On 10/31/2018, Nebulous will implement a hard fork on the Sia blockchain with a change to the hashing algorithm. This will invalidate all current miners in favor of Obelisk ASIC units. Prior to the fork, the SiaPrime team will implement a new SiaPrime blockchain on 10/30/2018 at ~11:30pm EDT. This fork will allow all Blake(2b) miners (eg Innosilicon S11, Halong B52 and Bitmain A3) and we have multiple pools ready to accept mining.
Snapshot / Airdrop – Important Please Read
There will be a limited airdrop for Siacoin token holders that will occur outside of our own fork. The team will make a copy of the Sia consensus on 10/31 (block height 179000 ) when the Sia fork is implemented. SiaPrime wallets will be credited with the airdrop shortly after the Sia fork (likely within a week or two).
The team feels a large overhang of tokens is not necessary to operate the storage network and not ideal for long term token value, critical for miner profitability. SiaPrime recognizes the extraordinary effort that went into developing the Sia protocol. To pay it back, we are keeping the Siafund mechanism in our blockchain with all funds accruing to the original Sia holders. In addition, we are creating an initial 300m token reward at genesis for the Nebulous development team. Finally we are doing a limited airdrop to current SC token holders.
The goal is a balanced token economy considering long term utility, miner profitability and support from Sia token holders. 10 billion tokens are created in the genesis block and distributed to a separate project wallet. This wallet will distribute on a 1:5 basis (for every 5SC tokens, you receive 1SCP token) to all addresses on the Sia consensus, or approximately 7.4b Prime tokens to all SC holders. This seeds the project with liquidity for hosting/renting/exchanges as we create the network. The exception is a 300m grant to Nebulous, Inc in support of core protocol development and a 200m amount used for mining pool maturity and unexpected issues at launch. We may limit large exchange address grants as these tokens may never be distributed.
SC holders should have tokens in a private Sia wallet (any version) on 10/31 at block height 179000. Within 2 weeks of chain launch, users will download our wallet and input the original Sia seed. Miners can download the wallet at launch. The balance of tokens will be used to ensure the success of the SiaPrime project in two ways:
The first is a host/renter incentive fund to jumpstart network formation and to provide long term incentives for larger datacenter acquisition as we develop our product suite. The second use is listing on token exchanges. We’ll do OTC trades to convert funds for listing fees to ensure miners/hosts/renters have transaction capability.
When tied to a block reward reset and no founder premine, we believe the Prime project can achieve optimal tokenomics given unique supply issues of a Sia-protocol based project. Incentives are weighted toward miners/hosts/renters. SC holders get a lesser diluted asset with the hopes they will support the project long-term.
How to prepare for the fork
If you own Siacoins or Siafunds, the best strategy is to be in full control of the keys. This means that you should have the coins in a private wallet and not on an exchange. While sometimes exchanges do honor forks after the fact, there is little precedent for it. It doesn’t matter what version of the Sia wallet you are running as long as you control the private seed. When the Sia fork occurs on Halloween, we will identify all the address balances and run a script to determine the total number of tokens each address is due.
This process should only take a day or so but will not be immediate, so please be patient. Once the script is completed, we will distribute tokens to SiaPrime users. You will need to download our wallet (available on 10/30/2018) to claim your tokens. Once you have the new wallet and we have announced the airdrop is complete, you will simply enter the seed used on your Sia SC wallet into the SiaPrime wallet and find your new tokens.
Our wallet is open source and available for inspection. If you are concerned about security, the best strategy is to move your SC tokens from one address into a new address with a new seed after the Sia fork is complete. That way, when you input your old seed into the SiaPrime wallet it is no longer related to your SC tokens.
- SC tokens in private wallet w/seed
- After the Sia fork, download the new SiaPrime wallet
- Wait for our announcement the airdrop is complete
- Enter your Sia seed in the SP wallet and find your tokens
If you run into challenges or need further assistance, reach out to us on any of these channels