Estimated reading time: 2 minutes, 3 seconds
This episode of Blockchain Token – What is it? covers Siacoin! In this series, we will cover the different types of blockchain platforms and cryptocurrencies on the market right now. We’ll give you a quick description of each blockchain/token, its function, who is their competition and where you can learn more.
Siacoin is a decentralized cloud-like storage system, trying to make data storage safer and more cost effective. They claim their decentralized cloud storage is 10x less expensive than current cloud providers. Learn about how Siacoin works in this episode.
Traditionally digital data is stored in a centralized server, which is expensive and also a single point of failure. This leaves servers like this open to attacks and data leaks. It seems like major corporations are constantly being hacked and losing YOUR sensitive personal data.
Sia incorporates blockchain technology to solve several of these issues facing centralized data storage. The project can assure privacy and that data will not be lost by distributing that data across a network made up of several nodes. Instead of data being stored in one place, the data is stored redundantly across nodes, so a single point of failure is no longer an issue.
Traditional public blockchains openly display all data across the networks. Since you hold your own private keys, you are the only one able to access your data. To maintain privacy, Sia splits apart and encrypts all data on the network.
Another major issue with current data storage is cost. If a project grows larger than expected, servers can fail and then the project is required to spend a lot of money on additonal server space. According to their website, Sia’s decentralized cloud is on average 10x less expensive than current cloud storage providers. Storing 1TB on Sia costs about $2 per month, compared with $23 on Amazon S3. This can mean a world of difference to a young project trying to get their feet under them.
Sia does have some competitors in Storj and Filecoin.
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