Sia developers proposed to hard fork the protocol of the decentralized cloud storage network. This will allow transferring part of the reward for each mined block to the Sia Foundation.
The idea of a decentralized data warehouse is being implemented by several projects at once – Sia, Storj and Filecoin. However, this concept still fails to gain widespread popularity. According to CoinMarketCap, Siacoin is currently trading at $ 0.003 and the crypto asset has a market cap of less than $ 3 million.
Previously, the Sia developers did not plan to create a fund to manage the protocol, but the situation has changed. One of the co-founders of Sia, Luke Champine, posted on Reddit a proposal for the creation of the Sia Foundation, where Champine will serve as president.
In theory, the fund could play a large role in promoting the Sia blockchain, but to fund it, Champin proposes to hard fork the protocol. The reward for each block mined will be doubled from the current rate of 30,000 Siacoin (approximately $ 94). An additional 30,000 Siacoins will go to the fund. In addition, after the hard fork, 1.57 billion Siacoin ($ 4.94 million) will be transferred to the fund.
Basically, the project founders are proposing to expand the overall coin supply. Annual inflation by 2021 could reach 10.4%, although the developers are urging to limit the amount in the fund to 5% of the total Siacoin volume and “burn” all unused coins.
In addition, the fund will be tasked with maintaining and improving the underlying software, overseeing the legal protection fund, deploying security updates to protect against attacks, promoting the coin’s popularity and adoption, and listing on exchanges. A quarter of the fund will go to “grants, incentives, hackathons and other community initiatives.”
