Filecoin (FIL) is a peer-to-peer network that acts as a storage cabinet on the internet. It is designed to make sure that everyone involved in its network gets rewarded, which strengthens the overall reliability of the stored files. Filecoin allows anybody to engage in open markets for storing and recovering data.
How Does Filecoin (FIL) Work?
Unique Features of Filecoin (FIL)
Filecoin is a cryptocurrency that allows storage providers to sell their space on the open market. People and organizations that run miners and earn FIL tokens are known as storage providers. A miner could be any internet-connected computer with free disk space or a specialized Filecoin-specific system with plenty of storage. The blockchain compensates miners for providing usable storage to the internet rather than for completing inefficient proof-of-work calculations.
When a storage provider adopts the Filecoin protocol, they receive access to the entire user community. The protocol and network handle all of this, so providers don’t have to create their own storage API or market their services. By reducing entrance obstacles, Filecoin supports a robust, decentralized ecosystem of independent storage providers.
A Great Platform for Miners
Deals for file storage and retrieval are made in open markets. Without requiring permission, anyone can join the Filecoin network. A miner requires only an internet connection and free disk space to run. Filecoin allows a vibrant ecosystem of numerous independent storage providers by lowering entrance barriers.
A Storage Platform for NFTs
The highlighting feature of Filecoin is its ability to hold the underlying digital assets for non-fungible tokens, which are proofs of ownership (NFTs). Digital art, music, and videos, for example, are far too large to be stored directly on a blockchain. As a result, the actual asset is stored on Filecoin’s storage network, while art collectors acquire and transfer ownership certificates. The Filecoin network is used by OpenSea.io, the largest marketplace for NFTs, for permanent file storage and has handled over 1.17 million storage transactions and currently has over 32 million gigabytes of storage space.
Dependable Storage
Filecoin provides a legitimate economic rationale for files to remain available over time because storage is paid for. Files are saved on computers that are dependable and have good internet connections.
A Solitary Protocol
Filecoin apps can store their data on any miner that uses the same protocol. There is no need to develop a new API for each provider. Applications that want to serve multiple providers aren’t restricted to the lowest-common-denominator set of functionalities that all of their providers support.
Resilience to Censorship
Since no central provider can be forced to delete files or withhold service, Filecoin defies censorship. The network is made up of a variety of computers operated by a number of people and organizations. The network detects and removes faulty or malicious actors instantly.
Open Source Code
Both clients and storage providers operate on open-source code. Storage vendors do not need to create their own infrastructure management software, and the enhancements to Filecoin’s code assist everyone.
The total token supply of FIL tokens is 147,799,573, and the current circulating supply is set at 147,799,573.00 FIL.
Filecoin (FIL) Price
Filecoin (FIL) is now trading around $29.99 as of Jan. 12, 2022. Its 24-hour trading volume on exchanges is around $467,241,206.
Source: https://coinmarketcap.com/alexandria/article/what-is-filecoin-fil-features-tokenomics-and-price-prediction
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