Steemit, the burgeoning social media platform, gave its users a big reason to celebrate this past Independence Day weekend with a special reward distribution. On July 4th, Steemit allocated digital currency payouts totaling approximately $1.3 million, which represents 10% of Steem’s current market cap, to its community of users.
This distribution marked a significant milestone for Steemit, now in its third month of operation, rewarding early adopters and key contributors who have helped cultivate a vibrant and efficient community. The platform covers a wide range of interests from politics to gardening to entertainment, fostering a collaborative environment.
Ned Scott, CEO of Steemit, emphasized the uniqueness of this event in the cryptocurrency world, marking it as a pivotal moment for the platform. “This was a chance for us to express our gratitude to our community, rewarding them for creating a sustainable ecosystem that is much more than just its individual parts. Yesterday, over $1.3 million in Steem was distributed to thousands of our users worldwide,” Scott stated. He highlighted the platform’s reward system, which incentivizes high-quality contributions, contrasting it with other social media platforms like Reddit or Twitter, which do not offer monetary rewards.
The $1.3 million in Steem was split evenly between Steem Dollars, each roughly equivalent to one US dollar, and Steem Power, which enhances a user’s voting influence on the platform.
Scott also pointed out the decentralized nature of Steemit, which operates entirely on a blockchain. This setup ensures that the platform remains free from censorship, unlike more traditional, centralized social media networks. “Everything on Steemit.com is driven by the open source Steem blockchain, making the entire network replicable on any front-end application. This transparency allows any attempts at censorship to be verifiable using a blockchain explorer or another Steem-based application, empowering users to speak freely,” Scott explained.
This approach not only differentiates Steemit from other social networks but also reinforces its position as a pioneering, non-centralized platform where community and technology come together to enhance social media interaction without the constraints of censorship.
Ellie Dautner, a finance postgraduate from the University of San Diego, is an expert journalist in fintech and mobile payment technology. She specializes in writing about fintech, mobile payments, startup funding, and acquisitions.