Filecoin Price Jumps as Solana Embraces Decentralized Storage

In a strategic move aimed at bolstering data scalability and accessibility, Filecoin has announced its integration with the Solana blockchain.

It represents a departure from Solana’s centralized storage solutions, underlining Filecoin’s decentralized data storage marketplace role.

Filecoin to Enhance Solana Scalability

By tapping into Filecoin’s decentralized storage capabilities, Solana will optimize its block history accessibility, benefiting infrastructure providers, explorers, and indexers. This collaboration ensures data redundancy, scalability, and heightened security while upholding decentralization principles.

“Solana’s integration with Filecoin is a significant move away from centralized storage solutions and a remarkable step towards enhancing the reliability and scalability of the Solana blockchain,” Filecoin explained.

Anatoly Yakovenko, Solana co-founder, expressed joy at the collaboration and thanked Filecoin for building “an awesome decentralized archive layer.”

BaoBao, a network of social media channels on the Solana blockchain, stated that the move “means more scalability, security, and accessibility for all.” Therefore, this partnership reflects the resilience and robustness of blockchain ecosystems, delivering mutual benefits for users and developers alike.

FIL Price Increases; SOL Declines

Following the news, Filecoin’s FIL native token increased by more than 5% to over $6, its highest level since mid-January. This continued a largely positive week for a crypto asset that has gained around 15% during the past week.

Market observers predicted that the current positive run would continue, with technical analyst Ashish Gautam suggesting that Filecoin could reach $20.

“FIL is ready for next big move. [The] weekly chart is looking massive bullish. Expecting a 200% upside move in the upcoming days. [FIL’s] short-term target is $10-$15-$20, [while its] long term target is $50-$150-$200,” Gautam said.

It is worth noting that Filecoin faced considerable struggles after the US Securities and Exchange Commission (SEC) labeled it a security in May 2023 — a classification vehemently rejected by its Foundation.

On the other hand, Solana’s blockchain native SOL token reacted negatively to the news. Per BeInCrypto data, the digital asset is down 3% during the past day to $109 as of press time. Still, this downward price does not negate that Solana’s ecosystem has experienced remarkable growth in recent months.

Data from DeFillama shows that the total value of assets locked on the blockchain is approaching the $2 billion milestone, reflecting the resurgence Solana has enjoyed recently.