Storage contract in the future
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Hi there, I have a question.... if I start using SIA for renting storage and let's say I rent 1 TB at a current price of the SC which is 0.019 so the price is set at around at 100 SC/month at the current exchange rate that will be a price of around $2 USD/month for the client but what about if the SC spikes up to 1SC/$0.50 USD in theory my client would be paying $50 USD/TB ...... so should the price of the contract and monthly payment be arrange each time the SC value fluctuates ..... to be honest this is something that is not quite clearly explained on the platform, website and son on....
I would appreciate some insights on that.
Cheers!!
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Right now it is as you describe. You can manually update the allowance on price hikes.
In the future, I expect two things to happen, which will make this problem go away totally:
- automated price adjustments based on your storage requirements, network pricing & exchange rates. It's unclear whether that would be through a 3rd party tool (Sia Cluster does some of that already for hosters) or baked directly into Sia
- much more stable exchange rates of SC to fiat currency as the ecosystem matures
At this time, this is one of the smaller problems keeping the solution from being ready for end users, so don't expect this to be solved soon :)
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Yes, I also think that, let's wait for things to move forward and we will see.
Thank you for the answer
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As I understand it, this isn't really a problem for the client as the contracts are all paid in advance. The risks/rewards of price volatility are exposed to the renter when they receive their payments and at the end of the contract when their collateral is returned. What you sold for $2/TB today might be worth 0.50c/TB or $5/TB when you receive your collateral back and can cash your coins in.