Filecoin — a decentralized storage system that aims to "store humanity's most important information."
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Description of Filecoin
Filecoin — a project to create a decentralized storage platform with an embedded cryptocurrency (Filecoin, FIL). Since 2014, it has been implementing the Protocol Labs blockchain startup, the developer of the IPFS system. The idea of the project - to give some computer users the opportunity to earn FIL. It is assumed that the platform will use some IPFS components (IPLD, libp2p, libp2p pubsub) and work on the Proof-of-Spacetime (PoST) and Proof-of-Replication (PoRep) protocols. The first allows network participants to prove that they will have enough space to store information for a certain period, and the second helps to eliminate problems with storing multiple copies of the same data.
Platform benefits
Filecoin (FIL) allows data to be stored on a decentralized peer-to-peer network, making it more resistant to censorship, outages and hackers. The project also uses its own unique blockchain technology to incentivize and reward fair participants. Another unique feature of the project is its architecture.
Filecoin uses a two-node solution:
| 1 | Storage nodes help to store data on the network. Filecoin encourages average users to decentralize. |
| 2 | The platform network also uses search nodes. They should be located near the storage nodes in the network, have high throughput and low latency. Search nodes earn when they are the fastest to find and retrieve a file for a user. |
Filecoin also offers a unique business model for its customers. Users, uploading and hosting files, can bid on the open market. In this way, a dynamic balance of supply and demand is achieved, reflecting current market conditions and storage availability in the price of services.
Buying cryptocurrency
Protocol Labs describes Filecoin’s tokenomics as a “data marketplace” where users can sell their storage space to other users who want to rent. The maximum number of created tokens - 2 billion FIL. The best cryptocurrency exchanges to trade company shares are:
- Binance;
- OKX;
- CoinTiger;
- Huobi Global;
- Bybit.
You can earn FIL tokens by participating in the two-node Filecoin system.