Filecoin (FIL) is a decentralized file storage system that uses the IPFS (Interplanetary File System) protocol, which enables data to be accessible from multiple locations. The project offers users a low-cost and reliable storage option by efficiently utilizing the unused storage space of network-connected devices.
Filecoin (FIL) raised over 200 million dollars during its 2017 Initial Coin Offering (ICO), making it one of the most highly funded ICO projects of all time.
TABLE OF CONTENTS
How Does Filecoin (FIL) Work?
In today’s world, where the use of computers and smartphones is widespread, users are well-acquainted with the concept of cloud storage. Cloud storage allows access to data from anywhere with an internet connection. This enables users to back up their documents and photos, and easily share them across devices or with others.
The main advantage of cloud storage is that it minimizes the risk of data loss by storing data in multiple locations. However, cloud storage services are managed by centralized companies, and their procedures for backing up and distributing files across various locations can vary. At times, issues within the data centers of these services may result in data loss or corruption for users.
To offer cloud storage in a more secure and efficient way, Filecoin ensures that data is stored on multiple devices simultaneously using the peer-to-peer file storage system known as IPFS. Similar to the popular peer-to-peer file transfer network Torrent, the IPFS system allows data to be accessed from multiple devices.
However, unlike Filecoin, peers connected to the Torrent network can go offline, which may interrupt data sharing.
Filecoin offers a decentralized, uninterrupted, and efficient file-sharing solution through its peer-to-peer storage network. To ensure the accuracy and integrity of data shared on the decentralized network, it employs two distinct verification mechanisms.
Proof of Spacetime (PoSt) verifies whether storage devices continue to hold a unique piece of data. At regular intervals, a random selection is made from among the storage providers, and they are requested to prove that they are still storing the data.
Proof of Replication (PoRep) verifies whether storage devices continue to hold an intact and unaltered copy of the complete data. Devices that store copies of the data on the network also ensure that the full content is retrievable. Additionally, the Proof of Retrievability (PoRet) mechanism confirms that the data stored on the network remains accessible. In this way, a user storing files on the Filecoin network can be confident that their data is always securely stored and reliably accessible.
The Filecoin network consists of nodes that synchronize the blockchain, storage and retrieval deals, and the miners who carry out these tasks. Nodes can broadcast various messages to the network, verify the messages included in each block, and are responsible for maintaining blockchain synchronization. Filecoin wallets are managed by these nodes. Miners are responsible for storing data and distributing it to data owners who request access. In return for performing storage and data retrieval tasks, miners earn rewards in Filecoin (FIL).
How to Mine Filecoin (FIL)?
Mining on the Filecoin network takes Place in two stages. Storage miners perform cryptographic verification of files uploaded by users to the system and are responsible for maintaining file integrity. They earn Filecoin (FIL) as a reward for providing storage. Retrieval miners, on the other hand, ensure that files remain accessible. They earn Filecoin (FIL) in exchange for services such as bandwidth and high availability.
To mine Filecoin, you need powerful hardware, including at least an 8-core processor, 128GB of RAM, a minimum of 1TB NVMe solid-state drive, and a high-bandwidth internet connection.
How to Store Filecoin (FIL)?
To store Filecoin (FIL), you can check out the wallets listed on Filecoin’s official website here. Filecoin does not provide its own wallet service. Therefore, it is important to research the security and features of a wallet carefully before choosing one.
How to Buy and Sell Filecoin (FIL)?
You can buy and sell Filecoin (FIL) with Tether (USDT) using the BtcTurk | Global website or mobile app. If you’re not yet a member, you can easily register on our website or app and buy Filecoin (FIL) by depositing cryptocurrency.
