Steem Dollars
Crypto Overview
Purpose and Utility
Steem Dollars (SBD) was created as a stablecoin within the Steem blockchain ecosystem, designed to maintain a soft peg to the US Dollar. It serves as a medium of exchange on the Steem platform, primarily used to reward content creators and curators.
Business Model and Implementation
The token operates as part of the Steem blockchain's reward system. When content creators receive upvotes on their posts, they can earn SBD tokens. The stability mechanism relies on market forces and the internal mechanics of the Steem blockchain rather than traditional collateralization.
Real-World Adoption
SBD usage is primarily confined to the Steem ecosystem, where it facilitates content monetization and rewards. The token has seen declining usage since its peak, particularly after the Steem blockchain fork that led to the creation of Hive.
Development Activity
Development activity on the Steem blockchain continues, though at a reduced pace compared to its earlier years. The focus remains on maintaining the platform's core functionality rather than expanding SBD's utility.
Token Distribution
SBD tokens are created through the platform's reward pool mechanism, with distribution primarily driven by content creation and curation activities. There is no evidence of concerning concentration in founder holdings.
Revenue Model Analysis
The token's primary utility revolves around content monetization and does not involve interest-bearing mechanisms or prohibited activities. The underlying technology facilitates legitimate value exchange between content creators and consumers.
Crypto Impact
To assign a comfort level investing in Steem Dollars from a halal perspective we need to determine whether it has a net positive or negative impact.
Towards this end, the table below is used to tally all the positive and negative considerations our members can think of related to Steem Dollars.
If you don’t see something that should be listed, positive or negative, feel free to submit your own contribution using the button “Contribute”.
We will review your contribution for accuracy before publication.
Importantly, you can review listed contributions and vote on which one you think has the greatest impact, positive or negative.
You only have one vote per asset so use it wisely.
You can change your vote if you change your mind.