The FIL price update as of now is $4.57. In the previous 24 hours, its trading volume was $270,601,533, and its value has increased by 1.73%. As of now, FIL's live market cap is $2,731,710,362, and it is ranked as the #48 on the Coincu. FIL has a circulating supply of 1,960,717,575 and a maximum supply of 1,960,717,575.

What Is Filecoin?

Filecoin is a decentralized data storage network created by Protocol Labs that enables users to sell their surplus storage on an open platform. It serves as the incentive and security layer for IPFS (InterPlanetary File System), a peer-to-peer network designed for storing and sharing data files. Filecoin transforms IPFS' storage system into an "algorithmic market," where users use Filecoin's native token, FIL, to compensate storage providers for storing and distributing data on the network.

How Does Filecoin Work?

Filecoin operates on the premise that users pay for storing their files on storage miners. Storage miners are computers responsible for storing files and proving their correct storage over time. Anyone who wishes to store their files or earn money by hosting other users' files can join Filecoin. The availability of storage and the cost of storage are not controlled by any specific company. Instead, Filecoin facilitates open markets where anyone can participate in storing and retrieving files.

Notable Features of Filecoin

Filecoin offers several advantages over centralized data storage solutions. These include:

• Cost - By fostering a larger free market for data storage, Filecoin aims to drive down prices.
• Scale - By bringing together millions of computers worldwide, Filecoin creates a massive storage network.
• Economy - Rather than building new storage computers, Filecoin utilizes existing resources.
• Safety - Unlike centralized platforms like Dropbox and iCloud that have been susceptible to hacking, Filecoin's decentralized network eliminates single points of attack, making it more secure.

Data Saving with Filecoin

Storing data on Filecoin allows users to leverage the power of a distributed network and an open market consisting of numerous storage providers or miners.

Filecoin Mining

Miners on the Filecoin blockchain are responsible for storing data, providing content, and creating new blocks. FIL mining differs from Bitcoin or Ethereum mining, as it involves contributing storage for transactions with customers seeking to store data and earn rewards.

Why Filecoin (FIL) is Vital

Over the past few decades, the methods of storing and accessing data have evolved. In the business world, this has shifted from on-site storage, where companies maintained large server rooms, to remote data storage facilities and diversified cloud storage solutions worldwide. Currently, most businesses employ a combination of these storage approaches. Similarly, consumer data storage has also changed, with a growing reliance on cloud storage.

This landscape has given rise to dominant players in the cloud storage market, such as AWS, HPE, and Dell. Business customers generally choose one provider and remain with it for an extended period, stifling competition. Filecoin empowers customers looking to purchase storage to find the best deals in real time, regardless of the storage provider. This has the potential to foster a more competitive cloud storage market.

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