Steem is a blockchain database that rewards social participation and community building with bitcoin. Steem mixes social media principles with insights learned from the development of cryptocurrencies and their communities. A fair accounting system that consistently represents each person’s contribution is a vital key to stimulating involvement in any society, currency, or free-market economy. Steem is the first cryptocurrency to aim to reward an infinite number of individuals who make subjective contributions to the community in an accurate and transparent manner.

Steem was built from the bottom up to overcome the key challenges to social media-based economy adoption and monetization. Steem’s objective is to develop an algorithm for evaluating individual contributions that the majority of community members believe is a fair estimate of the subjective merit of each contribution. In an ideal world, community members would work together to assess each other’s contributions and determine appropriate pay. In the actual world, algorithms must be built to be resistant to purposeful manipulation for profit. Any widespread misuse of the scoring system may lead community members to lose trust in the economic system’s apparent fairness.

STEEM Native Token

STEEM, a cryptocurrency token, is the primary unit of account on the Steem platform. Steem runs on the one-STEEM, one-vote principle. Individuals who have given the most to the platform, as indicated by their account balance, have the most impact on how contributions are assessed under this paradigm. Furthermore, Steem only permits members to vote using STEEM when a vesting schedule is in place. Members have a financial incentive to vote in a way that maximizes the long-term worth of their STEEM under this paradigm.

Steem is the primary accounting unit on the Steem blockchain. The value of STEEM determines the value of all other tokens. Because STEEM is a liquid currency, it may be purchased and sold on exchanges, as well as transferred to other users as payment.

Steem Power (SP)

Users can commit their STEEM to a thirteen-week vesting plan, which provides them with extra platform benefits. Steem Power is STEEM that has been committed to a thirteen-week vesting timeline (SP). Except for the automatically repeating conversion requests, SP balances are non-transferable and non-divisible. This implies that SP is difficult to trade on cryptocurrency exchanges.