Filecoin, a protocol for decentralized file sharing, announced the long-awaited roll-out of its mainnet on October 15th, 2020. A couple of exchanges have already provided an option to trade in Filecoin (FIL) currency. One of those service providers is ChangeNOW, which opened FIL exchange to its customers the day after the mainnet’s official launch.
Since 2017, when Filecoin raised over $200 million in one of the most successful ICO’s in the history of crypto projects, investors worldwide have been waiting for this day, and this seems to have paid off: the price of the coin reached $114 hours after its launch and is fluctuating around $60 at the time of writing (October 16th, 2020).
So what is Filecoin, and how did it get so much attention at the very beginning of the project? Why wasn't the momentum lost during three years of silent development? And what to expect from this new altcoin player in the future? Let’s find out.
Filecoin started with an ICO in 2017. It raised around $257 million and was one of the most successful ICO’s in the time of the greatest hype around cryptocurrencies. A lot of venture investors bid their money on a project in the pre-alpha phase. What was so special about it?
It promised to provide the same service companies like Google and Dropbox provide with their cloud solutions, but with a twist: it would be decentralized. The principle is that users can split their information into tiny pieces and share them between different computers all over the world. When it is needed, it can get assembled by a private key holder - and no one else.
After security concerns regarding cloud services and big corporations, it sounds like a good deal for virtually anyone worrying about information privacy on the Internet. That's why all the fuss around the mainnet launch is pretty understandable - it is one of the most awaited altcoins of the year.
What are the prospects of Filecoin?
It is hard to say what will happen with the Filecoin price in the coming days and weeks, while it will be rolling out on different exchanges and establishing its position on the market.
For now, it is available for exchange on a few platforms, including ChangeNOW - so for potential investors, it is a time of great opportunity to test its declared capabilities and give some feedback to the community. At the end of the day, only the users' adoption can evaluate the usefulness and worth of any new technology.