What is Filecoin?
File Coin (FIL) is a decentralized storage system and sharing network. File Coin offers a unique experience for its users using various technologies. In fact, File Coin works like platforms like Dropbox. The difference is that users in the File Coin can use the storage space provided by the miners instead of using a centralized data storage reference. The technology used in the File Coin acts as an incentive layer in the InterPlanetary File Transfer System.
This technology uses hash-addressed structures to improve performance. File Coin is equipped with internal Ethereum integration and allows developers to access Ethereum blockchain data and interact with smart contracts. File Coin seeks to address some of the major concerns about file sharing and cloud storage. Centralized storage spaces are always attacked due to their structure. For this reason, File Coin provides a more secure and efficient service to consumers using the blockchain network.
Who developed File Coin?
An American company called Protocol Labs developed File Coin. Protocol Labs was created by Juan Benet in 2014. The company had developed the Interplanetary File System (IPFS) before the File Coin. IPFS is a peer-to-peer (P2P) protocol for storing and sharing data in a distributed file system. In addition to the IPFS protocol, the company has also created a framework for developing decentralized applications called libp2p. Other products of this company include CoinList.
CoinList is a platform for investing and trading tokens. All Protocol Labs achievements are open source (in terms of structure and existing documentation). The Protocol Labs team is made up of people who specialize in Fintech, open-source software development, cryptography, and distributed systems. Protocol Labs released the experimental File Coin Network in December 2019.
What are the features and benefits of the File Coin?
The most important advantage of the file coin is the purpose for which it is designed; because it has taken the storage of data and information out of monopoly mode. Other benefits of the file coin include:
Filecoin has internal processes for checking file history and verifying their correct storage over time. Each storage miner proves by providing evidence that the files are stored in a 24-hour window. In this case, customers can effectively scan this history to ensure that their files are stored correctly.
In Filecoin, information is stored in the form of files and retrieved in open markets. Anyone can join the Filecoin network without a license. A miner only needs an internet connection to operate.
Another advantage of the File Coin is its competitive price. Storage and recovery prices are determined by supply and demand and the company does no special pricing. In this way, reliable storage is available at reasonable and competitive prices. Therefore, miners compete with each other based on their storage capacity, reliability, and speed, not marketing.
Miners pay for storage, so there are economic reasons to keep files safe for long periods. Files are stored on computers with reliability and Internet connection.
For storage, miners prove their credibility through a history published in Blockchain, not through marketing claims promoted by themselves. As a result, users do not rely on the status or statistics provided by storage miners.
File coin uses empty space and provides that space to the customer. Unlike other distribution networks that are not economically motivated, miners are encouraged to join Filecoin. Easy joining is another factor that increases the acceptance of file coins. Miners manage their storage and obtain FIL tokens without the need for human supervision.
File coin is resistant to censorship. This network consists of different computers managed by different people and organizations. Malicious providers are detected by the network and removed automatically.
Is File coin a competitor to Amazon and Dropbox?
File Coin (FIL) is often touted as a competitor to the Amazon web system or Dropbox, but this new technology is likely to overshadow wider platforms. One of the goals of Filecoin is to create and deliver a content delivery network (CDN) service. Content delivery networks play an amazing role on the Internet. Data moves fast, but the world is huge, and users who are close to a particular file get the file much faster than users who are in a farther geographic area.
Most of the stored data does not have a specific applicant but some of the stored data become very popular. For such popular data, companies provide data recovery services, which means they provide the data to customers for a fee. Services like Dropbox or Amazon are always at risk of data loss. Filecoin or other data storage blockchains are created to solve these problems. The management of the File coin blockchain is not limited to a person or entity; so hacking and destroying information is not easy.
As discussed in detail in this article, Filecoin is a decentralized storage network that allows anyone to rent storage space. This means that anyone can buy storage space on the network. Filecoin is called a catalytic layer on top of an open file system. Open File System is a personal data storage and retrieval protocol created using a more decentralized approach.
Filecoin Infrastructure is a personalized distribution network whose primary purpose is to provide a new way of storing data for organizations and individuals around the world. When people have free storage space, they can become storage miners who are primarily responsible for storing data in the Filecoin network.
File Coin (FIL) uses encryption, and storage providers do not have access to decryption keys. Because a system is distributed, files are stored in multiple storage locations. Filecoin allows consumers to choose the best storage option instead of choosing fixed vendor contracts or high prices for on-demand storage. In short, Filecoin offers a great solution for file storage and recovery inefficiencies. This puts the power in the hands of customers who are less committed to large companies. The success of the Filecoin ecosystem depends on its use in the digital currency community.