Overview of Steemit Platform
Steemit is a decentralized social media platform where content creators are rewarded for posting valuable and appealing content. This really tickled my fancy because I have been on social media for a very long time, and God knows I have never been paid a dime for my valuable content contributions to issues. Let’s dive in and take a closer look…
One of the popular options available to bloggers and content creators to monetize their works is through advertising – you either need to have ads displayed on your video or website, or add some affiliate links. The challenge with this system is that there is usually no direct link between the number of adverts and the quality of content. Additionally, like with Google AdSense, these centralized platforms can wake up any day and decide to terminate your earning stream.
To put this into perspective, I have been on both sides of the divide – a blogger, and a member of the audience. As a blogger, despite the fact that I created quality content, I needed to be paid adequately for my time. Not many bloggers get this opportunity (and it doesn’t happen overnight too). As a consumer of information, it is rather irritating clicking on a link to an article and seeing a pop up just seconds into my read. Chances are that I’ll close that tab immediately.
This is primarily what goes on every day in the advertising space; content creators want to get paid and users don’t want ads encroaching into their space.
Steemit provides a decentralized way to monetize content for content creators and curators. Those who provide quality content and add value to the Steemit ecosystem get rewarded for their efforts. It’s a total win-win for both creators and consumers. Creators have a way of monetizing their content without shoving it down the throats of readers, and consumers get to enjoy reading quality-rich articles.
I guess at this point, you may be wondering where the money is coming from. Who is going to be paying who? And this is where it gets quite interesting.
The network is self-funded. According to Steemit:
“The Steem network continually creates new digital tokens to reward content creators and curators. Some of the newly-created tokens are transferred to users who add value to Steem by posting, commenting, and voting on other people’s posts. The remainder is distributed to holders of Steem Power and the witnesses that power the blockchain.”
With this in mind, the sad truth is that such a revenue model. With no revenue source, Steemit has to continually create new tokens to reward users. As they create more and more Steem, the cryptocurrency will lose some of its value to inflation.