Interesting history of decentralized storage solutions. He is right, there is not a reason why should file coin grow much. But what he missed is the maind idea of SafeCoin. His bias is storage based. But the idea of coins that can be used for anything with zero fees, fast transaction times which scales to handle whole world transactions is out of his mind. This is common error. I missed Ethereum pump because I calculated that storing data on Ethereum is very expensive and I couldn’t imagine how could it pay those costs. Well I was wrong, I missed idea of ICOs. The same happened to Bitcoin, it is slow, it is not anonymous, fees are too hight…it should be worthless… if SafeCoin was storage only, I would never ever buy single one as investment. In long run storage will be less than 1% of its utility.
Interesting article. Competing with near free resources doesn’t seem to be well covered though. The likes of Amazon may be able to buy and sell resources at the lowest prices, but home users barely have to buy anything at all.
Then there is the security and scalability question. Do people want Amazon to store all their data, being able to confiscate it and/or pass it to others at their will?
I can see how Amazon etc may find it compelling to be big uses of SAFENetwork, but I don’t think it mutually excluded other users.
Then there are all the non-storage features, of which there are many.
Interesting points made, but I disagree with the conclusions for SAFENetwork.
Yeah,the author doesn’t seem to understand that there’s a difference between the safe network and filecoin, but it’s an interesting read nonetheless I think.
I think you are not right. Let me explain why…
I am in agreement with you that storage utility will not be the only utility that safecoin will have. What I disagree is when you say that safecoin storage utility will be marginal one day… Even though I am not sure about it, I strongly feel it won’t ever happen.
We can clearly show it on an example of a gold. Let’s say the gold is now hundred times more expensive than a month ago (thanks to the increase in monetary utility). What would you do if you were manufacturer of gold connectors? I would recommend switching to making silver connectors or something similar. Gold is now too expensive and it’s not worth it to use it as a material.
If the monetary utility of gold far exceeds the manufacturing utility, the manufacturing utility almost disappears.
It’s completely different with safecoin. Let’s say the safecoin is now hundred times more expensive than a month ago (thanks to the increase in monetary utility). What would you do if you were uploader of files? I think mostly nothing because now the cost of uploading the file is not hunderd times more than a month ago! It is probably mostly the same. The only thing what happened is safecoin is hundred times more expensive in fiat terms and you can buy hundred times more space for one safecoin.
IMO: The upload utility is always chasing every other kind of the safecoin utility. Therefore in a long run, the safecoin storage utility will be strongly related with safecoin fiat price. Well played MaidSafe.
Well, I am talking about apples and you about oranges. When I say storage will be less than 1% of utility I do not say anything about price. I simply said that number of transactions and total spend volume to buy PUTs will be so small compared to other services. By other services I mean any payment in eshop, any online purchase etc. Right now on Internet storage payments are dust compared to all online payments. Safenetwork users will use Safecoin for any purchases of anything. So what people buy for FIAT can be easily replaced by safecoin. Old internet is missing micropayments. With safecoin there will be huge new market where FIAT was never able to succeed but Safecoin is perfect for it. Buying PUTs will be very minor activity for such awesome coin.
But PUTs will be used everywhere including
- “I mean any payment in eshop,” You will need PUTs to be done for this function. The receipt, the order, any enquiries and so on will generate PUTs. One transaction at the shop but many PUTs to execute that purchase.
Dust or large they are only a measure of perspective and really cannot be a true measure of how useful, or how much used a coin is. Because one singular million coin transfer would make a 100 thousand purchases of PUT balance look like 9% of the usage/utility. But in terms of true utility that 100 thousand purchases of put balances will empower 100 thousand people to do storage, send emails, do online purchases (see above) and so on. As compared to the one person’s single million coin transfer from one of their wallets to another of their own wallet. No real utility except to organise their funds better. Yet that million coin transfer makes those 100 thousand people’s utility look really small.
The only thing PUTs will not be used for is READ-ONLY and coin transfers. Every thing else like posting, email sending, placing orders, and so on will need the utility of PUTs (buying resources)
I don’t believe this is right. Not immediately anyway. If safecoin went from $.5 to $50 overnight I can buy 100x more hard drives for my coin, but it will take some time to onboard more farmers to add the extra space to drive the cost of storage way down. The network knows nothing about the fiat price. It may only take a few days as every web host / server farmer / whatever sees it and starts turning unprovisioned servers into farmers, but it will not happen same day.
They really are coming for the Internet as we know it
Why can’t they just leave us alone… is it too much to ask?
I don’t know all the ins and outs of this case but you’d have thought that a project that raised $4 BILLION over the course of a year would have managed to at least get things sorted before the launch. Looks like incompetence at best, fraud at worst.
I also don’t think this is right. This is above extreme case. @lubinew was pretty correct. Yes some delays and opportunity for some quick draws to game that, but the middle term situation this is what would happen. The window will be in terms of days for gaming.
Also the safecoin market being more utility than most will mean that huge quick changes in dollar price is unlikely. Before adoption there will likely be large fluctuation, but also the time when there are the least number of coins and ability to add masses of hard drives.
- but the ability to buy bandwidth to drive that many drives will take time and thus you are still limited
- that many hard drivess will drive the PUT cost (in safecoins) down fast, so you become the major driver for @lubinew’s analysis This is because to have large fluctuation in dollar price the network will be small and a large influx of drives will cause large drop in PUT price (in safecoins)
- but of course your hard drives only fill at the same rate as other’s vaults so your personal safecoin earning rate will not be proportional to the number of drives for quite a long relative time.
As a rule of thumb, as dollar price of safecoin quickly rises so will the PUT cost in safecoins drop. Not immediate but probably faster than you can profit big time from it. The best you can hope for is to already have the safecoin before the price jumps and just walk away with the profits and only using some/modest amount to reinvest in vaults for longer term earnings.
I really hope Maidsafe you deliver the Safe Network before they realize what you guys do! Because I think, if they knew what you are doing, it could get really uncomfortable!
Not to worry. Even those who know what MAID is doing, do not actually believe that it can be done. They think MAIDSAFE is like a climber trying to get to the top of Mount Everest blindfolded. In my opinion, especially after Parsec, MAID has been a few steps from the peak for a while now, just catching a breath. I believe that very few people will ever see SAFECOIN and the SAFE network coming. It will succeed!
I heard on Friday that the secret service had a hearing in congress to perhaps ban privacy focused currencies like Monero and Zcash. What are the chances of them coming after Maidsafe after a successful launch? Perhaps making it illegal etc?
That is why I still think this project should be broken down into 2 from positioning standpoint -
Decentralized storage - where companies/individuals can simply leverage the decentralized storage component of maidsafe using existing internet browsers and the way they run their business today. A product/service to replace companies like siacoin, storj, box.com, dropbox, and all/all local storage systems. This is a multi trillion $ market in itself.
The second part of it is building a safe internet for everyone - peruse browser, etc etc.
That way even if some law bans the second portion of the project above, the investors in this project are protected by simply maidsafe being a solution for decentralized storage.
May be 1 and 2 cannot be delinked but I just want the development to be done in a way that if the whole private internet concept is banned by gvernments then atleast certain components of this project (decentralized storage etc) can still function and be used by everyone (large corporations, individuals, everyone included). Something like a person should be able to run a storage node just like many of the existing networks like Siacoin etc do - just download a simple wallet, alot a space from your computer and you are set. Thoughts?
If Safenet is not banned then we are all set to fulfill the entire dream of a fully safe, secure internet. I am all in for it but I dont want to be judged - I like the project but am also always concerned about my investment in maidsafe because of these type of news of goverments banning privacy etc. so just sharing my thoughts.
What’s Up Today?
• Crypto’s future will be probably trillions of dollars according to the article
• Seems that Lithuanians are waking up
It’s about Lithuania not Latvia
Sorry stupid mistake, lol