The Upvote Economy

Billions of upvotes are given each day online. Between Amazon, YouTube, Facebook, Reddit, and Twitter. the amount of activity is absolutely incredible. This, in theory, is a way to reward the content creators while also determining the "best" material.

Of course, we know this is not accurate. There is no system that operates in that manner since they are gamed to some degree. Many of the sites mentioned are known for using bots to help push what the platform wants promoted.

Nevertheless, we can see how an economy could be formed around upvotes.


Source

On Hive, we live this each day. Through the tokenization process, we see that upvotes have a monetary value. It presents the opportunity to financially reward someone with an upvote. Anyone who used this platform for a while understands the concept.

Could this be radically shifting us to a new economic model?

Once the upvote becomes monetized, it has the ability to directly contribute to the fortunes of an individual. Essentially, a reward is a form of payout, voluntary in nature, to the creator.

Over the past couple years, we saw this idea expand as more tokens were created. As these projects gain in popularity, people see the value of their upvotes increase. This can have significant impact upon the lives of others depending upon where they are from.

I long maintained the value of cryptocurrency comes from the Network Effect. The more people utilizing an application, the more value that exists there. This is common sense and something we see in the traditional world. However, instead of that value showing up in the stock price, it is passed along to the token holders.

This allows the user base to benefit greatly.

While we are still in the early stages of adoption, if we have significant increase in users over the next few years with some of these platforms, the value to the token holders goes up.

It also makes the upvote worth more in that particular community or on that application.

What we are going to see is many people with the ability to pass around hundreds, if not thousands of dollars, each day. This is money they voluntarily pass along to other people, as reward for the activity they engage upon. It is a rather unique model with profound outcomes.

Ultimately, many people will have the ability to change someone's week (or month) with a single upvote. We all know how good it feels to be upvoted by a whale. Imagine receiving that when the vote will pay for your groceries for the week or medicine that is required.


Source

Going back to the upvotes on social media, consider what things would be like if each of those carried a monetary value. We would see billions of dollars distributed on a daily basis to individuals based upon the activity they took. This presents an entirely new economic model to the world.

What gets even more interesting is that any community can develop their own token and monetize their activity. They do not need to receive permission or await for others to enrich them. Instead, they can implement their own Network Effect by tokenizing their community and basing the transactions up what they feel is important.

If value is derived from the effect cast by having a growing number of users, this means that a group anywhere instantly will fill this criteria. There will be immediate value based upon the number of users. Notice it did not say rich users or ones who brought a lot of money to the table. All that is required is people getting active and rewarding each other. Of course, market pricing will determine whether the monetary pricing goes up or down. Yet, a growing community with more people joining on a daily basis will enjoy a parallel in token price.

Those communities that get very large will see their value skyrocket. This will, at some point, be reflected in the market action of the token.

What if the upvote became a means of commerce? How would this change things?

Perhaps we take the idea of a store. There is a particular product that is purchased for $20. This price can be discounted if the individual leaves a comment on the website pertaining to this product. That comment receives an upvote worth $2, this an effective 10% discount.

The best part is that none of this comes out of the profit margin of the store. Instead, the upvote is generating new money from the blockchain. This moves the idea from scarcity, one has to have less for the other to have more, to one of abundancy where both come out further ahead.

We could apply the same idea to a restaurant. In the United States, it is common to tip the wait staff for the service they provide. Imagine being able, when the meal is finished, giving that individual an upvote. In fact, if the meal is very good, we could also upvote the kitchen staff. All of this will carry a monetary value.

To create the circular economy, perhaps the restaurant could offer free delivery, priority seating, or a free dessert for those who purchase the tokens. The establishment could also partner with other businesses to allow for cross token swapping. This will help to grow the value of both establishments' tokens.


Source

What happens is we do not become spenders of money as much as we are suddenly distributors of it. We are determining how the money entering the economy, regardless of the size, is doled out. This is a much better option than going through the banking system which creates the money and then distributes it as debt.

This is some of the potential that is before us. As we see the industry grow, and this idea expand to more projects, we see how we will have the ability to impact the lives of many people. Simply by upvoting someone for something we deem worthy, we are giving them financial incentive to keep operating in such a manner.

It is a truly remarkable concept and one that does not really exist in the present economic system.

What would the world look like if there were billions of upvotes a day placed, all carrying monetary value?

For now we can only speculate but if all works out, we will see the upvote economy becoming a bigger part of our lives over the next 5 years.


If you found this article informative, please give an upvote and rehive.

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pixresteemer_incognito_angel_mini.png
Bang, I did it again... I just rehived your post!
Week 49 of my contest just started...you can now check the winners of the previous week!
11

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What would the world look like if there were billions of upvotes a day placed, all carrying monetary value?

Righterous wealth distribution, and financial freedom for everyone.

For now we can only speculate but if all works out, we will see the upvote economy becoming a bigger part of our lives over the next 5 years.

This mostly depends on the users/community.
If they co-operate and support each other, then this could become a very significant part of our lives. The technology (blockchain) is already given. We just/only have to use it right.

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This mostly depends on the users/community.
If they co-operate and support each other, then this could become a very significant part of our lives.

I see this at play here in the leocommunity. There is synergy between stakeholders irrespective of the size of their wallet, which explains the level of growth we've experienced in the past two years.

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Yep it is happening there and it can happen elsewhere.

Will each be perfect? No. However, as more people get resources, their behavior changes (for the most part). Yet there are some who try to suck everything they can out. But others give out upvotes and spread them around.

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(Edited)

To upvote waitresses/personell and people generally in open? Very dangerous!
Just watch the "Black Mirror" episode Nosedive (it is on Netflix). The makers of that Sci-Fi series show brilliantly how ugly such a scenario could turn out.

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This one is epic to me why this is scary.

I wrote recently about China and ratings and how this is such a bad idea. Someones vibe can mess up ones day in the same kind of way as in the positieve way

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If we look at things from that perspective then nothing is worth doing. This is the same narrative people have about crypto I.e it is used by criminals. Every single thing on this planet can be exploited given the right/wrong incentive.

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Yup I remember this show it painted quite a picture predicting future scenario of up-votes do 😄

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No watch the episode MAJORITY RULE from the Orville

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I saw that episode and i 100% agree. Thats one of my big hangups with proof of brain. Danger is the right word. If you're going to use tokenization in the upvote capacity that system could really only work on an equality level system which it never does. in that episode you just saw all types of abuse and people having to butter up to one another. This system is exactly like that tv show lol. It's not that it can't work. It's how they are utilizing it is the problem and they haven't solved the problem or try to address it because its so interwoven into the system now. So i can see it shaping up like that now. A future like this would probably look worse.

What i liked about the episode was the biggest proponent of the system ends up being abused by it and life getting ruined. That's how it works. The benefactors like the main character could only see the good in the system. When the system truned on them they were okay this can't work so they became the outcast of the system. Her brother was always the person like me going what is this.. Whatever lol... So i find that funny but yea be careful. Use equality systems in anything that enables upvoting for currency or you run into problems alot.

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Hollywood is generally very good about promoting the dark outcomes that, for the most part, do not come true. They play to the negativity bias that humans have and how we latch onto it.

Not saying there cant be a negative outcome to things, we know there can when technology is involved.

But we usually advance forward in spite of the drawbacks.

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Sometimes a step forward is a step towards more surveillance, control and oppression and I am afraid also in this context. Just look at the social rating plans in China. I don´t want to get rated/upvoted at all.
Or the vaccination passports without them in future you won´t be able to travel anymore. Just an example how they sell total surveillance to people, and the sheeple even embrace it. But OK, another story.

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Certainly people are very good about giving away their rights and privileges.

However, surveillance is a way technology is being used. If they people (sheeple) will not turn away from it, then we need to use technology to counter that.

It is the tug-o-war that is taking place. We need to keep decentralizing everything. A social credit system could easy be outdone if we create a "reputation" system of our own that the world follows.

Of course, people act like this is something new. We had credit systems in place for most of the things we do in life. Try to get a home, car, or job, all based on some type of system to size one up. Even school does that with grades.

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I totally agree with you regarding Hollywood! There are a lot of things behind, and everyone are entertained.

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TORUK is doing this with pleasure.


toruk_washere_new3leo.jpg

More info why you see this.

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@onealfa.leo are you an angel??you have a way of quickly detecting wonderful contents..keep up up the great work sir.....you are a great value to this platform.....

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The upvote system can influence the way life generally works. The system of upvoting is really great. Looking at the choice system and how it tend to affect people and their content monetarily, it's affecting economic behaviours of people

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Leo sure did bring comments back to hive

All these comments alone are money .. data ...Human data

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Upvote thing on Leofinance is one thing that works - no time depending. Every time 50 % no more gets back to you, that's what every part of massive Hive blockchain should be doing already.
But as @onealfa said in his article, not everybody is doing it well. Somebody doing it just for his/her advance... 10+ percent yearly is not bad at all.

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Upvote thing on Leofinance is one thing that works - no time depending.

There are various systems and mechanisms that can be used. Leofinance has one way which is different from Hive. CINE is another way with a 5 day payout window on that token. Still others will do it their way.

But as @onealfa said in his article, not everybody is doing it well.

Certainly there are people who look to game, abuse, or use the system for their own personal benefit. Of course, the situation you refer to was called out by him, and light was shone upon the behavior.

It brought attention to the subject and the community, based upon the comments, was heard.

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It really is looking more and more like mass adoption is near....and I can't wait...my journey so far in just 3 months being active on hive is insane to me! You just need to be active every day and tokens just start stacking..it's crazy! peace and love to ya!!

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I can relate to this as well. The more active I get, the more I get (in upvotes and engagement) and it's not that difficult. Just show up! Enjoy the process and the people and be curious about everything. It pays

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It is not rocket science.

You both are testimony to what is taking place. Keep it up and your wallets will get thicker.

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You just need to be active every day and tokens just start stacking..it's crazy!

This should be on a banner somewhere for us. This sums it up perfectly.

If you want to succeed on hive (and the associated tribes): You just need to be active every day and tokens just start stacking..it's crazy!

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This is the learning area as to how to use procedure correctly, those skimming through trying to gain without using talent, educational materials or content of value cannot cry later.

What Hive shows is developers are reimbursed via a variety of ways, as are content creators. Unlike the chef in the kitchen sweating it out over pots creating a fantastic meal gets no recognition, the pretty skirt running around delivering the food gets the tip. Just thinking aloud.

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There are many possibilities going forward. We will see what kind of experimentation is undertaken over the next few years.

We are going to see a lot of people trying different things.

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Contracts and record keeping the options are endless whether transportation, housing, medical, financial etc. Opening up into different parameters is going to be interesting.

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I remember the first time I had to explain to someone that I earn crypto from likes/upvotes. The person looked at me in disbelief. He couldn't wrap his hard around.

It is beautiful how one's time and social activities can be tokenized and how the concept of abundance is been practiced. This is a sphere that is giving people a chance to be part of something and benefiting financially from it.

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I remember the first time I had to explain to someone that I earn crypto from likes/upvotes. The person looked at me in disbelief. He couldn't wrap his hard around.

It is a mind blowing concept if you are not aware of it and involved.

This is so radically different from what we are accustomed to.

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Telos will just decebtralize the comments of Amazon and eos for Google

Amazon is becoming a telos block producer

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Cool article @taskmaster4450. Upvotes can be Gold & certainly have the power to make my week. One big upvote and its cool with me. Makes me value my work even more.

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Of course, a lot of little ones add up also. Keep pumping out comments and engaging, you will see it all stacking on itself.

The value of compounding cannot be expressed enough.

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At least here we can only give and I think it is enough for there to be a reasonable distribution of risk.
Of course, a dollar is a dollar but in reality, who does not know that a dollar from Venezuela can buy much more than in Europe or the USA or China will depend on where, but that is why the importance of our wonderful platform that allows us to distribute even if it is
1/4 of a dollar per vote, which is a great thing, a great contribution to the wealth of the people in these parts, so if this is contributing a lot to the wealth of the people.
Well, it is just what many people are receiving, through this platform, funds for their survival, medicines, food and recreation, well that is what many friends from Venezuela who are focused on the matter say and I see that they take a little of their earnings to share with their families and ease their plight a bit, just like ours around here.
Yes a little activity is required but I am about to write that many people are literally very lazy, to be here and continue constantly and that becomes complicated, some friends only see the balances and want them in the short term they do not see the great effort that it has meant to be here.
Well let's hope tokenization comes soon and we have a lot of value and discounts involved in our process.

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Well let's hope tokenization comes soon and we have a lot of value and discounts involved in our process.

Tokenization is here. Discounts, not so much at this time. But one step forward.

We will see how far it spreads into the real world.

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The good thing is that we are already there so that when this tokenization comes, take advantage of it or know how to do it to the fullest and this is our competitive advantage,
see us today I read we are educating in DEFI and when I sell the bridge between eth-binance that will open many doors to invest in those tokens that today are worth 0.00000001 even if it is garbage and then we can see their growth but there it goes.
Thanks for your support.

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We certainly are moving in that direction. The opportunities keep growing as more infrastructure gets put in place.

Another couple of years and I think this entire industry will not be comparable to what it is today.

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There certainly already ways to value content on Twitter and friends. It is just not build into it.
Regarding the concerns to this - see you on the flip side.

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There certainly already ways to value content on Twitter and friends. It is just not build into it.

Nor will it likely be built into them since it goes against the present business model which is very lucrative to social media shareholders like Twitter and Facebook.

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I think it would be great if upvotes converted more into cash. It would give an alternative to the current economy and those displaced workers could still earn some extra money on the side.

I do wonder how tokenization will work in the real economy. The idea that you get discounts by holding tokens is the same as getting a discount for being a VIP member. Upvotes for tipping people in the restuarant industry seems like a good idea if it can convert into money. I just don't see how the current economy can work given its problems so some change is required. If upvotes and tokenization can be a part of it, then it would be one possible way to keep the economy running.

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For now we can only speculate but if all works out, we will see the upvote economy becoming a bigger part of our lives over the next 5 years.

Reading all these future projections you make ... I'm so sorry I'm old. I would have liked to see how it works in reality.
Will it not be possible to prolong our life with an upvote?

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I am with you on the age thing. I will likely miss a lot of cool stuff too. The ones in their 20s and 30s have a lot of interesting times ahead of them.

Will it not be possible to prolong our life with an upvote?

Maybe that will be the form of payment for some regenerative therapy.

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Young people have an incredible perspective on the future. Let's hope they don't make mistakes that destroy this chance.

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Yes they do. They understand technology which is helpful.

Unfortunately, in the US, we are still run by a bunch of fossils.

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As for leaders, as with everyone else, every age has advantages and disadvantages.

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I try to keep this in mind a lot when I am dealing with the SPORTS platform. I have a fairly big stake over there and even though the price of the token isn't much by US standards, it is pretty significant in other countries. I know that if I am not using my vote it is just going to waste. So I have been trying to make sure I go out and use at least 80% of my VP every day or every other day. I feel a little foolish when I let those rewards go to waste.

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this is very interesting as a music producer and content creator sounds like a good idea....i dont see much cash from all the main social media I use that is for sure....

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A great "side effect" of upvoting is the sweet curation you get as a reward, especially when you start having enough voting power that it adds up to your existing stake and starts to snowball. It makes all the initial hard work worth it

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Ultimately, many people will have the ability to change someone's week (or month) with a single upvote. We all know how good it feels to be upvoted by a whale. Imagine receiving that when the vote will pay for your groceries for the week or medicine that is required.

You have no clue how many weeks guys like you, @onealfa and many others have changed for me. I'm basically living off of my Hive account for months now. No income other than the blogging one since September last year. That's why I'm such a fanatic of Hive and Leofinance. It made a change, it paved the road to fullfil my dream of being able to make a living as a content creator. That's something to me...

Great post. It really touched me.

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Testimony is the best form of validation. You are a living example of how this entire process is working. And you are not alone.

Now what if we took that idea and spread it over 1 billion upvotes a day? What if there were a million @onealfa's out there running around changing lives.

What is great, each day there is more crypto than there was the previous. Of course, what that equates to in fiat can vary. Yet there is more power in the votes with each new token distributed.

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Loving the point you make about the upvotes being used to take a discount at a store. I see now that sometimes if you like a restaurants page on Facebook or Yelp, you get a discount of some sort. The monetization idea of the social media activity has always been there, Hive and blockchain-based upvotes take that interaction to a new level. I think you have pretty good foresight my friend.

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Just trying to connect some of the possible dots. We see a trend forming and it is a matter of following it to where it can go.

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What if the upvote became a means of commerce? How would this change things?
Perhaps we take the idea of a store. There is a particular product that is purchased for $20. This price can be discounted if the individual leaves a comment on the website pertaining to this product. That comment receives an upvote worth $2, this an effective 10% discount.

@taskmaster4450 what an intelligent contribution......what an awesome idea,the upvote economy will truly help various sectors of the economy....

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An important part of what will really make it take of is when we get some bona-fide ecommerce going where people can actually buy/sell goods and services as part of a token economy that does not have to "exit to fiat" in other to transact. Imagine — even — FedEx and the USPS accepting crypto for shipping fees!

Looking at the greater "story arc" here, we may also be poking at the edges of "the future of work." We might reach a point where the issue of people being made redundant by technology segues into a situation where our participation in multiple or even dozens of communities add together to create something that eventually becomes a blend of privately funded "basic income" and a gig economy... you can't make a living by just being in ONE place, but if you add your participation in a dozen different venues together, you end up with a viable income stream.

=^..^=

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ECommerce is certainly vital. We need marketplaces constructed so people can buy goods and services they require in their everyday lives.

As for the idea of a basic income, it is spot on. Our activities will generate incomes that are passive, effectively being what you cite. Of course, it requires some resources to start which, if no money, means activity.

But yes being involved in a few different things is vital.

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Excellent article 👏👏. I loved the examples you used to explain the topic.

And you got it right with what you said about changing it the week or month to a person with a vote in favor. About maybe with that vote that person can take food home that month. 3 years ago when I registered on Steemit and started uploading my content, the upvotes helped me to bring food to my house and help my parents here in Venezuela. Now I work here at Leofinance and Ecency since a week ago. I have this account dedicated to trading and market analysis (in which I have 4 years of experience), and I have another account in Ecency dedicated to videogames (another of my passions).

I just hope to bring a lot of valuable content to the community and use the rewards to help my parents and keep moving forward with my life. So you're absolutely right mate. I'm one of those people who had their week or month changed with a upvote.

Cheers 👋

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People need to realize it all adds up. There are places in the world where even today's upvote from many decent sized accounts will make a difference. Those that get very active, they have the opportunity to get a steady flow of rewards coming in.

Hopefully some are being staked to grow even larger in the future.

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There are so many possibilities. It is fascinating to be in the midst of it all as it unfolds. !BBH

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Every of us have value, we will be subjects not as objects only. Old platforms, upvotes and likes are comercialized without being known by upvoters

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very interesting, I can envisage exactly what you have written only sooner, as people migrate away from failed social media and banking systems, the cryptoverse gives them peace of mind and freedom, upvotes will be the new tips of the future, and the great thing is that we get to send and recieve the tips we deserve. NICE

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It will be compounded if people move away from both at the same time. We will see how it evolves.

One thing about social media, people are addicted to their platforms. That does not change very easily.

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For sure the addictive element has kept people docile to the fact that these platforms are just mining your personal date to sell to the highest bidder

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Congratulations @taskmaster4450! You have completed the following achievement on the Hive blockchain and have been rewarded with new badge(s) :

Your post has been really appreciated and was the most upvoted of the day

You can view your badges on your board and compare yourself to others in the Ranking
If you no longer want to receive notifications, reply to this comment with the word STOP

To support your work, I also upvoted your post!

Check out the last post from @hivebuzz:

A successful meetup and its commemorative badge
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Hive/Leo is a great example of how these systems could work. I love the idea of discounts applied base on vote and/or promotion.

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It is an example and what is cool we are seeing some experimentation. Other projects are starting to try different things.

We are going to keep seeing more growth as time passes. This will be exciting to watch.

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The space is so interesting and can be so disruptive. Time will only tell if legacy companies and process will adapt, try to kill it or fade away.

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I think our banks are even worse.

This is a much better option than going through the banking system which creates the money and then distributes it as debt.

The create debt on the promise of our future labor. Future labor is the only thing backing our currency at this point that can have a perceived value.

Tokenomics replaces the murky world of followers and views of today. Today we vote with our attention span and the ability to have advertising forced on us while the creators getting an ambiguous amount of revenue share. Tomorrow we can vote with our tokens and show support direction and remove the inefficient layers while streamlining distribution.

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Bingo.

When a vote carries a monetary value, no matter who small, it changes everything. Suddenly that engagement is a financial transaction. That opens up a completely different realm of possibility.

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(Edited)

I long maintained the value of cryptocurrency comes from the Network Effect. The more people utilizing an application, the more value that exists there.

THIS. I feel like Project Blank has the best chance at achieving the snowball effect. It won't be instantaneous either. Most likely it will happen when we least expect it.

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I agree with you 1000%. Blank has incredible opportunity if we will be able to take advantage of it. The key is to get it out.

I am hoping for an update at some point.

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Because this is such an awesome post, here is a BBH Tip for you. . Keep up the fantastic work

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I have been living on HIVE for months. I consume little, only $100 a month because I don't pay housing and I share utility bills. The quarantine made me save more by staying at home.
Not only do I live 100% on HIVE, but I have saved over $1000 since he was born. In fact virtually every LEO I've earned I've converted to LP.

I am just one of hundreds of examples in Venezuela. Imagine if we follow this upward trend and we can live blogging from any country in the world. That is my dream...

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Esté post es increible. Plantea un panorama muy interesante, de verdad sería algo impresionante si en un futuro a corto plazo se logrará lo que se propone aquí.

This post is incredible. It raises a very interesting panorama, it really would be something impressive if in a short term future what is proposed here will be achieved.

Translated with DeppL.com

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I had not stopped to think of upvotes in such an expansive way as you pointed out and it is amazing to see how much this "market" has even more potential to grow and become stronger.

Amazing approach on this subject, @taskmaster4450.

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