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China-based consortium IPFS Union is investing over $1.3 billion to create China’s largest decentralized storage in Jiangxi Province of Fuzhou City. As part of its “Big Data Industrial Park” project, the station will mine Filecoin (FIL), a peer-to-peer data storage platform, allowing users to trade storage without a third party, a blog article by Filecoin read. After the network was upgraded to mainnet a few months ago, Filecoin has gotten a lot of coverage in China. According to the article, this mining facility will be China’s largest distributed storage facility, bolstering the union’s big data vision. For the past ten years, the consortium has seen some major tech players including Microsoft, AMD, Huawei, Alibaba, and SAP leading the world in cloud storage, massive cluster data management, and internet infrastructure.
What is Filecoin?
Filecoin is a peer-to-peer file storage network with built-in economic incentives to ensure that files are safely stored over time. They allow anyone to rent out extra storage space they may have on their computer. Filecoin launched in October 2020, and its ICO raised $257M.
Storage miners are machines that are in charge of storing files and demonstrating that they have been stored correctly over time. Anyone can enter Filecoin if they want to store their files or get paid to store other people’s files. No one corporation has leverage over the amount of storage available or the price of that storage. Instead, Filecoin allows anybody to participate in open markets for storing and retrieving data.
A blockchain and native cryptocurrency are included in Filecoin (FIL). For storing files, storage miners earn FIL units. The blockchain of Filecoin stores transactions for sending and receiving FIL, as well as proofs from storage miners that they are correctly storing their data.
For miners
Filecoin is a cryptocurrency that allows storage providers to sell their space on the open market.
People and organizations that run mines and receive Filecoin tokens are known as storage providers. A miner may be any internet-connected machine with free disk space or a dedicated Filecoin-specific device with plenty of storage. The Filecoin blockchain rewards miners for providing valuable storage to the internet rather than for completing inefficient proof-of-work calculations.
When a storage provider adopts the Filecoin protocol, they gain access to the entire Filecoin user community. Filecoin’s protocol and network handle all of this, so providers don’t have to build their own storage API or advertise their services. Filecoin allows a vibrant, open network of independent storage providers by eliminating barriers to entry.
Sources:
Filecoin price today, FIL live marketcap, chart, and info | CoinMarketCap. (2021). Retrieved 20 April 2021, from https://coinmarketcap.com/currencies/filecoin/
What is Filecoin?. (2021). Retrieved 20 April 2021, from https://docs.filecoin.io/about-filecoin/what-is-filecoin/#for-users
Microsoft-Led Consortium Invests $1.3B in Largest Decentralized Storage Facility in China to Mine Filecoin (FIL). (2021). Retrieved 20 April 2021, from https://cryptonews.net/en/news/mining/54
