RE: Steem N' Roses: My Response to the Attacks on the SBI Community as a Whole

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RE: Steem N' Roses: My Response to the Attacks on the SBI Community as a Whole

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dirge in #sbi • 5 years ago

A pyramid scheme makes money by taking finances from the bottom and putting them into the pockets above them. It doesn't generate revenue on its own. This is why they inevitably collapse.

steembasic income rewards STEEM through upvoting. STEEM that is given out is immediately given back, in portions, over time. I think the number is 6 months that you break even, assuming you continue to post on the STEEM blockchain.

The point is, that SBI guarantees revenue to those who 'invested'. The creation of more STEEM through upvoting content is a form of revenue generation ('mining' the STEEM blockchain). For this reason it can't be called a pyramid scheme IMO.

The creator could of course power down and run off with the STEEM, and then people lose their guaranteed SBI, and assuming that everyone did not get 100% of the STEEM they invested back, then it could be called scammy. But they haven't done then, and me personally I've made all the STEEM I put in, and then some.

@josephsavage thanks! and I'll try to remember putting some more SBI to folks next rewards payout.

5 years ago in #sbi by dirge

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josephsavage 5 years ago (edited)

The creator could of course power down and run off with the STEEM, and then people lose their guaranteed SBI, and assuming that everyone did not get 100% of the STEEM they invested back, then it could be called scammy. But they haven't done then, and me personally I've made all the STEEM I put in, and then some.

Realizing I should have talked to this part separately. Joseph Savage is on my driver's license. The largest SBI member is @contestkings. @dkid14 is one of their partners, and lives only two hours from me.

The likelihood that I could exit scam without serious financial and/or legal repercussions is zero.

At a minimum, if I close the program entirely, I would be bound by the terms of the refund policy, fulfillment of which would leave the accounts empty of SP.

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dirge 5 years ago (edited)

The likelihood that I could exit scam without serious financial and/or legal repercussions is zero.

Exactly. It can't be defined as a pyramid scheme.

Hell, STEEM itself has a powerdown system in place that prevents people from jumping ship overnight anyway.

@josephsavage you've also been 100% open, clear and responsive this entire time. I'm actually impressed you're still here considering the post '17 crypto winter continues. SBI has contributed SO MUCH to this platform, all for the better.

Meanwhile this dude downvotes people because...

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bananafish 5 years ago

Spot on, @dirge. The @steembasicincome program has been (volunterily?) misunderstood by this troll and his friends. People make an investment through it and expects a ROI. I've always heard that whales can do what they believe is good for defending their investment, being the main stakeholders and backbone of steem, including selfvoting and circlejerking. We are stakeholders in the steembasicincome program and we just defend our initial allocation of resources. Then there's the other face of the medal which is that of solidarity and basic income vision. I believe that Steem is pure turbo-capitalism and, hence, the unavoidable inequality. @steembasicincome is a legitimate correction where the many join together.

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josephsavage 5 years ago

Thanks for the support! We balance the SP backing each unit with a sustainability metric to keep reward levels as high as sustainability allows.

That does mean thst full earn back of subscription costs takes longer than six months (more like a couple of years), but it prevents the implied leverage of using lease delegations from accidentally toppling us into Ponzi territory.

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tristancarax 5 years ago (edited)

The point is, that SBI guarantees revenue to those who 'invested'. The creation of more STEEM through upvoting content is a form of revenue generation ('mining' the STEEM blockchain).

@josephsavage, @dirge, If this, then one can't really say that we are purchasing upvotes because it is an investment into one upvote that gets better as one invests more into it. Would agree or disagree or other?

It isn't the same as a bid-bot which promised many upvotes, most of which were little to no value and, I think, most lost money on that.

Glad that your here, @dirge. 8-)

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josephsavage 5 years ago

Actually we don't guarantee revenue, we only guarantee upvotes. Whether those convert into revenue at payout is beyond our control. We have always resisted making promises of actual returns, and when estimates have been given, they are always given as depending on STEEM price and reward pool behavior.

In fact, the earliest criticisms raised by whales were because we did not guarantee any level of returns.

SBI is more like earmarking SP for dedicated support of accounts you choose. We can't guarantee that the support has any value, any more than you can guarantee that an upvote on this comment will have any value after it gets countered by mmkk. In most cases the support will have value, of course.

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tristancarax 5 years ago

... any more than you can guarantee that an upvote on this comment will have any value after it gets countered by mmkk.

hahaha!!!

In fact, the earliest criticisms raised by whales were because we did not guarantee any level of returns.

Than WTF does mmkk care? Ha! He was in the green and he never bought in. He was guaranteed to make profit! Silly people with little brains.

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josephsavage 5 years ago

He believes that our use of the reward pool takes value away from his use of the reward pool, and does not consider the impact his Dv might have on overall Steem ecosystem.

If lots of people quit because of his DV, he wins but Steem loses. If lots of people double down and power up to support each other and SBI against him, he loses but Steem wins.

Maybe he is a crisis actor?

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bananafish 5 years ago

We will countinue to use the SBI program, Joseph. We don't really give a damn shit of his twisted vision.

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1 vote

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tristancarax 5 years ago

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