■ To Establish a Sustainable Data-caching Layer Economy Based on Filecoin Ecology
Filecoin identified itself as “an infrastructure that stores, distributes, and converts data.” To promote the long-term demand for its network resources (capacity, retrieval, and computing power), it is necessary to introduce useful data into this network and develop supportive software and tools to facilitate computing and diverse composable services on top of data. Ultimately, the demand for these services will contribute to the cornerstone of a robust Filecoin blockchain economy.
Back in April 2021, SINSO stood out in the first Filecoin Frontier Acceleration Camp as one of the Global Top 11 teams. Envision Filecoin as a basic base for a data-oriented ecology, it indeed provides the most important ecosystem for SINSO — Though SINSO will not be limited to the Filecoin ecosystem. At present, Filecoin network capacity has surpassed 16 EiB, the demand for which is also driven by its explosive ecology. Behind such rapid growth, people can see the efforts of the Filecoin community, storage user network, developers, storage providers, ecosystem partners, and token holders.
Fortunately, even the arrival of the Crypto Winter did not stop the continued expansion and prosperity of the Filecoin ecosystem. The positioning of Filecoin is to persistently store massive valuable human data, which does not need to be frequently moved or updated. Filecoin’s Token — FIL, is to motivate the provision of reliable services and help realize the on-chain economy. Filecoin anchored its storage market on the chain through storage-proof information that includes cryptographic mechanisms, though the storage market exists off the chain. Presently, its “proof of time and space” incentive framework has enabled stable and continuous storage services for Web3 applications. Of course, the current Filecoin ecology is far from enough, and SINSO is a new force to improve its expansion. In short, SINSO is the infrastructure of “a distributed hot data cache network + data governance”.
Above all, SINSO is complementary to the Filecoin ecology — Through SINSO, more valuable data can be introduced into the Filecoin network. Meanwhile, the DataCap (effective data capacity) that has been garnered by SINSO can be used to motivate the SINSO ecology and better enable Web2. 0 data migration to the Web3.0 ecology — We play to solve the crucial “efficiency” problem. Besides, we separate the roles of ecological infrastructure builders and ecological developers, so as to better integrate with the actual applications. Using the SINSO Getway API framework, developers can write codes to call SINSO’s huge data cache network within ten minutes. As of last week, we have accumulated 10,000+ working Testnet nodes. A decentralized cache network is significantly conducive to the commercial implementation of DAPPs.
For a Web3 project to survive the Crypto Winter, it must bring real value to the world, rather than “mining purely for the sake of mining”. The crypto-economics of Filecoin ensures that the accumulation of value by participants is compatible with the long-term utility of the protocol. Therefore, at the time of Filecoin’s network launch, its issued token allocation is designed to support and incentivize sustainable value creation. While Filecoin allocated 55% of its tokens to the miner ecosystem, SINSO allocates 60% to the miners. We divide token incentivization into four stages:
a. Build a high-speed cache/incentive network
b. Build a valid data incentive network
c. Build an ecological application incentive network;
d. Build a data governance incentive network
The SINSO Getway Cache Network of the first phase will be officially deployed in early February 2023. At present, the second round of the SINSO Getway Testnet is about to be completed. As for the construction of the incentive layer, we deployed it on the AmStar chain separately — a detailed introduction to the AmStar chain has been released before. As a data-oriented contract incentive network, the AmStar chain of course has great potential. It is also foreseeable that the Filecoin Virtual Machine (FVM) (https://fvm.filecoin.io/) will unlock infinite possibilities, which cover programmable storage, cross-chain interoperability bridges, decentralized autonomous organizations (DAOs), and Layer2 solutions. Simply put, Filecoin is about to usher in smart contracts and user programmability. Then what’s the connection between AmStar and Filecoin? AmStar will build an FVM sidechain environment, making itself a front network for Filecoin with data programmability.
While programmable data governance needs to consume and lock SINSO, it naturally lays the groundwork for the next-stage token circulation in the SINSO ecology. From the perspective of Tokenomics, it will increase the number of Tokens locked on the network and reduce the supply in circulation. More importantly, SINSO will help Filecoin move towards its vision of storing practical data, while the consumption and utilization of FIL Token continue. The FVM protocol deployed on the AmStar can increase the number of SINSO being exploited or locked. FVM not only increases the number of Tokens burned but also adds new use cases for locking/staking SINSO. We can conclude that most of the previous mining networks were focusing on mining incentives while neglecting ecological expansion, which led to overheating of mining and weakness in applications, causing great damage to ecology and token prices. Therefore, SINSO pays special attention to the staged and balanced development of SINSO ecology.
To better connect with ecological projects, we have many ideas. For example, in February, SINSO might double the rewards for SINSO miners using the DataCap share. As it is difficult to use algorithms to distinguish real useful data from random data, Filecoin initiated Filecoin Plus (FIL+) to incentivize meaningful use cases on the network and thus introduce a social trust layer. In this plan, users with verification will be delivered a new type of resource (DataCap), which can be used for consumption or to reach proposals with storage providers. To a great extent, it encourages proposal-making between storage providers and users who spend DataCap, because FIL+ Proposals will increase block rewards (compared to ordinary transaction proposals). In order to obtain the additional returns provided by the FIL+ plan, storage providers need to stake more value (about ten times that of non-FIL+ storage sectors) and put it on the network Lock more Tokens. Simply put, SINSO miners get DataCap and will get FIL computing power benefits.
Therefore, SINSO miners in February will not only collect early mining rewards but also dividends from FIL commuting power (share from DataCap and the partners’ output). Essentially, the DataCap dividends are a high yield from worthy contributions complying with rules. In 2021, SINSO got an investment from Protocol Labs, which is a testament to our close collaboration with Filecoin officials as a symbiote in ecological construction.
As a burgeoning Web3 infrastructure, SINSO possesses a great ecology and valuable resources — Instead of starting from zero, we stand on the shoulders of giants! It can be expected that the next February will see the crypto market pick up and create the best opportunity for projects to expand market share. Taking as its mission to create a decentralized, efficient, and robust foundation for storing human information, Filecoin gets supported by SINSO with our unique incentive ecosystem and economy planning that motivates contribution to the network. And the sooner you join, the more rewards you will get. It is foreseeable that SINSO will be a robust and comprehensively balanced data economy, which will play a unique role in the Web3 infrastructure racetrack.
