Siacoin

Purpose and Utility

Siacoin (SC) is the native cryptocurrency of the Sia network, a decentralized cloud storage platform. The primary purpose of SC is to facilitate payments between storage providers (hosts) and users seeking to store their data in a decentralized manner. Hosts earn SC for providing storage space, while users spend SC to store their files.

Business Model Evaluation

The business model is straightforward and transparent: users pay for decentralized storage services using SC tokens. The network operates through smart contracts that manage storage agreements between parties. There is no lending, interest, or gambling components in the core protocol.

Real-World Adoption

The Sia network has demonstrated consistent usage since its launch in 2015. As of 2023, the network hosts over 2 petabytes of storage across hundreds of hosts globally. The project maintains active development through its parent company, Skynet Labs (formerly Nebulous).

Platform Development

The project maintains regular development activity with frequent updates to its core protocol. The GitHub repository shows consistent commits and improvements. The team has expanded the ecosystem with Skynet, a content delivery and file sharing layer built on top of Sia.

Token Distribution

Siacoin has no pre-mine and operates on a proof-of-work mining system. New coins are created through mining rewards, promoting fair distribution. There was no ICO or token sale, meaning founders did not receive a disproportionate allocation of tokens.