Cryptocurrencies are beginning to alter the world in a similar way to how the internet did. Transactions have never been the same again thanks to decentralisation, which started with Bitcoin and has greatly simplified, reduced cost, and increased safety. After a while, every online service was accessible via cryptocurrency. However, the internet provided cloud storage, something cryptocurrencies had not yet done. But once cryptocurrencies like Storj were introduced, that situation altered.
Over the past few years, the cloud storage network and cryptocurrency Storj have experienced significant growth. Storj is a distinctive cryptocurrency thanks to a variety of features. Understanding these characteristics will enable you to decide whether or not to invest in Storj. For the purpose of understanding Storj’s price projections, let’s start with some little background information on the cryptocurrency.
Fundamental Analysis Of Storj
Since Storj offers cloud storing services, the name Storj sounds similar to the term “storage.” Nodes that act as hosts in the network supply this storage. Shawn Wilkinson, a software engineer, first created Storj in 2014. John Quinn, a businessman who has worked on various blockchain-based initiatives, is one of the co-founders of Storj. Quinn was also a key contributor to the formation of Storj Labs Inc., the organisation that developed Storj.
The team launched open sales to collect money for the Storj project, and they were able to raise about $460,000. The team’s subsequent token sales brought in around $30 million, which was enough to fund the project’s debut.
Understanding how the Storj network functions may not be difficult if you are familiar with torrents. The users of this peer-to-peer network can exchange files. File Sharding is Storj’s primary component. A file is divided into several smaller pieces through the technique of file sharding so that it may be shared more easily. In addition to speeding up file transfers, shards offer protection over the ownership of your assets. Such files are divided, so one person cannot serve as the host for the whole file.
Additionally, the only person with access to the person holding your file shards is the file owner. Through the distributed hash table known as Kademlia, the owner has access to this. In the latter, access to the shards is granted only with the owner’s private key. Therefore, the primary distinction between Storj and torrents is the level of secrecy it offers.
The Parity Shards are yet another aspect of Storj. Parity shards’ primary purpose is to encourage the redundancy of the file shards. By selecting the amount of parity shards you choose, you alone may decide the degree of redundancy of your data. These are necessary to prevent the potential that your file may disappear. Only if the host who is giving you cloud storage falls offline is this possible. Therefore, selecting a high amount of redundancy is crucial.
However, a network with too much redundancy may get congested, which might reduce its effectiveness. As a result, Storj also employs an algorithm called Erasure Coding. Erasure coding ensures that file shards haven’t been excessively copied and that redundancy levels stay constant.
Tenants are those who upload files, and farmers are those who host them. The data are encrypted and sharded before being uploaded by the renters. In addition to being unable to access the information in the shard, the farmers also lack the necessary access to the other sections of the file to interpret the shard. A hacker would have to find every single shard in the Storj network, which is almost difficult, in order to access the data. That can only be accomplished if the hacker has access to the Kademlia and the private keys. Because of this, using Storj is significantly safer than using a centralised cloud storage service.
The network rewards farmers for their contributions with STORJ tokens. The network does hourly file verifications to ensure that the farmers are consistently working. Sending farmers a request form allows for this type of audit. The verification is finished if the farmers are able to reply to that form.
Storj payments for hosts. Source: Storj
The Bridge server is another component of the Storj network. Tenants can keep their encrypted file keys on this server in a more secure manner. Keys were formerly kept on computers, which were open to hacking. Additionally, you wouldn’t have had access to your keys if you had to use a different computer. These problems were fixed by Bridge.
In terms of cost, storing files in Storj is far less expensive than using centralised services like Amazon, Google, etc.
Not only are such solutions around 80% less expensive than centralised options, but they are also widely accessible and available in most nations.
Let’s now briefly discuss Storj’s tokenomics. Storj initially had a 500 million STORJ supply, with 25% of that number being issued during an ICO in 2017. Approximately 425 million STORJ are now available since some of these 500 million were burnt. Around 288 million STORJ are now in circulation. Proof-of-Work serves as the consensus mechanism for Storj transactions (PoW).
Storj is supported by several cryptocurrency exchanges, therefore you may use those exchanges to buy STORJ. The ones that are most dependable include Binance, Kraken, etc.
Storj Price Prediction 2021
In order to further enhance its networks, Storj is trying to upgrade and add new capabilities. Storj’s price may rise as a result of this in the near future. Furthermore, many analysts anticipate another positive trend in 2021, thus the year is far from done. It’s possible that Storj may surpass its March 2018 price record. By the end of the year, the price of STORJ is expected to reach $5 and even approach $7.
Storj Price Prediction 2022
Storj might become one of the top file-sharing networks if these upgrades are made. There is no question that decentralised cloud storage choices like Storj are superior to centralised cloud storage networks. The cost of STORJ is probably going to rise as people pay more attention to cryptocurrencies in general and Storj in particular. According to forecasts, the cost of STORJ may surpass $10 in 2022.
Price Prediction For The Next 5 Years
Decentralized cloud storage is not only more affordable for consumers, but it is also safer. As more individuals become aware of this, STORJ token demand rises. Furthermore, Storj’s price is less likely to rise because of its restricted supply. Future shortages and price increases of STORJ might result from this. The main threat to Storj is from other cryptocurrencies like Sia. Furthermore, Sia provides decentralised cloud storage. However, it might become a significant issue for Sia if Storj is successful in implementing next improvements. Even Sia, which has a $778 million market worth, is a small-cap cryptocurrency. The growth of Sia and Storj is possible despite the rivalry. As a result, Storj’s price may increase to $25.
Historic Market Sentiments
2017
The price of the STORJ token when it was released in July 2017 was $0.81. The cost decreased over the next days, reaching $0.37. Investors took advantage of the price drop and drove it up to $1.82 by August. The cost was around $0.40 in the months that followed. The cost of STORJ began rising once more in December of that year, reaching a peak of $2.43.
2018
Beginning in January 2018, there was a continuation of the price rise that had begun in December 2017. By January 9th, 2018, the cost has increased to $2.62. However, that was the year’s high point as the price of STORJ began a downward trend that had it as low as $0.12 by December.
2019
Storj had a pretty underwhelming year in 2019, with prices ranging from $0.09 to $0.30 all year long. The same can be true for many other cryptocurrencies, as investors in the crypto world have grown gloomy.
2020
Due to the epidemic, it was only natural for investors to be wary about owning cryptocurrencies in 2020. STORJ’s price did, however, manage to reach $0.68 in September of this year before falling down to $0.30 in the final three months of the year.
2021
The cost of STORJ was $0.29 on January 1st, 2021. In the first four months of this year, the price began to rise, mostly as a result of the BTC halving in 2020, which coincided with a rising market. The price of STORJ rose to $3.91 in late March of this year, marking its all-time high. This represented a price rise of 1200% in only one calendar quarter. As of June 14th, the price of STORJ is about $0.94 after a decline in price.
The market capitalization of Storj is around $270 million at the present pricing and a supply that is in circulation of about 288 million STORJ. As a result, Storj is ranked 135 on the cryptocurrency market. Storj is a small-cap cryptocurrency due to its current market cap, which indicates that it has room for further growth. Storj has a market valuation of about $398 million when fully diluted.
FAQ
Is it wise to invest in Storj?
Numerous forecasts suggest that the price of Storj will rise, making it a beneficial investment. Additionally, you may generate a respectable profit by renting out storage.
Can STORJ ever be purchased for $10?
Storj can easily hit $10 in the coming years because its pricing potential has not yet been fully realised.
Is it wise to purchase Storj in 2021?
Storj may be worthwhile to purchase owing to its pricing potential because it is updated frequently to become better than its rivals.
Can the price of STORJ rise?
Yes, a number of reasons indicate that the price of STORJ may rise over the short and long terms. It is a superior choice to centralised cloud storage choices because of its restricted supply, effective, and lucrative services. These facts imply that STORJ token demand may rise in the future. The price of STORJ rises as a result of a decrease in supply and an increase in demand.
Takeaways
A file-sharing network called Storj offers reasonable storage space at a low cost.
STORJ, the native token of Storj, is employed in network transactions.
To provide a secure service, Storj employs file-sharding, parity shards, erasure coding, and bridge servers.
In the upcoming years, Storj’s price is anticipated to rise.
By the end of 2021, Storj may be worth $6.
Storj is an excellent investment all around.
