Does the central bank's digital currency affect the currency circle? Does it affect Filecoin, the IPFS incentive layer?
Entering 2020, news about the central bank's digital currency DCEP emerges endlessly. In April, the pictures of the DCEP pilot program in Suzhou were exposed. In August, the Ministry of Commerce expanded the pilot program to 28 provinces and cities. Obviously, the launch time of DCEP is getting closer and closer. Up!
This is a revolutionary attempt in the history of human currency. In China, DCEP is expected to set off a wave of new financial infrastructure construction. Internationally, DCEP may become a new solution for cross-border payments.
How will DCEP change our lives? Are people ready for this new revolution?
What is DCEP?
In fact, this is a combination of two words. Among them, DC is the abbreviation of Digital Currency, that is, digital currency. EP is the abbreviation of Electronic Payment, that is, electronic payment. Therefore, DCEP stands for digital currency and electronic payment. Among them, the actual payment The above are digital things transmitted through mobile communication or other network systems, not paper money, so electronic payment itself also has the attributes of digital currency.
my country's DCEP enters the fast track
Combining the previous research by scholars of the National Development and Reform Commission, we believe that the "epidemic is a catalyst for the digital economy" news. Under the current global situation, the status of the central bank's digital currency will further improve, and the landing of DCEP has entered the fast lane!
The impact of DCEP on IPFS
In this economic situation, we have reason to speculate that my country will comprehensively upgrade the system in all walks of life to fully realize the docking and application of the People’s Bank of China digital currency. A new round of digital and information based on blockchain and digital currency The revolution will kick off in our country.
With the launch of the central bank's digital currency DCEP, the hype and chaos of air coins and altcoins and their living space will shrink even more, and even be blocked from the market. Therefore, many investors suddenly wondered whether the central bank digital currency will Have an impact on the currency circle? In particular, does it affect Filecoin, the incentive layer of IPFS.
The answer is definitely yes. But if we say that the impact is basically positive, will everyone be surprised? In fact, smart investors and economists are very calm about this.
IPFS/FIL profit in disguise?
In fact, the arrival of DCEP has a positive impact on the ecology of the currency circle. Because it popularizes the concept of digital currency, regulates the digital economy market, and expands the use of digital currency. Moreover, it is different from what we call altcoins. , IPFS and its incentive layer Filecoin currently have a good development ecology. More importantly, it is a special case in the currency circle.
FIL tokens are expected to be surging
Because Filecoin is a closed-loop circulating digital currency that landed in the storage and retrieval market, its usage scenarios are dedicated, and the production equipment (storage server) is dedicated, so in essence, FIL does not have the full-scene of Bitcoin. Payment attributes (especially no illegal money laundering or dark web payment attributes). Moreover, its value is supported by the storage market. DCEP will only target pure financial digital currencies such as Bitcoin instead of FIL coin as a "strike" target
Therefore, generally speaking, no matter how the currency changes, as long as the amount of storage increases, the demand for FIL coins will increase, and its value will increase accordingly. Therefore, the negative impact of the central bank's digital currency on Filecoin is negligible, but it will bring Come good!
"The king of digital currency" is about to rise
In addition to the obvious positive linear relationship between expected demand and income, Filecoin is also called the "King of Digital Currency" by many investors because it solves several important problems in the current society:
The first is the secure storage of data. The centralized servers of Amazon, Microsoft and other cloud service providers cannot guarantee data security. Filecoin adopts end-to-end encryption technology and sharding technology, which allows data to be stored in a distributed manner under the hash algorithm. Reject data theft and attacks.
The second is stability. Filecoin does not require centralized server control, peer-to-peer communication between nodes, and a one-way tree structure, which means there is no single point of failure. Filecoin's file version traceability mechanism helps the network solve redundancy problems and reduces resource consumption .
Finally, the cost is greatly reduced. Compared with traditional cloud storage services (such as Amazon), Filecoin can save 60% of bandwidth costs, and the high scalability of distributed nodes is good to cope with the growing pressure of data storage.
in conclusion
Filecoin is the incentive layer on the IPFS distributed storage network. Through issuance, it attracts people to contribute storage resources, retrieval services, and broadband resources to the IPFS network to build a strong and new Internet, which we call Web3.0. Look Come, the title of "King of Digital Currency" is well-deserved! Therefore, we have reason to believe that DCEP as a whole will only improve the development of IPFS/Filecoin projects!