First to make it clear for others, David and Luke created Siacoin not to compete with Bitcoin or litecoin as a currency.
The sole purpose of Siacoin is to be an open source decentralized distributed cloud storage service to compete with
centralized cloud storage services. Siacoins should not have speculative value like all other coins. You mine for
consensus but the coins you get mining have value only because you sell them to people who want to store their files
on the Sia network and Siacoins are the only way to rent storage on Sia. Now anybody with storage can make money
as "mom and pop" datacenters.

The important thing to remember is the two devs created all this for profit just as Microsoft and Amazon provides cloud
storage for profit. The Siacoin project is a revenue stream for David and Luke's corporation they formed Nebulous inc.

How does Siacoin provide revenue for them? Through Siafunds. Siafunds are built into Sia and automatically receive
Siacoins as a 3.9% fee only and I mean only when a storage contract successfully completes. Siafunds do not get any
fees for regular transactions. Think of it this way. The Sia network allows anybody to buy some hard drives and provide
them as cloud storage without red tape or having to form a company. Whenever these hosts get paid for their
storage services, siafund takes 3.9% of it. Thats a damn good deal for everybody.

The devs turned down high paying jobs at Google to chase this. They were broke, so crowd funded on Nxt Asset Exchange
to get enough money to work on Sia for a year at least. It was successful and Nxt investors received 10% of Siafunds.
Nebulous owns the other 90%.

Its been almost a year since and a lot of ups and downs occurred including different iterations of Sia.

The fees Siafund collect are also not for buying yachts. Just like any corporation Nebulous needs the income to pump
back into Siacoin by hiring more people to make Sia as strong as needs to be to replace all centralized cloud services.
Ideally Nebulous will have hundreds or thousands of employees and Sia will be battle tested and trusted as the go
to storage service. If that happens then you can see how valuable Siafunds will be. And Nxt Siafund buyers would
deserve it with the risk they've been through. Buy some while you can on the Nxt AE if you want but now they are
pretty expensive. Siafunds will also be tradable within Sia according to the devs.

Read the whitepaper on http://www.siacoin.com/sia.pdf.
Read the history of this project https://bitcointalk.org/index.php?topic=591283.msg6486684#msg6486684