Silicoin (tSIT) has been quietly under development and in the Testnet phase for a while now. However, in the last few days, Silicoin has gained a huge awareness within the Chia Fork Community. Looking at their https://chiaforkscalculator.com/silicoin sheet, we can see that their Netspace has grown 100% over the last four days or so. They were also just recently listed on the Chia Fork Trader’s Discord and the listing event for tSIT was one of the largest we have had to date with huge give-aways and an Auction with over 60 members present.
So how did this Chia Fork that has been in a Testnet state gain so much momentum so quickly and at the same time…get listed at Chia Fork Traders. Why is tSIT changing hands with more action than most of the top Fork coins? How is that within 24 hours of being listed, more “Buy” posts were placed for tSIT than any other coin we currently list?
A lot of this has to do with something I have stressed about all Fork coins and that is “why are you different?” I feel this is an important component to the perceived value of these Fork coins into the future. Clearly the Silicoin team is doing things different than most of the Copy/Paste Forks that seem to pop up daily. We only need to look at their website and read their White Paper to understand why.
`The Silicoin Network: Combining Proof-of-Work and Proof-of-Stake Securely.’https://www.silicoin.cc/
Silicoin has a different approach and from their White Paper, it would appear they are trying to even the playing field to a degree between “whales” and farmers…and no…the solution is not “wen poolz”…
So Silicoin is introducing to the Chia Fork world a concept known as “Proof of Stake” or PoS. Proof of Stake will require, after a certain amount of plots (or perhaps all plots) to be “staked” by tSIT (SIT) coins in order to be farmed. I asked their Developers about further clarity into this, and while a lot is still under development and yet to be decided or confirmed, they have explained:
- Proof of Stake is an integral part of the Silicoin consensus mechanism.
- Silicoin combined the advantages of Proof of Work and Proof of Stake, and proposed a new Proof of Balance consensus mechanism.
- Staking per Plot is the current plan.
- Tokens (whether it is tSIT or SIT) staked by farmers absolutely will not be burned. So the system for the PoS is “commit for use”.
Furthermore, the Silicoin team feels that by basing their Fork on Chia’s PoST, they are integrating it with the consensus mechanism of PoS to reduce energy consumption requirements, avoid the paradox of over-centralization of computing power, and finally, form a balance between workload, capital, whales, retail investors, interests, and contributions.
This approach, as a Fork Trader, interests me greatly. I have struggled with watching the Fork marketplace evolve and since I am at the nexus of this space currently, I fundamentally realize that currently, there is no “sink” to cause true demand other than acquisition for speculation. But there is a steady supply of active coins every day being added to the market pool. This is like how an MMO with constant Gold coins being generated by the player-base with no “gold sink” tends to cause economic inflation within the game’s economy over time. Here, with Silicoin, we see the first actual demand stimulation built into the Fork’s long term plan. You will need tSIT or SIT eventually to farm the plots you have. You will need to “commit” tSIT or SIT to farm a large operation. While we do not know exactly the ratio that would be required, as this is still to be decided by their team, if by example, 1 coin was required per plot for staking, then a whale with 10K plots would need 10K coins to farm at 100%. Again, this is NOT how it might actually work. It is just an example of what we could expect it to possibly be.
This is not the only thing that is causing the excitement around Silicoin. We also have what appears to be a competent and active Development Team that recognizes that the “community” is going to be critically important, that communication and support of that community is paramount to a Fork coin’s success. We receive lots of updates posted as Press Releases from their team and their Discord is quite lively with significant membership. Furthermore, they seem to have the directional commonsense to engage in marketing through update posts, collaboration with various Fork partners and using Twitter and other social media as part of their game plan.
Next, there has been a lot of confusion about how they are still in Testnet and that they have 5 phases planned for this process. How is a Testnet coin able to already be trading? Why did we list a Testnet coin? Well they have stated multiple times and confirmed to us that tSIT will be converted to SIT at the appropriate time. So tSIT is a valid non-Testnet asset, despite being a Testnet coin at this time. There is no reason really to wait to be farming Silicoin.
Lastly, there is another element that is still being implemented and tested and this gives yet another “unique” spin on the Fork; Application Nodes.
`Nodes of Silicoin network participate in consensus, store copies of data and more services, participate in providing some specified services in the chain, for which they receive a reward. We named it Application Nodes. The tasks of these nodes are different in each phase.’https://www.silicoin.cc/
This “Application Nodes” seems to be (Not a lot has been revealed so far) a pseudo TimeLord or Node hosting approach using their custom Application and would appear that hosting/running this aspect will also allow farmers to achieve further rewards. This is my conclusion so far after reading through all of their posted information and White Paper.
So…what are my thoughts? Well…I like it and honestly I am placing Silicoin in my Top Five Chia Forks to be paying attention to. Through my various conversations the last few days about Silicoin with other community members (and seeing the trading action), I would say that I am not alone in this opinion.
My consensus currently on Silicoin is that I am quite bullish on the Fork and have been actively buying a lot of it when I can find time to hunt for trades. My personal rating for tSIT is: Strong Buy.
Disclaimer: I am not a Financial Advisor and this is not Financial Advice. I am just a Chia Fork Ape looking to get to the Moon because that is where I think I last parked my Lambo…