Filecoin
$FIL is a decentralized storage network that turns cloud storage into an algorithmic market. It acts as an incentive layer on top of IPFS (InterPlanetary File System), allowing users to rent out their spare hard drive space to others.
## Core Mechanics
The network operates on two primary consensus mechanisms to ensure data integrity:
Proof-of-Replication (PoRep): Proves that a piece of data has been stored in a unique physical location.
Proof-of-Spacetime (PoSt): Proves that the data is being continuously stored over a specific duration of time.
### Token Utility: FIL
The native cryptocurrency, FIL, serves several roles within the ecosystem:
Payment: Users pay in FIL to store or retrieve their data.
Staking: Storage providers must stake FIL as collateral to guarantee their service.
Governance: Token holders can participate in the network's decision-making processes.
#UMAR21