Higher Social Activity = Higher Currency Value? by kevinwong

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pseudoeconomics · @kevinwong · (edited)
$15.16
Higher Social Activity = Higher Currency Value?
https://s30.postimg.org/5hcinrxf5/social_media_552411_960_720.jpg

I've always wondered if [high-frequency trading](https://en.wikipedia.org/wiki/High-frequency_trading) in the forex markets have anything to do with improving the value of its currencies. So I Googled a question and found this in [Quora](http://money.stackexchange.com/questions/15940/does-high-frequency-trading-provide-economic-value):-
>HFT is often bandied about in the media as a greedy activity that produces no real economic value. It's an easy to believe argument - certainly no ipods are directly created and no minerals are mined. The argument doesn't seem like a proof though.
>
>Is HFT creating economic value via creating liquidity or some other value or is it truly just theft and why?

Personally, I think high-frequency trading can be made to produce value. Look at it as high-frequency *social activity*. Our ancestors used to trade, buy, and sell. Now Steemit is speeding up this process between people (or more abstractly, markets) with the use of post, comment, and vote - soon to be made limitless.

### A Call for Minimum Viable Culture (MVC)
If we're going to have a useful, valuable currency - it should be used frequently, right? Preferably with a minimum understanding of value - it's subjective, perceived. I think the following quote is very profound:-
> *Interaction first, transaction second: the new control is trust. Therefore, I propose that our thinking — and then, our actions — must urgently head in a different direction. Here is why: transactions are always a consequence of attention and attraction, interaction, communication, engagement, and trust. It is never the other way round.*
> <sub>by Gerd Leonhard</sub>

No matter who you are, just Steemit by *posting, commenting, and voting*.
- Be contributory. 
- Listen / Learn / Adapt.
- Have fun (optional).
- In one word, being **social**.

If you need to bot things up, I would suggest giving a follow on accounts that seem to exhibit this Minimum Viable Culture. Such characteristics would improve perceived usefulness / utility for the network, which in turn should also improve the value of STEEM. That said, I'm glad there will be a focus on communities / engagement / stickiness down the road. The STEEM blockchain is designed to be fast and frictionless too, which helps with this line of thought. 

So if value is based on belief, then ***widespread*** and ***frequent*** usage of said currency gives it value, am I right? I have a feeling there may be a *rock & roll* phase coming soon, whatever that means.

<center>https://s27.postimg.org/t6ha4ya7n/Social_Network_Diagram_segment_svg.png</center>

---

<center><sub>*Images from Pixabay and Wikimedia.*</sub></center>

---
<center>https://s29.postimg.org/tk8iglttz/SOL3.png</center>
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vote details (320)
@moondancer762 · 
I'm looking forward to a *rock & roll* phase in Steemit. I believe this will bring not only higher (and IMO, true) value to Steem, but higher value to the social aspect of the platform.
👍  ,
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@kevinwong · 
Market value of currencies - really mysterious to me!
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@opheliafu · 
We have built a strong community. What crystal ball are you using to predict this rock & roll phase, and can I borrow it?
👍  ,
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@kevinwong · 
The crystal ball ain't working so I'm just guessing xD
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@eric-boucher · (edited)
$0.04
Thank you so very much for these important considerations that are taking places in many a mind these days. Another very good piece worth the upvote and a resteem as well! you quote of Gerd Leonhard is in deed profound and underline the inherent power of our platform here on Steemit.com

I can hear the beats, uprising a bit like in the Lord of the Rings when the trolls are coming from underneath the grounds where they stand, the difference being that it is a rumble of change toward the world populace becoming more and more conscious as the internet spreads like a wildfire knowledge, perspectives and allows for us all to become more, much more, empowered through this knowledge. The Steemit Train is rolling and the ground is shaking. The dragon might try to catch us or burn us, but such ideas alive and well as they are simply can't be stopped. All for one and one for all! 

Namaste   :)
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@kevinwong · (edited)
>I can hear the beats, uprising a bit like in the Lord of the Rings when the trolls are coming from underneath the grounds where they stand, the difference being that it is a rumble of change toward the world populace becoming more and more conscious as the internet spreads like a wildfire knowledge, perspectives and allows for us all to become more, much more, empowered through this knowledge. The Steemit Train is rolling and the ground is shaking. the fragon might try to catch us or burn us, but such ideas alive and well as they are simply can't be stopped. All for one and one for all!

Lol very that very colorful of you. What's a fragon anyway? I sincerely think there will be such a phase, to be discovered especially after a community of early adopters figure out things that would work, or at least cohesive enough make things stick.

But please note that I'm using the #pseudoeconomics tag. I don't necessarily know what I'm talking about hah! (However I suspect most economists are about the same)
👍  
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@eric-boucher · (edited)
LOL!!! You deserve extra upvoting for even trying to decipher the "fragon", a -2 to it might have helped?!?, it was the "dragon" trying to catch us and burning us down to the ground...  LOL! Thanks for the pointer, it is now corrected for eternity, I suppose.

I stick by as I see the platform congealing and finding cohesion and that in itself is a very good sign. As long as we keep upholding quality and creative constructive dialogues, we're it. 

All for one and one for all!   :)
👍  
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@profitgenerator ·
$0.04
Higher social activity doesn't always mean higher economic activity.

Not all social activity is useful economic activity, so the economic activity is only a subset of the social activity.
👍  , ,
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@kevinwong · 
Thanks for your input @profitgenerator . Do you have more insights into what social activities (generally) contribute to useful economic activity?
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@charlie777pt · 
You are correct, but I' ll would like to add here the concept of "chicken and egg" as one system, as a dialectic evolving process between both dependent sub-systems because social today is the basis the new attention economy.
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@profitgenerator · 
If manufacturing becomes robotized, that that will be true, only service jobs will exist, and the economy will largely be overtaken by social events. But this may not be the case yet.
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@surfermarly · 
Nice piece! Being social is surely what keeps *our currency* alive. 
I think the frequency is not our problem, but for that Rock'n Roll party it would be nice to have some more dancers...;) So the *widespread* part you mentioned is missing here. 
Upped and resteemed
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@kevinwong · 
Yeap definitely, with communities and stuff like badges and achievement stuff , quite a good chance for great inflow and retention
👍  
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vote details (1)
@screenname ·
Re: Higher Social Activity = Higher Currency Value?
<p>This post has been ranked within the top 25 most undervalued posts in the first half of Jan 27. We estimate that this post is undervalued by $8.63 as compared to a scenario in which every voter had an equal say.</p> 
<p>See the full rankings and details in <a href="https://steemit.com/curation/@screenname/the-daily-tribune-most-undervalued-posts-of-jan-27---part-i">The Daily Tribune: Jan 27 - Part I</a>. You can also read about some of our methodology, data analysis and technical details in <a href="https://steemit.com/curation/@screenname/introducing-the-daily-tribune-most-undervalued-posts-of-nov-04---part-i">our initial post</a>.</p>
<p>If you are the author and would prefer not to receive these comments, simply reply "Stop" to this comment.</p>
👍  
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@pnc · 
Yep, everything thing in life is belief & experience. Value derive from people engagement among themselve to solve problem the encounter. I believe Steem ecosystem is providing this ground where people can meet, engage and exchange among them. Being doing those activities in a consistent way, it's create value for the community and all community members get to benefit from it. Yep, Just Steemit!
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@charlie777pt ·
$0.05
I think the ***Rock'n Roll phase*** on steemit have to do with growth crisis in any community that finds ways to re-organize and polarize in Steemian Free Cells or groups that actively want to feel engaged in the growth of the community and to escape that sense of the impotence where feel powerless in a big crowd and create that feeling of belonging, empowerment and participation.
At the same time, I think that these free cells have avoided the possibility of Steemit to became a centralized and hierarchic structure, by polarizing in smaller equalitarian sub-communities that keep the original vision of Steemit as an alternative for empowering the people against the mass media blindfold and build new ways for this post-truth Era
👍  ,
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vote details (2)
@kevinwong · 
I had a very interesting chat with a journalist cousin who has been working behind the scenes with mainstream news outlets and stuff.. pretty interesting, and indeed it's the post-truth era lol. Will be writing about it :)

Btw, I've been seeing news of some local initiative making cells of 10 (some philanthropist giving back to society and helping out the underprivileged organizing communities)
👍  
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