In short, #FiIecoin it is a system that allows users to store data. In 2017, investors in the project invested more than 205 million dollars through the initial coin offering (ICO), which propelled the Filecoin cryptocurrency to be among the most profitable cryptocurrencies.
In 2018, the data explosion caused a shortage in storage volumes. This context drove platforms and individuals to create and sell storage spaces. Unlike other blockchain networks, Filecoin uses a decentralized system that makes it more secure. The project has the ambition to store the most important human information in the future.
In practice, the Filecoin project operates peer-to-peer. In other words, internet users interact with each other based on the information available to them. Tangibly, Filecoin miners are members of the ecosystem with the spaces they offer and provide. In return, participants and users looking for space request them to obtain the storage units they need. To do this, users pay a fee for the storage spaces they wish to use.
With that in mind, they will receive offers (bids) from cryptocurrency miners in Filecoin, from which they will choose the offer that suits them best. After that, their data will be encrypted, segmented, and distributed across network spaces before being recorded on a dedicated panel on the blockchain. In the end, to recover their files, they only need to provide their private key.
The Filecoin cryptocurrency operates on a fast system based on miner services. In this sense, a portion of the rewards is paid to inactive miners to support the distribution of information through distributed locations. Similarly, they will later be responsible for providing the space in addition to contributing to the decentralization of data and the functioning of the network. Thus, this method ensures high speed in data recovery and access.
Since it is a decentralized network, storage spaces remain easily accessible, and this approach does not require many protocols. It is important to note that a Filecoin wallet can be made physical. This is a key milestone in the security standard of digital currencies. Like cash, cryptocurrencies can be stolen from their owners. To address this issue, Filecoin preferred to convert the cryptocurrency Filecoin into a physical and digital format #FiIecoin $FIL #FIL #Binance #Write2Earn #bitcoin
