> Another option is requiring service providers to put up a surety bond. Before they are allow to participate in the ecosystem, they must set aside a lump sum o

> Another option is requiring service providers to put up a surety bond. Before they are allow to participate in the ecosystem, they must set aside a lump sum on the blockchain held in escrow. These funds would be used to compensate any customers harmed by failure to honor storage contracts. But this has the effect of creating additional barriers to entry and locking away capital in a very unproductive way. If bonds solve the bad actor problem, then this use of capital would directly enable safe data storage. I guess it depends on your definition of “productive”, but that definitely feels like a good use of capital to me.