The SiaCoin platform can be described as decentralized cloud storage. It was designed to compete with the likes of Google, DropBox, Apple and Microsoft. The idea is that data stored with Sia will be encrypted and stored on other users’ computers. However, each transaction is verified.
Siacoin allows users to rent hard drive space and earn money from it. People looking for cloud storage will use someone else’s computer storage to store files. Siacoin digital tokens are used as payment for this service.
The combination of smart contracts, erasure coding and encryption provides security, privacy, and a secure decentralized storage. The smart contract on the blockchain provides cryptographic proof of storage so that hosts are only paid if they keep the file for the duration of the contract. The use of erasure codes, such as Reed Solomon’s codes, ensures that the file is highly functional, even if most of the nodes on the network are unreliable or have frequent failures. All data is encrypted on the client side, which prevents snooping on the contents of files on hosts.
SiaCoin security can be compared to Monero’s anonymity. However, if we compare sc to bch or xmr to bch, the difference in security becomes more noticeable.
The Sia coin ecosystem allows you to optimize latency, throughput, reliability and security. The decentralized nature of the network makes it possible for anyone with storage to get paid, lowering the barrier to entry, resulting in a lower overall cost of cloud storage. Storage providers can set their own prices and advertise the reliability of hosting services. As well as set standards and rules for compensation if files are compromised while under their control. Any of the providers may refuse to provide services if the hosted data is inherently inconvenient to store.
The first few months after the launch of the network, Siacoin mining was only available in solo. Then the developers released software for the GPU and pools of collective mining began to work. The development of SC mining was greatly facilitated by the release in 2016 of the new DualMiner from Claymore, which made it possible to mine Sia in dual with Ethereum. In the current period, Siacoin is only profitable for mining on ASICs.
In March 2021, Sia can be mined in one of four pools.
– Luxor Mining;
Half of the hashrate is controlled by the first in the list “luxor.tech”, and another 39% is occupied by the Dxpool pool. At first glance, it is best to choose the most powerful resource for work, but everything is learned in practice.
Siacoin platform clients control private encryption keys and files. No external company or third party can access or manage the data. In addition, Sia’s decentralized cloud storage is cheaper than traditional providers. Of course, Google, Amazon, Microsoft and Dropbox still dominate this service industry, but according to experts, in 2021 the cloud hosting industry will bring in about 70 billion US dollars. Let’s see if this is true.
Competing with such giants as Google and Amazon is a very difficult task. But, even if Siacoin takes at least 8-10% of the market, all investments will pay off with interest. And according to siacoin price prediction 2025, the value of the coin will triple.
If you and one miner connect to a pool where a whole hangar works for each address, then you will get a meagre amount from the found block. A pool in which there are very few miners will look for a block for a very long time, which means that you will not receive money soon. You need to pay attention to the payment system and the size of the commission.