SONM is an innovative system that is building a worldwide network of computing services that run more cost-efficient solutions than regular cloud services. For suppliers, the project offers rewards with their native token ($SNM).
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What Is SONM?
SONM is an innovative system that is building a worldwide network of computing services that run more cost-efficient solutions than regular cloud services. With their fog computing structure, they have managed to store large amounts of data in smaller, more decentralized data centers that would otherwise act as a bridge between devices and cloud storage. Users of the SONM system have now access to general-purpose computing services while hosts can contribute their computing power to the system, as it is the project’s mission to create the first global decentralized marketplace of computing power.
By operating in a similar way as a supercomputer would, the Russian platform is trying to create value for customers and suppliers of computing services, as they believe there is an underutilized resource in everyone’s computers that could be of service to someone else in the world. This creates a favorable scenario for scalability, cost reduction, geographical distribution, and open infrastructure that has the potential to create a global pool of computational capacity. In times where the environmental sustainability of the mining market is questioned in the mainstream, SONM has come up with an efficient solution that is trying to act as a buffer to spread computing power across the different mining centers of the world.
For suppliers, the project offers rewards with their native token ($SNM) in exchange for the peer-to-peer rental service of computing capacity to begin with. However, the advantages go way beyond what meets the eye, as the SONM market-making service has created a marketplace that acts as an automated mining task selector, which helps suppliers have their outrented hardware moved to a more profitable mining protocol. This means that, for instance, users supplying hardware for Ethereum mining can switch to another cryptocurrency mining when the price of the second one becomes more profitable than the first. By doing so, the project guarantees that suppliers get a consistent source of income with the possibility to rent out computing capacity for cloud services, helping compensate for the times where mining revenues are only making enough money to cover the electricity costs.
Pros and Cons of SONM
Advantages of SONM
The list of pros of the SONM system is long and succinct. Their value proposal enables individual owners of computing resources to profit from the rental of their hardware, which is an excellent solution to guarantee the global scalability of the project. Moreover, it offers a real alternative to cloud computing giants that set the prices arbitrarily, and it is a great platform for both the development of DApps and existing Internet applications. Their fog computing structure ensures resistance against the collapse of individual nodes, and the provision of an open-source product with a global community that can take full advantage of every component of their computer (CPU, memory, disks, GPU, and network), creates a scenario of opportunity that users will certainly appreciate as adoption keeps increasing. Last but not least, the project comes with a reputation system to help customers choose their best option, and to offer suppliers a chance to have their service adequately rated.
Disadvantages of SONM
One of the main challenges that the project could face is related to security, as many users could be reluctant to list their hardware for rental if that means that any of their data can be exposed or their hardware can be damaged. There is also the concern that the sum of the computing capacity of many users around the world might not be as powerful as the supercomputers that cloud computing giants are equipped with. While decentralization is certainly appreciated in the crypto space, there is a small chance that the supply of computing services might just not be enough to guarantee the global high demand if it needs to depend upon millions of individual users.
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The SONM system has brought a very ambitious project into existence and has experienced large adoption in the last few weeks thanks to their 10:1 coin redenomination plan and their mainnet service going live. It brings a large set of possibilities to all users in a similar way in which the sharing economy has helped everyone profit from their idle resources, and it has even created a reputation mechanism for users to make decisions more transparently. Being still at an early stage of their roadmap and with a few challenges to overcome, there is a large potential for SONM to become a leading platform of decentralized computing services in the following months.
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