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Does Filecoin Have a Promising Future?

Does Filecoin Have a Promising Future?

Introduction

In 2020, several cryptocurrencies shaped up the economic markets around the world. The astronomical growth of Bitcoin, the world’s largest cryptocurrency, helped millions of investors with quick profits during the COVID-19 pandemic. Traditional financial assets failed to match the growth of cryptocurrencies. Among these high-growing digital currencies, Filecoin (FIL) made significant waves in the past few months. In early-2021, the price of FIL cryptocurrency grew by more than 250%.

Such fast-paced growth has generated interest for Filecoin in the crypto investors community. Before jumping to the Cryptocurrency price prediction of Filecoin, let’s have to understand how this cryptocurrency works. 

What is Filecoin (FIL)?

Filecoin is a peer-to-peer blockchain network that incentivizes reliable file storage. The network-based file storage protocol used by the Filecoin network drives its basic workflow. The Filecoin ecosystem and its blockchain use FIL coin as a native governance token. This token helps users in paying for the file storage services on the platform. According to the Filecoin protocols, every user delivers FIL coins to the miners for storing their files. The miners receive these files and commit to their storage on the Filecoin public blockchain network. Each file stored is verified by the miners. In the end, the users pay FIL coins to these miners to retrieve their respective files.

A Brief History on Filecoin (Fil) Price

Before getting into the FIL price prediction, let’s understand more about its history. The Filecoin project was launched in 2014. It was designed to offer incentive layers for a P2P storage network called Interplanetary File System. Filecoin launched its FIL token on an open protocol. The price history of FIL coins began when users started storing large volumes of data on the Filecoin network in a decentralized manner.

The price of Filecoin at its ICO was $0.75 per coin. With growing cloud storage and centralized control on data from AWS and Cloudflare, organizations sought this decentralized data storage. It spiked the price of Filecoin significantly in the following years.

What Experts Say on Filecoin Future Price

Several crypto experts offer their Filecoin price forecast to capture this impressive run for FIL coin in the coming years. As of May 2021, the price of the FIL coin is $155.09. According to expert crypto investors, Filecoin is likely to touch the $199 price by the end of this year. These investors also foresee the FIL price to cross $500 within the next five years. 

According to a leading market forecaster, the price of FIL is also expected to be worth $1,227 this year due to heavy investments from Chinese institutions. Based on this Filecoin price forecast, the FIL price may even touch $2,566 by 2025. Most experts consider Filecoin as a reliable and high-profit investment. 

When Will Be the Right Time to Invest in Filecoin?

Almost every Filecoin price forecast indicates 2021 as the right time to invest in FIL assets. A recent FIL price prediction for 2021 sees a promising future for Filecoin, estimating it to add nearly $350 to its value by 2021-end. This prediction also projects an $800 increment in FIL price within the next five years. By investing in Filecoin at $155 (current price) in 2021, investors can double their profits when it touches $500 in December or surpasses the $3,000 price by the end of 2025. 

Advantages of Filecoin (Fil)

Multiple factors are associated with supporting every Filecoin price forecast positively. The following advantages of Filecoin make FIL a fast-growing cryptocurrency in the market. 

  • Users can choose where to store their files on the Filecoin network.
  • Every user gets high bargaining power while using these services.
  • The miners can optimize file storage based on redundancy, speed, and cost.
  • Filecoin’s decentralized file storage offers hyper-competitive pricing. After finding the best-suited miner, the user can verify the storage of files independently.

The Filecoin network also rewards its miners with FIL assets for their decentralized storage of files. 

Bottom Line

Each Filecoin price forecast available online showcases the bright potential of the FIL coin. The price of FIL is less likely to be affected by any adverse elements. Currently, the Filecoin network does not have any significant competitors. According to several crypto experts, Filecoin’s value will be reaching $2,000 in a few years, registering a 1000% increase in its price.

Darryl Fisher

Darryl Fisher is a technical analyst with background in finance. He is a self made writer for his passion in finance and cryptocurrency world. He has three years of writing experience in financial world. He has recently joined EdgeCoinNews as a crypto writer. Before getting into writing, he is trader and analyst in well known corporate firms.

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