rising Sun. The process of observing a line chart is not entirely convenient; for this reason, the construction of “Candlestick chart” is based on the principle of dividing the total time into specific periods. This principle helps to quickly navigate what is happening on the market and, accordingly, to give the Bitcoin trend prediction or any other financial asset forecast.

3. How to read the chart “Candlestick chart”?

One candle represents the range of prices for an asset for a certain period of time. The boundaries of the candle are the lowest and highest asset price in this period of time. If the candle`s color is green, this means that the asset has increased in value over a given period of time; if it is red, then, on the contrary, it has fallen.

Source: https://www.tradingview.com/

If you look closely at the above chart, you will notice:

  • the candle corresponds to the time interval – 60 minutes;
  • the minimum asset price was $3485,24;
  • the maximum asset price was $3733.58;
  • This hour began with a price of $3506,42 and ended with the price of $3687 (for this reason, the candle is green).

The main parameters that should be paid attention to when reading cryptocurrency charts are:

  • asset price;
  • time;
  • trading volume.

By and large, the entire analysis of charts is an ordinary calculation of the balance between supply and demand. It is possible to estimate the level of the strength of bulls or bears through the asset price (vertical axis) and the volume of transactions (horizontal axis). These skills allow experienced traders to take the right position in advance and earn money on any price movement.

4. Conclusion

In this article, we talked about how to read cryptocurrency charts. As it was mentioned above, there are a huge number of different types of charts, but the most popular and often used is the option “Candlestick chart”. The basic principle of this type of charts is to divide the time into certain periods. It is quite informative and easy to read. If you want to start trading, then you definitely need to get a deeper understanding of this topic.

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Bitcoin Trading in Venezuela Hit All-Time High: The Possible Future of Bitcoin

According to the report of TrustNode, Bitcoin volumes have surpassed all time high in Venezuela, rising above 2,000 BTC for the first time on peer-to-peer exchange LocalBitcoins.

Bitcoin is the only way to feed family in Venezuela

You may have heard that Venezuela has been experiencing economic crisis as the national currency – the Venezuelan bolivar – has collapsed and become valueless.

The citizens suffer from a lack of basic supplies, including products, medicines, etc. The supermarket shelves are bare. Children are fainting from hunger in their classrooms. The situation changed even worse when the government of Nicolas Maduro blocked U.S. humanitarian aid from coming into the country through the Columbian border.  

The administration of the opposition leader Juan Guaidó remain optimistic, they are convinced that they are able to pass the aid to the people. However, the Venezuelans do not trust anyone anymore, and the only hope left is Bitcoin. People started mining Bitcoin to convert it into dollars to purchase foods and other necessities.

All-time high of the Bitcoin trading

As the 2019 Venezuelan protests caused by presidential crisis are in full swing, people started to trade Bitcoin at full. That is why, the weekly volume of the BTC-to-Venezuelan bolivar (VES) pair increased to 2,454 BTC. It is worth $8.95 million per week and $1.29 million per day.

Bitcoin Future in Venezuela

Tuesday is going to be a big day for Venezuela, according to the Washington Examiner, on Tuesday, February 12, the Venezuelan people plan to demand Maduro’s resignation on the streets all over the country, and try to bring U.S. aid across the Colombian border. Nicolas Maduro has ordered his military to stop them. So the future of Bitcoin depends on who will win.

If Nicolas Maduro remains to be the President of Venezuela, then Petro coins will have more power than Bitcoin. However, if the opposition leader Juan Guaidó overthrows the current government, then Bitcoin will definitely have future in Venezuela as Juan Guaidó gives preference to Bitcoin over Petro.

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