People rent lots of stuff nowadays. Think about it – you can rent an apartment, a car, a bike, equipment, and whatnot. But can you rent someplace on your computer? Well, Filecoin is here to allow everyone to do that. We have added Filecoin (FIL) to Swapzone recently, so the timing is great to break down all the basic notions of this currency, why and how it was created, and, of course, how to get it.
It comes as no surprise that Filecoin is a decentralized protocol. This protocol has been created to let all the users rent some space out on their computers. Anyone participating can, too, buy some storage. The fact that absolutely anyone can join the network and start participating makes Filecoin a strong competitor in the data storage field – the project can grow quickly and become a massive force in storing information.
Filecoin was launched by Protocol Labs, a company building “the next generation of the Internet” and run by Juan Benet.
Filecoin’s native asset FIL is used to power the data storage and form the core of the Filecoin project. The supply of the coin is capped to 2 million and will be distributed through block rewards as time passes.
There are some fantastic points about this newly launched and hyped-up project. Compared to the products we are already used to, centralized data storage solutions, Filecoin is:
The main question that concerns users now is whether using Filecoin is generally safe. Not from the point of hacks, but from the point of storing one’s data on someone else’s computer. Fortunately, Filecoin managed to make up a way around it and find a solution to secure storage. The system splits up the files (in a way your office shredder does), so nobody without access can put the file back together. When a user with access requests a file, Filecoin arranges it back together.
Some issues might pop up when using Filecoin. One of them is speed. Filecoin needs to access multiple servers to get a hold of needed documents. This, of course, means that all these servers need to be available and online, and the Internet connection needs to be stable enough.
There is an entry barrier to the network, as Filecoin currency is required to process the transactions. One needs to buy some FIL or exchange other currency to it to start using the storage. How to get FIL is another question that we need to cover.
Filecoin is now supported on the majority of custodial and non-custodial exchange services. Getting some FIL should not be too much of a problem, but the existing variety of services create complications – what is the best deal to choose, how to get the best price, and which exchange platform is more reliable. This is where services like Swapzone step in to help users make an informed choice.
This is how you swap available currencies to Filecoin:
After you have performed an exchange, all you need to do is use your FIL coins!