Decentralized storage network Filecoin has finally launched its highly anticipated FIL token, seeing its price skyrocket by 630% just hours after going live.
As of writing, the coin’s price remains highly volatile. At launch, FIL debuted at $28.61, reaching a short-lived peak of $208.95. FIL has since dropped to its current price of $65.03, per CoinGecko. Similarly, its market cap has fluctuated intensely, surging from $421 million to a peak of $1.5 billion at launch, and has since dropped to $1.06 billion.
Filecoin is a decentralized file sharing and storage service, designed to provide reliable longterm storage solutions and competitive storage pricing. Users can store files on Filecoin or get paid to store user data. Those who mine data storage yield the platform’s native token, FIL. Exchanges of FIL are recorded on the blockchain and used to verify that user data is being stored correctly.
Filecoin’s storage solution could benefit those who don’t want to deal with setting up traditional backups and those who live in places where government censorship is rampant.
The token launch has come three years after Filecoin initiated one of the largest token offerings of 2017, which saw sales of over $205 million. The launching process, however, was not smooth-sailing. FIL’s journey to mainnet has been marked by delays and an investor revolt against Protocol Labs in August.
Crypto exchange giant Kraken has already announced support for the asset while cautioning traders about its high volatility.
“We are pleased to announce that Filecoin (FIL) will be listed on Kraken starting October 15.
This will be a ‘mainnet listing,’ meaning that trading will begin as soon as possible after the Filecoin mainnet goes live and transfers are enabled on the network.
Mainnet listings may be extremely volatile, which can present a great opportunity for experienced traders and investors. However, more novice traders are advised to exercise extra caution.”
Crypto exchange Gemini is also an early supporter of the token.
Featured image: Shutterstock/ArtStudio29