Why is Filecoin different? And the new challenges and opportunities for Filecoin!
Filecoin is a decentralized storage network that allows users to store, retrieve, and share data securely and efficiently. It is based on blockchain technology and uses its cryptocurrency (also called Filecoin, stock code FIL) to incentivize and reward participants for contributing storage space or accessing storage space.
Filecoin aims to create a global data storage market where anyone can provide or rent out unused storage space to others, all without relying on centralized storage providers like Google, Amazon, or Dropbox.
Filecoin connects storage providers (individuals or businesses offering storage space) and storage users through a peer-to-peer network. It is built on the InterPlanetary File System (IPFS), which is a protocol designed specifically for decentralized file storage and sharing.
In simple terms, here’s how it works:
1. Store data
2. Incentivize providers
3. Retrieve data
4. Blockchain and transactions
5. Data security on Filecoin
Why is Filecoin different?
1. Decentralization
2. Cost-effectiveness
3. Open and transparent
4. Participation
