Digitial Ocean storage

i would like to setup seafile in digitalocean with 2TB, is it possible ?

storage should i choose space storage or block storage ?

This seems to be a rather expensive hoster. Check out hetzner ded server or their opens tack based cloud.
Object storage is only available in the pro version (sadly).

Pick a hoster that is in your country and where you are comfortable with

While I agree on the second part I don’t see a reason to stay in your home country for data storage. Some countries in Europe might be a good idea if you want your data relatively save. Additional encryption with e.g. LUCS on the server data volume (manual unlock) might even be better but is not reboot save. Reboots might happen out of the blue while using cloud instances.
Whatever you choose, be conftable with it.

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DigitalOcean’s storage should work, but it’s very expensive as it’s all SSD based.

I’m using BuyVM for mine, which I’d recommend - They charge $1.25/month per 256 GB space. Their storage product is HDD-based (HGST Ultrastar He8) with SSD caching. https://buyvm.net/block-storage-slabs/. You’d also need a VPS from them, which starts at $20/year for 512 MB RAM, 10 GB SSD space and unmetered bandwidth. Not sure how much RAM Seafile needs - I’ve got a VPS with 4 GB RAM that I run it on.