Steem Cryptocurrency: A Guide To Investing And Profiting

Steem is a blockchain-based social media and content-focused platform that leverages social media and cryptocurrency technology to provide users with value. It aims to compensate users for their contributions to the network by allowing them to post curated content online and get paid in cryptocurrency. The platform also allows users to interact with each other and earn in return.

Steem is the primary coin of the protocol and is produced by the network daily. The new coins are distributed to content curators, authors, and users with Steem Power holdings. The protocol also has two other tokens: Steem Power and Steem Dollars, both deriving their value from the value of the STEEM coin.

There are several ways to invest in Steem. One way is to earn the coin by participating in the Steemit community, networking, creating content, sharing, and commenting. The more valuable the contributions, the more STEEM is earned. Another way is to buy STEEM on an exchange like Bittrex, Binance, or Poloniex. This is considered a long-term investment, as the individual waits for the price to rise before selling their STEEM coins for a profit.

How to buy STEEM

STEEM is the native token used by the social blockchain protocol, Steem, to enable its blockchain transactions. The following is a step-by-step guide on how to buy STEEM.

Step 1: Sign Up for an Account on a Brokerage or Exchange Platform

You can buy STEEM from a cryptocurrency exchange or brokerage platform. Examples of such platforms include Bitvavo, Huobi Global, WazirX, Binance, Bittrex, and OpenLedger.

Step 2: Verify Your Account

Most reputed broker or exchange platforms will require you to verify your identity as part of their KYC regulations before you can buy, sell, or trade STEEM.

Step 3: Deposit Funds into Your Account

You can deposit funds into your account via credit/debit card, bank transfer, or PayPal. The minimum deposit amount might vary depending on your location.

Step 4: Buy STEEM

Search for STEEM on the list of available cryptocurrencies on the platform. Use a "Buy Order", choose the amount of STEEM you want to buy, and confirm the order.

Step 5: Store Your STEEM in a Wallet

You can store your STEEM in a web wallet, mobile wallet, desktop wallet, or hardware wallet. Examples of mobile wallets include Esteem, while the CLI wallet is an example of a desktop wallet.

It is important to note that you should not leave your coins in a wallet provided by an exchange, as it can be risky. Exchanges have been hacked in the past, and there is a chance of them going bankrupt or exit-scamming. Therefore, it is recommended to use a secure mobile, desktop, or hardware wallet to store your STEEM coins, especially if you are investing with a long-term perspective.

Where to buy STEEM

STEEM is the primary coin of the Steem protocol. It is a native token that enables blockchain transactions. There are several cryptocurrency exchanges where users can purchase Steem tokens, such as Binance, Bittrex, Poloniex, BTCC, Bybit, DigiFinex, and BloFin. STEEM can also be traded for other cryptocurrencies, such as bitcoin, which can then be converted to fiat currencies.

STEEM is not currently available on Coinbase, but users can sign up to be notified when it becomes available. Other platforms that allow users to buy STEEM include Bitvavo and Huobi Global.

When choosing a platform to buy STEEM, it is important to consider factors such as security, reliability, and liquidity. It is also worth noting that purchasing crypto with a fiat currency like the U.S. Dollar is generally easier than purchasing it with another cryptocurrency.

How to store STEEM

Once you have purchased your STEEM coins, you will need a secure wallet to store them. There are several options available, each with its own advantages and disadvantages. Here are some of the most popular methods for storing STEEM:

• Web Wallet: Web wallets are provided by cryptocurrency exchanges and are easily accessible. However, they are custodial, meaning that the exchange has control over your coins. Exchanges have been known to go bankrupt, get hacked, or exit scam, so it is risky to store your coins on a web wallet long-term.
• Mobile Wallet: Mobile wallets, such as the Esteem wallet, offer a good mix of convenience and security. They can be downloaded on your mobile device, allowing you to access and manage your STEEM on the go. However, as they are frequently connected to the internet, they are considered "hot wallets" and are more vulnerable to hacks. To enhance security, enable security features on your mobile device, such as an unlock code, fingerprint identification, or face identification.
• Desktop Wallet: Desktop wallets are software applications that run on desktop or laptop computers. They offer more security than mobile and web wallets but are less convenient due to their desktop environment. The Vessel wallet is a popular choice for a desktop wallet.
• Hardware Wallet: Hardware wallets are the most secure way to store cryptocurrencies. They are "cold wallets," constantly disconnected from the internet, making them nearly impossible to hack. Hardware wallets usually come as small hardware devices that must be plugged into a USB port to access and transfer funds. However, they are less accessible than other types of wallets. Unfortunately, STEEM is not supported by most popular hardware wallets.
• Paper Wallet: A paper wallet is a basic type of wallet where you print your private keys and password on a sheet of paper. This method ensures that your private keys are never connected to the internet, providing strong protection against hacks. However, the downside is that you are solely responsible for the safekeeping of the paper, and if it is lost or damaged, your funds may be lost permanently.
• Wallet Combinations: Spreading your coins across multiple wallets can be a good idea to prevent a single point of failure. For example, you could use a web wallet for quick trades and a separate, more secure wallet for bulk storage.

When choosing a wallet, it is essential to consider your needs and priorities regarding convenience, security, and accessibility. Additionally, always do your research and choose reputable and secure wallet providers to protect your funds effectively.

STEEM price history

STEEM is a native cryptocurrency of the Steem blockchain. It was first traded in the cryptocurrency exchange on 18 April 2016 at a price of $0.64. The peak price was $4.93 on 13 July 2016. STEEM saw its first burst in value in July 2016, following the official launch of Steemit, a decentralised blogging platform. The coin's value skyrocketed from $0.24 on 6 July to as high as $4.63 on 20 July, representing a rise of over 1,800 per cent.

After this initial surge, STEEM experienced significant depreciation due to selling pressure by early investors and creators. This downtrend was influenced by the high inflation rate and sceptical commentary from crypto experts. The coin continued to lose value throughout the rest of 2016, dropping as low as $0.12 by November.

In March 2017, STEEM hit its all-time low of $0.0691. Things started to improve, and the coin traded between $1 and $3 until the end of the year, closing at $3.01. On 3 January 2018, STEEM hit its record high of $8.57, with a market cap of over $2 billion. However, like most cryptocurrencies, the price soon crashed, and STEEM ended 2018 at $0.26.

In March 2019, STEEM reached $0.532 before entering another downtrend, dropping to $0.13 by September. The coin traded between $0.12 and $0.15 until the end of the year. As of September 2024, the live price of STEEM is $0.161474, with a 24-hour trading volume of $15,084,357.

STEEM investment history

STEEM is the native cryptocurrency of the Steem blockchain, which was launched in 2016 by Ned Scott and blockchain developer Dan Larimer. The first app built on the Steem blockchain was Steemit, a social media platform where users can post content online and receive cryptocurrency compensation.

The price of STEEM experienced a significant surge in July 2016, following the launch of Steemit. The media began to take notice of this emerging project, which aimed to revolutionise content creation. The key factor behind the price surge was the reward payout made to early content creators who contributed to the test version of Steemit before its launch. As a result, STEEM became available for trade on two major exchanges, Bittrex and OpenLedger, and the coin's value skyrocketed. STEEM went from $0.24 on July 6 to $4.63 on July 20, representing a rise of over 1,800%. Its market cap soared to over $384 million, ranking third after Bitcoin and Ethereum.

However, following this boost, STEEM experienced significant depreciation due to selling pressure by early investors and creators. This downtrend was influenced by the high inflation rate adopted earlier and sceptical commentary from crypto experts. The coin continued to lose value throughout the rest of 2016, dropping to $0.12 by November. This price trend continued into 2017, with the coin hitting its all-time low of $0.0691 on March 10, 2017.

Things started to improve, and STEEM traded within a range of $1–$3 until closing the year at $3.01. On January 3, 2018, the coin hit its record high of $8.57, with a market cap of over $2 billion. However, like most other cryptocurrencies, the STEEM price crashed, witnessing falling user activity and an 84% price decline. The coin ended 2018 at $0.26.

In 2019, after reaching the $0.532 mark in March, STEEM entered another downtrend, with its price dropping to $0.13 by September. For the remainder of the year, the coin traded between $0.12 and $0.15.

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