Where does steem money come from? (explained to my daughter)

1 of my 10 steem will be lost within one year!

This is what a 10% inflation rate means : If I bought 10 steem for 10 dollars, I will be able to sell them for 9 dollars in one year from now. Meaning I lost one dollar in the process.

This dollar is what will be used in order to pay the authors for their work.

rsz_1us-dollar-exchange-rate-2.jpg

It is a great thing to invest in this platform. But I think a lot of us need to understand that we are paying for the rewards and that the money doesn't come from nowhere!

Eventually, the value of steem is growing because more investors are getting to know the platform. In order not to lose money, steem increase in value has to beat the inflation rate.

How much value could steem reach in the end?

rsz_facebook-icon-preview-1-400x400.pngWhat if steem capitalization were to reach facebook one's?

Facebook market capitalization lies at 520,4 billions right now. Steem max supply is 263,2. This would lead to a 1977 dollars per steem. Crazy isn't it?

rsz_twitter-2012-negative-logo-5c6c1f1521-seeklogocom.png What if steem capitalization were to reach twitter one's?

I like better this comparison. Twitter market capitalization is 15,67 billions. This would give a 59,54 dollars per steem. I would buy it also!

And you, what do you think? Is steem geared to beat twitter and then facebook?

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