Filecoin is an open source decentralized blockchain data
storage network. Though we already have existing storage platforms however
filecoin visions to make a more efficient use of storage capacity using
decentralized mechanism.
Filecoin’s initial coin offering is one of the biggest token
sale and has created history by collecting $257 million. The coin is still in
its development phase and the alpha version is yet not released. Filecoin has a
reputation before its launch because the team is well known, and team has
delivered successful projects in past. Protocol labs is the company behind
various peer to peer technology projects like IPFS, IPLD, etc. If we talk about
investments, top venture capitalist in Silicon Valley has invested in filecoin.
Though the coin is not launched a team is testing as early storers and miners
of the network.
Architecture of Filecoin
The unique architecture of filecoin has attracted investors
and communities from all over world. The current file storages use single node
however filecoin uses dual node solution:
Storage Nodes
We all have heard about siacoin and storj
which uses similar nodal structure. Basically, filecoin will use hard drive
space to store encrypted files. Filecoin’s focus is on mid-sized storage networks
to incentivize.
Small data centers will have consistency
issues with connections and low space availability however large data would be
too centralized.
2.
Retrieval Node
This is something unique with fileocin
system. Retrieval nodes will be located close to storage nodes in the network.
Retrieval nodes requires high bandwidth to operate. The fastest retrieval node
will be paid once it will locate and retrieve a file for user.
Retrieval node has very much importance in
filecoin architecture.
In order to use filecoin you need to make a small payment
while uploading your file to the file exchange. Here comes storage node with
the bidding to store your file. Now this node is designed in such a way that it
will allocate the lowest price bid. Once your file in uploaded, filecoin will
encrypt the file and convert it into smaller segments. These smaller units are
stored at different locations as per the bid. Blockchain records the exact
location of the segments and stores it in allocation table and will provode a
private key. In order to decrypt the file or access file you must know your
encryption key. And this adds to the security of your data.
The only challenge filecoin has to face is that the market
is already well established, and competition is going to be tough. The Fittest
will survive.
