Get ready to fill your bags with FIL,
and get ready for a filing of gains.
Today, we discuss the biggest ICO in the history of crypto,
the heavily anticipated platform beset with delays has just launched,
and for those who got into Filecoin,
congratulations on the 118% surge.
So strap in your seat belts.
This is gonna be a wild roller coaster.
Let's get it.
Welcome to BitBoy Crypto!
My name is Ben.
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In this video, we're gonna be discussing Filecoin.
Now, it was revered as the biggest crypto project 3 years ago,
and it's finally launched its platform while simultaneously launching its crypto rocket ship on several exchanges.
These include Kraken, Coinbase, Binance, Huobi, and Gemini.
Tyler Winklevoss, who invested heavily into Filecoin, tweeted out the listing.
Filecoin took its investors on one of the wildest roller coaster rides we've seen thus far in crypto, which is saying a lot.
The coin surged as high as $200 on some exchanges on its first day of trading before settling around 40 bucks on Friday evening.
CoinDesk even reports that just within the first 4 hours,
Filecoin and Filecoin futures contracts traded between prices of $37 and $100,
according to price data from TradingView.
The original Filecoin offering in July 2017 sold tokens to investors at a range of $1 to $5 with 6-month to 3-year vesting schedules
and yielded a raise of $205 million to build a new type of digital storage network,
according to data from Messari.
This means at current prices,
early investors have earned between 700% and 3900% over the last 3 years.
Filecoin is potentially if not the most anticipated mainnet launch of the year,
a year that has been plagued literally with bad news at every turn.
Now, I'm not gonna say the C word and get demonetized.
You're not tricking me YouTube.
Not today, Satan.
But for crypto holders, it hasn't been so bad.
We've had some massive opportunities to make gains.
I don't know about you,
but 2020 has been a great year for my crypto portfolio.
Filecoin is no different.
But, man, oh, man, do I feel bad for those that bought at 75 bucks.
Did you puke on the way down with that massive volatility?
I know I would have.
In fact, Multicoin Capital Managing Partner Kyle Samani said
the early Filecoin trading was "one of the most memorable market dislocations in the history of crypto."
Translation?
All that trading was nothing more than speculation without reason.
Thus, is crypto.
Perhaps though there was a reason.
Filecoin is seeking to take on Amazon Web Services or AWS and Google Cloud,
two centralized cloud-based solutions used by website providers.
Now, AWS, not to be confused with A&W
that makes the greatest diet root beer known to man.
The cloud computing business though is projected to reach a market cap of $761 billion by 2027.
Forbes also reported that a Bessemer Venture Partners report found that out of 42 public cloud companies indexed,
it could pass a total market cap of $500 billion by 2020.
That's this year.
Another estimate states the global cloud computing market size is expected to grow from 371 billion in 2020 to 832 billion by 2025
at a compound annual growth rate of 17.5% during the forecast period.
So it's really insane to think that Filecoin would surge to a 500+ million dollar market cap.
At the time of this recording, Filecoin is sitting around a 700 million market cap, with a fully diluted market of 86 billion.
But at its peak, it was actually coming in at a $200 billion overall diluted market cap,
which actually would make Filecoin larger than Bitcoin.
So let's look further at its tokenomics to examine if Filecoin is overvalued due to hype
or if all the hype is justified.
I'll give you the facts and let you decide.
Filecoin is a blockchain-based file storage platform.
The network will use tokens and blockchain technology to store data on millions of computers around the world
and reward those offering their hard drive space.
With Filecoin, anyone can participate as a storage provider,
monetize their open hard drive space,
and help store humanity’s data.
This provides an important incentive layer for IPFS,
the InterPlanetary File System,
enhancing the existing Web 3.0 storage infrastructure already used by thousands of projects and developers.
Kraken explained Filecoin in a tweet on October 13 as a decentralized version of Dropbox.
Protocol Labs has previously published a paper detailing the economic model plan for Filecoin.
Within that paper are a number of key things to note.
First, there will be five stakeholder groups in the following categories:
trade tokens,
developers ,
clients,
miners,
token holders,
and ecosystem partners.
There will also be three distinct Filecoin markets:
file storage,
file retrieval,
and on-exchange token trading.
Currently, storage miners are the core service providers on Filecoin.
While there will be other types of mining in the future,
Filecoin has also a dApp platform allowing developers to build on top of it utilizing its technology.
One dApp example is Slate,
a personal storage service that uses Filecoin and IPFS.
Textile is another,
which has evolved into a set of developer tools for managing storage from where it started,
as a decentralized Flickr.
dApps aren't all being targeted by Filecoin though.
The team of Filecoin explained that ConsenSys Codefi has added support for the project
which will provide a DeFi bridge to accelerate the adoption of the file-sharing network in two ways.
First, the Filecoin Storage market will enable users with hosting needs to find the best storage prices from the most reputable miners.
Second, the DeFi Bridge will enable liquid markets for lending and borrowing Filecoin on Ethereum’s robust DeFi markets
to ensure an adequate and liquid supply of Filecoin is available for use on the Filecoin network.
Codefi runs on the Ethereum network and was launched by ConsenSys.
Codefi provides the tools and services for anyone to build blockchain-based financial services on the Ethereum network.
The Filecoin Defi Bridge by Codefi connects Filecoin to the popular Ethereum DeFi decentralized finance system.
The bridge will enable the conversion of the FIL digital asset to an ERC-20 token using the Ren Protocol.
Where’s Stimpy?
Sorry.
Once on the Ethereum network,
FIL holders and miners will have the ability to deposit these tokens as collateral in various DeFi platforms.
The DeFi bridge will allow FIL holders to access liquidity and other DeFi protocols on the Ethereum network.
By introducing the ability for FIL holders to lend and borrow their FIL via the ERC-20 bridge,
the vast pool of liquidity and economic activity in Ethereum DeFi will become available to the Filecoin ecosystem.
Ethereum-native DeFi users interested in trading wrapped Filecoin and accelerating the network’s development
can use the Codefi-built platform to deposit ETH-based assets as collateral,
borrow wrapped FIL,
and convert it to native FIL
to store data or engage with the Filecoin network.
Now, let's dig into the tokenomics.
Filecoin’s mainnet went live on block 148,888.
There's a total of about 15.5 million estimated Filecoins in circulating supply according to CoinGecko,
while the max supply is a massive whopping 2 billion.
That's right.
That's a number with nine zeros behind it.
[number nine]
However, the real circulating supply, including the locked up tokens, is estimated to be around 10 million or even less.
Filecoin has some notable supporters, including ShapeShift CEO Erik Voorhees, a Filecoin investor,
who described Filecoin as “easily one of the most professionally built, carefully executed, and *valuable* projects that has emerged from the ICO era.”
He also said the same thing about the BitBoy Crypto YouTube channel.
Blockstack CEO Muneeb Ali also expressed that he was "excited about the Filecoin launch,”
shortly describing "the Filecoin journey" in a Twitter thread.
Sorry, I have a hard time taking this as serious.
Not everyone is happy about Filecoin’s rise though.
Tron’s Justin Sun tweeted out that Filecoin was an exit scam in a tweet that's been pinned at the top of his Twitter profile
with 2.1 million followers and about 100 real ones.
Sun mentioned that FIL, the native token of Filecoin, was trading at 60 bucks that are soaring to as high as $200
before, Sun says, developers dump 1.5 million coins on the market.
Sun is calling on the US SEC to investigate Filecoin and Protocol Labs CEO, Juan Benet.
Not to be confused with JonBenet.
Erik Voorhees, the CEO of ShapeShift, responded to Sun and said that his tweet thread was the level of lameness of Craig Wright.
Hey, he said it, not me.
Maybe Tron Sun is mad that Filecoin, which has doubled supply, is receiving an evaluation of $40 a coin and an original white paper,
while TRX of course is stuck in pennies with a circulating supply of 1.6 billion and a total of 100 billion TRX coming.
That may explain Sun's behavior,
if anyone has the audacity to try to do that.
What do you think about Filecoin though?
Are you waiting for a dip to buy some?
Is it overvalued as some believe?
And do you believe it's all of a hype?
Let me know your thoughts down below in the comment section.
That's all I got.
Be blessed.
BitBoy out.