Filecoin

Filecoin is a decentralized data storage network that coordinates a global marketplace for storing and retrieving data without relying on centralized cloud providers.

Instead of uploading files to servers owned by a single company, data is distributed across a network of independent storage providers who are compensated according to the protocol's rules.

Cheat sheet

How it works 

Filecoin functions as a marketplace for digital storage.

Users pay to store data. Storage providers offer disk space in exchange for compensation. Agreements specify price, duration, and retrieval terms.

Filecoin builds on IPFS, a peer-to-peer system that identifies content by its cryptographic hash rather than location. While IPFS handles distribution, Filecoin adds economic incentives and onchain verification to support long-term storage commitments.

3 things to know about Filecoin

Visualizing Filecoin

Where Filecoin fits

As blockchain applications expand beyond financial transactions, data storage becomes an increasingly important part of the broader ecosystem. Filecoin represents one model for how that storage layer can be coordinated, using open markets and onchain verification rather than centralized infrastructure.