The Steem cryptocurrency has reached the third place in market capitalisation after bitcoin and ether, leaving behind such tokens as Ripple and Litecoin. 

Since its first payout 10 days ago, the Steem cryptocurrency, which circulates within the Steemit decentralised social network, has become 12.5 times more expensive. The token’s market cap has jumped from $13 to $260 million.

The number of new users, transactions and posts has tripled in the three months that have passed since the platform was launched. Steemit’s everyday transaction volume on the blockchain has increased to several hundred thousand dollars. 

“People are recognizing the vast potential of a community-operated social networking platform. The Steemit team has created an online hub where users can monetize their time and their energies and share in the profits like never before. Before Steemit, consumers gave away their efforts for free, uploading thoughts, blogs and other content to everyday social networks; now they can do it and get truly rewarded for their participation,” said Steemit CEO Ned Scott commenting on the startup’s growing popularity.

The first payout to content creators and curators took place on 4 July. The $1.3 million distributed to the users then totalled to 10% of the company’s market cap.

The payout was made 50/50 in Steem dollars, the native cryptocurrency units worth roughly one US Dollar, and Steem Power that enhances voting abilities on the platform.

Steemit is a social network where users receive a reward for their posts. It focuses on maintaining freedom of speech, avoiding advertisement and rewarding users that create quality content or act as curators. The beta version of Steemit.com was launched in May 2016, while the official launch of the platform will take place in July. It will be followed by the active promotion of the platform’s services, registration bonuses and the launch of a referral program.

Elena Platonova