Siacoin (SC) is a cryptocurrency that powers the Sia network. This decentralised cloud storage network allows anyone to rent out their spare hard drive space while users can also sell their storage space to others for file storage. In this article of Zatrun.com, we will be exploring Sia, which is considered one of the leading Web3 projects. What is Siacoin and how does it work? Keep reading to find out.
What is Siacoin and How Does It Work?
One of the most important aspects of Siacoin (SC) is its use cases. It was designed as a cryptocurrency and offers a range of storage solutions to any computer that runs it. For example, users who want to store files can rent out hard drive space offered by other users. The platform aims to make the cloud storage industry decentralised and fair through these services.
Large companies like Google Clouds and Microsoft OneDrive sell storage space but do not respect issues such as data privacy. However, in the Siacoin ecosystem, everything works on the blockchain, and data is stored in a secure environment. Users in the Sia network can rent out their unused storage space on their computers. This way, they sell storage space that provides ideal capacity for other users and receive payment in the form of SC coins. SC coin is an economical and secure option for those with data storage needs.
Siacoin is traded between those who rent out storage space and those who provide it as a cryptocurrency. This cryptocurrency is also used to complete the smart contracts of the Sia network. Meanwhile, the network also has another cryptocurrency called Siafund, which is used to encourage more users to join the network. This makes it easier for the Sia network to grow.
Is SC a Good Investment?
According to technical analysis, Sia’s long-term goal is to compete with existing storage solutions. It sees itself as a direct competitor to major cloud storage providers like Amazon, Google, and Microsoft. Due to its decentralised structure, the project can offer competitive storage rates. Currently, with a market cap of $215 million, SC coin is the 151st largest cryptocurrency.
