Review on Filecoin [Futures] by Ogulnar Annamuhammedova

Filecoin is a decentralized storage protocol that will allow anyone in the world to rent out free hard drive space. And of course, it will also allow anyone in the world to purchase the storage they need online.

This will create a huge pool of global data storage, which the Filecoin founders believe is necessary in the coming decades as more and more systems become computerized and storage needs grow exponentially.

The project was the brainchild of Protocol Labs and its founder, Juan Benet. This is the same company and person behind the Interplanetary File System (IPFS). Unsurprisingly, this is the same technology that the Filecoin blockchain is built on.

Given that the data will be stored on the blockchain, it will not only be distributed, but it will also be immutable. This means no one can tamper with the data, and the Proof-of-Storage is checked immediately so that everyone can see it in the transparent ledger.

Filecoin is also known for another really important record: it was one of the largest ICOs in history. The project raised a total of $ 204 million from contributors who bought SAFT agreements during fundraising in 2017.

Filecoin was one of the first blockchain projects to introduce the concept of a decentralized storage network (DSN). DSN is a storage scheme that includes a network of independent storage nodes and clients. DSN integrates storage offered by independent node operators and coordinates storage and retrieval of data.

Aggregation and coordination are decentralized, eliminating the need for trusted third parties. Instead, security is achieved through operational protocols that coordinate operations and validate storage and retrieval of data.

There are many different ideas that have led to the emergence of blockchain projects. For some reason, the use of blockchain technology for cloud computing and data storage has not received as much attention as it deserves.

The likely reason is that data storage just seems boring, and projects with a lot of hype have caught the attention of projects like Filecoin and its rivals Storj and Siacoin. However, decentralized storage has many advantages over its centralized counterparts.

One of the most cited benefits is the secure storage of personal data offered by decentralized blockchain storage solutions. Popular centralized storage solutions like Dropbox and Google are vulnerable to attacks.

The idea of ​​the project is to give computer owners the opportunity to earn native Filecoin (FIL) cryptocurrency for using the excess capacity of their hard drives for decentralized data storage.