Are you hyped about cryptocurrency and ready to explore the future of data storage? Then look no further than Filecoin, the revolutionary crypto project that is completely transforming the way we think about digital assets.
Thanks to Filecoin, anyone can buy and sell unused storage space on their devices, creating a decentralized and secure storage infrastructure seamlessly accessible to anyone.
By leveraging a powerful InterPlanetary system (IPFS) and a robust token-based marketplace, Filecoin has created an ecosystem that incentivizes and rewards users for sharing their storage space.
Just so you know, the perks of the Filecoin ecosystem go beyond just storage. As more people opt for a decentralized future, there will be a growing demand for decentralized storage solutions. So investing in Filecoin today will position you at the forefront of this trend and allow you to reap all the benefits as the industry continues to grow and expand.
Also, Filecoin’s native token has shown to be profitable, especially for investors who got in early. With its strong team of developers and marketers working behind the scenes, there is no doubt that Filecoin will regain its pride of place.
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Today’s guide will cover everything you need to know about Filecoin, including how to buy it online, the best exchange to use, and much more. Let’s start with exactly what Filecoin is.
Key takeaways
- Filecoin is a decentralized storage network that utilizes blockchain technology and IPFS to create a peer-to-peer storage ecosystem.
- Filecoin allows anyone to buy and sell unused storage space on their devices, creating a decentralized and secure storage infrastructure that is accessible to all.
- Filecoin’s native token, FIL, is used to incentivize storage providers to offer storage capacity to the network and also used to pay for storage and retrieval of data on the network.
- FIL’s price has been highly volatile and reached an all-time high of $300 in January 2021.
- Filecoin is actively developed and has a growing community, which are positive signs for the future of the project.
- eToro is a reputable platform to buy Filecoin and other cryptocurrencies.
What is Filecoin?
Filecoin is a leading decentralized storage network that is completely revamping and rewriting data storage rules. Filecoin promises a decentralized ecosystem where privacy, data sovereignty and control are placed in the hands of the people. Imagine a world where you have the power to store your data in a secure, distributed and decentralized network. Well, that is what Filecoin is.
Filecoin is powered by a unique technology called InterPlanetary File System (IPFS), which is changing the data storage ecosystem. On top of that, the project utilizes a blockchain-based market to incentivize users to share their storage space. With Filecoin, anyone can buy and sell unused storage space on their devices, thereby creating a decentralized and secure storage infrastructure that all can access.
Filecoin is creating an ecosystem where everyone is a custodian of their own data. With this, users have complete control of their digital assets.
Let us also quickly add that Filecoin isn’t just a storage device; it is a revolutionary technology that promises to disrupt the current centralized storage landscape. By creating an ecosystem where users can seamlessly monetize their unused storage space, Filecoin empowers individuals and small businesses to explore the storage market and allows them to compete with the big guns.
To have a clear grasp of Filecoin, we want you to see it as the “Airbnb of data storage,” where individuals can rent out unused storage space. With Filecoin, you have a decentralized peer-to-peer storage ecosystem with so many awesome incentives. As a new era of data ownership, Filecoin puts the future of data storage in your hand
A brief history of Filecoin
Filecoin has a remarkable history. The crypto project tells the tale of innovation, persistence and determination, even in the face of adversity. Filecoin kicked off with a small group of visionaries who envisaged an ecosystem for a new kind of data storage network that is completely decentralized, secure and accessible to all.
When the Filecoin team started the project, the vision was to build a network powered by blockchain technology and InterPlanetary File System (IPFS). The goal was to create a peer-to-peer data storage ecosystem. In its early days, the Filecoin team faced many challenges along the way, especially with sceptics who said it couldn’t be done, given the technical hurdles that seemed insurmountable.
But guess what? The team persevered, and by 2017, Filecoin launched its Initial Coin Offering (ICO), which was a huge success. During its ICO, the team successfully raised over $200 million, making it one of the most successful ICOs of the time. After the ICO, the team worked endlessly to develop and improve the network, and in 2020, the Filecoin mainnet launched.
Since then, Filecoin has become a contender in the crypto space, attracting an army of loyal and dedicated developers who believe in the Filecoin project. As the Filecoin team continues to build products and launch new services, it’s no surprise to see the project explode and attract new users every other day. With the insane work the Filecoin team is doing, Filecoin is strategically positioning itself to become the go-to decentralized storage solution for the world.
It has been a remarkable journey, and the Filecoin story is far from over. As the demand for decentralized storage soars, Filecoin has positioned itself as a big player, working behind the scenes to revamp the future of data storage.
FIL token at a glance
Filecoin’s native token is known as FIL. As the native token of the Filecoin ecosystem, FIL incentivises storage providers to offer storage capacity to the network. Not just that, Filecoin is also used to pay for data storage and retrieval of data on the network.
Being a governance token of the Filecoin network, FIL is used to govern the protocol. More so, it is also important to vote on protocol upgrades through what is called a decentralized autonomous organization (DAO).
Storage providers can earn FIL tokens by providing storage and bandwidth to the network. In the same vane, miners also earn FIL for successfully mining blocks and participating in the network’s consensus mechanism. And yes, you can also buy and sell FIL tokens on various cryptocurrency exchanges.
The total supply of FIL is 2 billion tokens. The initial supply of FIL was distributed during the Filecoin Initial Coin Offering (ICO) in 2017, where a significant portion of the tokens was sold to investors. A portion of the total supply was also reserved for the development of the network and future incentives for users and developers.
The Filecoin protocol also includes a built-in inflation mechanism to ensure that there will always be a sufficient number of tokens available to incentivize storage providers and miners. Every year, around 5% of the total supply is minted and distributed to miners and storage providers as a reward for their contributions to the network. This ensures that there will always be an incentive for users to provide storage and bandwidth to the network and to mine blocks on the blockchain.
It’s important to note that the total supply of FIL and the rate of inflation can be adjusted through a decentralized autonomous organization (DAO) system, where FIL holders can vote on protocol upgrades and changes to the monetary policy.
Currently, around 1.2 billion FIL tokens are circulating in the market, and the remaining are in the network’s reserve, development fund and locked for future incentives.
How has Filecoin performed since launching?
During its Initial Coin Offering in 2017, FIL tokens sold for around $1 per FIL. Following its successful ICO and the subsequent listing of FIL tokens on various exchanges, FIL tokens increased in value as the trading volume picked.
In the months following its successful ICO, the price of FIL tokens skyrocketed sharply, reaching an all-time high of nearly $20 in December 2017. Unfortunately, the bear market of 2018 saw the price of FIL drop remarkably, reaching a low of around $1.5 in December 2018.
Following the bearish market of 2018, the price of FIL tokens remained relatively stable until it began to pick up again in 2020. More so, the launch of Filecoin mainnet in October 2020 gave impetus to FIL price surge as more people bought into the vision of the project. In the same vane, the bullish market of 2021 saw FIL reach a new all-time high of $300.
Unfortunately, FIL has dropped remarkably from its all-time high, and it isn’t the only cryptocurrency that has been on the back foot since the massive sell-off in the crypto market from 2022 to date.
As of the time of writing this guide, FIL was trading for $4.67. A significant drop from its all-time high.
Is now a good time to buy FIL tokens?
Buying FIL tokens is a personal decision and one that should be made with careful consideration. The best time to buy any asset, including cryptocurrencies, is when the market is stable and when the asset is undervalued.
Before purchasing FIL tokens, it’s important to do your research and understand the current market conditions.
The FIL token is the native cryptocurrency of the Filecoin network, and it’s used to pay for storage and other services. The token’s primary utility is as a payment method, and its value is determined by the demand for Filecoin services. The network is still relatively new, so it’s important to assess the current market for Filecoin services before investing in FIL tokens.
It’s also important to consider the overall cryptocurrency market when deciding whether to buy FIL tokens. If the cryptocurrency market is volatile, it could mean that FIL tokens are also volatile and could be more prone to sudden price drops.
That said, FIL tokens are currently trading for $4.67, which is a huge drop from its all-time high of $300. For those who missed out on buying FIL tokens a few years ago because it was too expensive, now might be an awesome time to have it in your portfolio, especially since it is way cheaper right now. More so, experts bet that FIL token will regain its pride of place at the top once again.
How to buy Filecoin online – a step-by-step guide
To buy Filecoin tokens online, you will need to follow these steps:
- Find an exchange that lists Filecoin tokens. Some popular exchanges that may list Filecoin include Binance, Coinbase, and Kraken.
- Sign up for an account on the exchange. This will usually involve providing some personal information and verifying your identity.
- Deposit funds into your account. Most exchanges will allow you to deposit fiat currency (e.g. USD, EUR) or cryptocurrency (e.g. BTC, ETH). You will need to have one of these in order to buy Filecoin.
- Search for Filecoin on the exchange and select it. Look for the option to buy or trade Filecoin, and make sure you are buying it with the currency you deposited (fiat or crypto).
- Enter the amount of Filecoin you want to buy and review the total cost. Make sure you are happy with the price and the fees being charged by the exchange.
- Confirm and place your order. The Filecoin tokens will be added to your account on the exchange once the order is completed.
It’s important to note that the availability and process for buying Filecoin may vary depending on the exchange and your location. Make sure to do your own research and only buy from reputable sources.
How to Buy Filecoin Coin on eToro
Now that you know what Filecoin is, it’s time to show you how you can buy its native currency on the eToro platform. Let’s get started, shall we?
Step 1: Open an Account
Before you can buy, sell, or trade Filecoin on eToro, you’ll first need to open an account on the platform, as only registered users are allowed to trade on the platform. Thankfully, the process is easy and only takes a couple of minutes to complete. To register an account on eToro, simply visit eToro’s official website, click the “Join Now” button, and enter your personal information.
Step 2: Complete the Account Verification Process
After completing the registration process, you should get a notification on your email address requiring you to verify your identity. This is a requirement of most FCA-regulated brokers as they are required by law to comply with KYC procedures. So to verify your newly created eToro account, you are required to submit proof of identity and proof of address. Once you upload these documents, your account should be verified.
Step 3: Add Funds
With your account fully verified, the next thing to do is add funds to your account. Also, keep in mind that eToro offers an unlimited demo account, a brilliant option for people who want to test and improve their trading skills before trading with real money. If you’re just starting, we strongly recommend you spend time on the eToro demo account, as it will help hone your trading skills.
When you are ready to make a deposit, you can click on the “Deposit” button on eToro’s trading dashboard. And since eToro supports multiple deposit options, including credit/debit card, bank wire transfer, Paypal, Skrill, and Netteller, you can always choose which payment option is suitable for you.
Also, remember that eToro has a minimum deposit of $200. So keep that in mind when funding your account.
Step 4: Buy Filecoin token
To buy the Filecoin token on eToro, simply navigate to the search bar and enter Filecoin or Filecoin. Now, click on the first result that appears in the drop-down menu. When the Filecoin instrument page loads, navigate to the “Buy” button option and input the amount you’d like to invest. With that done, you can click on the “Open Trade” button. Doing this completes your Filecoin token purchase. To set a stop loss or take profit order, you’d need to navigate to the portfolio section. Doing this helps you to manage your trades and mitigate risks.
Final thoughts
In conclusion, Filecoin is a decentralized storage network that is revolutionizing how we think about data storage. It’s a new era of data ownership, where the future of data storage is in your hands. The Filecoin network allows anyone to buy and sell unused storage space on their devices, creating a decentralized and secure storage infrastructure that is accessible to all. Its native token, FIL, is the fuel that powers this revolutionary network, incentivizing storage providers and miners to offer their storage capacity and bandwidth to the network.
Filecoin has been on a journey of constant innovation and growth since its launch in October 2020. The network has seen an increase in the number of storage providers, miners, and users, and the storage capacity on the network has been growing steadily. Like a phoenix rising from the ashes, the FIL token has shown impressive returns for early investors, reaching an all-time high of $300 in January 2021.
Investing in Filecoin and its native token FIL is like buying a piece of the future, a future where data storage is decentralized, secure, and in the hands of the people. A future where individuals and small businesses can join the storage market and compete with the big players. A future where you can be the custodian of your own data and take control of your digital assets.
So, take the leap and be part of this this exciting journey, where the possibilities are endless. And where better to make that leap than on eToro, a reputable platform that offers the option to buy FIL and other cryptocurrencies with ease. With eToro, buying Filecoin is as easy as pie, so don’t wait any longer, be a part of the decentralized storage revolution.
