File Coin heavily borrows its concept from Bitcoin. Instead of providing computational power, File Coin miners provide storage space. Miners that provide more space get File Coins (FIL) as rewards. Miners function as databases. Let’s learn more about File Coin and its basic principles before we learn how to mine File Coin.
How Does File Coin Work?
File Coin is a decentralized platform offering services like traditional cloud storage companies. A storage provider with more space and customers greatly contributes to the network. File Coin miners with more customers have higher network power values that serve as hierarchical metrics determining their chances of solving File Coin blocks. File Coin has a Proof of Replication and Proof of Spacetime consensus mechanisms.
Customers pay storage miners a fee that both agree upon before proceeding. Miners use proof of replication and proof of spacetime to allow the public to verify their claims. Then, customers will pay retrieval miners an agreed-upon fee to get the former’s data from the blockchain. Storage miners can act as retrieval miners simultaneously.
Proof of Replication
This interactive proof system allows miners to defend or publicize their claim that it dedicates enough resources to store one or more file replicas.
Proof of Spacetime
This proof system allows storage miners to update public blockchains indicating they continue to store unique data pieces for the network, specifically for File Coin customers.
Rewards
Verified customers can offer storage and retrieval miners higher fees. Miners receive network rewards in the form of FIL, File Coin’s native currency. The miner reward system is File Coin’s anti-inflation measure and comes from the network itself. Learn more about File Coin rewards here.
Mining Equipment You’ll Need
Here are the machine specifications for becoming a storage or retrieval service provider in File Coin:
● CPUs: AMD with more than eight cores and supporting Intel SHA extensions are recommended
● GPU: Powerful GPUs can handle high-level SNARK computations
● RAM: 128GB RAM is sufficient for most entry-level machines
● NVME-based disk space of at least 1 TiB is helpful for rapid caching and storage.
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