The use cases of cryptocurrencies are not limited. As the cryptocurrency market has crossed $2 trillion in capitalization, a lot of needs of the technology have merged that were previously unknown. Siacoin is one of the major cryptocurrencies that is fulfilling a gap in the market. Because of its interesting proposition, it has gained the name of “the AirBnB of hard drives”. Let’s get more into what cryptocurrency is and what does it future look like?
What is Siacoin?
Having the name of the “AirBnB of hard drives” makes a lot of things clear. The cryptocurrency is designed to utilize unused disk space on users’ systems to store data. The offering of Siacoin is similar to the cloud storage services offered by tech giants like Amazon and the likes but instead of relying on centralized servers, it makes use of blockchain technology for decentralization. The aim of the network is to become the “backbone storage layer of the internet”.
Files are divided into tiny bits with each bit highly encrypted to ensure added security. Then, the bits of an individual file are stored on the different systems throughout the platform’s distributed network of global computers. This division of files makes the network highly secure and virtually un-hackable. The network utilizes the SC token which is used for payment purposes if users want to save their files on Siacoin’s database. It is also utilized to reward those who contribute space on their computers. The whole procedure of leasing and renting out hardware space is done through smart contracts.
What is the future outlook of cryptocurrency?
Siacoin had showed phenomenal growth in the bull run of 2021 although it could not break the ATH of $ established in the bull run of 2018. At the time of writing, the cryptocurrency stands at a price level of $0.019. Siacoin had been trending upwards and the price has grown by nearly 10% in the past twenty-four hours while the trading volume has decreased by 30%.
The future trajectory of the cryptocurrency is moving upwards; however, not as much as one would like in the cryptocurrency market. According to Wallet Investor, Siacoin is expected to be trading at a price level of $0.037 in a year’s time while the five-year price projections predict a price increase of 350% – at a price of $0.09. Digital Coin Price predicts the price of the cryptocurrency to be operating at $0.069 by 2026. Hence, Siacoin can be regarded as a relatively stable investment.
