Filecoin is a decentralized storage system that aims to “store humanity’s most important information.” It is an open-source, public cryptocurrency and digital payment system intended to be a blockchain-based cooperative digital storage and data retrieval method. This system is designed to turn cloud storage into an algorithmic market, where data is stored on a peer-to-peer network rather than centralized data centers.
Filecoin's network is built on the InterPlanetary File System (IPFS), which allows users to not only receive but also host and store data. The unique aspect of Filecoin is that it offers users the opportunity to earn the Filecoin cryptocurrency (FIL) by renting out their storage.
The Filecoin protocol runs on a blockchain that records transactions made with the Filecoin token. The network is secured by proof-of-replication and proof-of-spacetime algorithms, ensuring that the data is accurately stored and remains available over time.
In March 2023,Filecoin launched the EVM-compatible Filecoin Virtual Machine (FVM), aiming to bring smart contract programmability to the Filecoin network.
Above are only for introduction, not intended as investment advice.