Filecoin (FIL) has announced a strategic partnership with Avalanche (AVAX). Filecoin is a digital storage platform on the L1 protocol that allows people to store and retrieve digital data.
On the other hand, Avalanche is an L1 blockchain network that provides features and tools that enable users to launch decentralized applications. The network also has a variety of tools for developing financial assets and enabling trading and the development of business solutions.
Startups on Avalanche (@avax) don’t need to store everything on-chain. They can move archival or rarely accessed data to Filecoin, where it’s stored immutably and verified with cryptographic proofs, and reduces costs without affecting app performance or availability. pic.twitter.com/T7o7vJ5yYa
— Filecoin (@Filecoin) June 22, 2025
Avalanche Taps Filecoin for Off-Chain Data
Based on this partnership, the two firms created a multi-chain data link between Avalanche’s Contract Chain and Filecoin’s FEVM.
This collaboration means that AVAX connected its responsible, rapid transaction processing network with FIL’s data computing ecosystem, creating a foundation for a multi-chain architecture that can respond to business needs and develop them.
This integration establishes a multi-chain data avenue, enabling AVAX smart contracts to communicate with FIL’s decentralized storage ecosystem. This means that whenever DApps on AVAX require to store data, they create a request through smart contracts to FIL via the FEVM.
The data is then stored on Filecoin, given a CID (Content Identifier), and cryptographically authenticated. Once FIL generates proof of retrievability, it transmits it back to the AVAX’s contract chain. This allows AVAX DApps to validate the accessibility and authenticity of off-chain data, without compromising on-chain validity, enhancing performance, and decreasing storage expenses on AVAX.
Building Web3 Infrastructure for Business Growth
The alliance between Filecoin and Avalanche is crucial for the Web3 landscape as it offers a solution to address a crucial demand: low-cost and scalable data management for DApps.
As interest in traditional financial firms and Web2 businesses in building on high-speed transaction blockchains (like Avalanche) increases, the demand for reliable, verifiable data infrastructure rises too. Filecoin offers an archival storage layer that ensures data integrity and long-term verifiability.
By allowing Avalanche DApps to transfer data storage to Filecoin, it enables the Avalanche protocol not to become clogged, maintaining its rapid, efficient functioning.
This collaborative method to spur the utility of data storage and computing is paramount for Web3 adoption for enterprises, allowing sophisticated applications (like digital asset repository, digital collectible data storage, and supply chain verification auditing) to operate effectively.
This promotes higher composability between major protocol networks, showcasing how niche protocols can work together to develop a more responsive, decentralized, and strong digital world.
