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From YouTube: ESPA Module 1A - Why Filecoin? What are We Solving?
Description
Stu Berman (CTO) with PiKNiK discusses why Filecoin and the problem we are solving at the Enterprise Storage Provider Accelerator (ESPA) bootcamp week that took place in February 2022.
Data is growing at an incredible speed and much of this data is archived and/or simply lost by enterprises. Our program will accelerate net-new Enterprise Storage Providers into the ecosystem, using a Web3 protocol with an impressive incentive model called Filecoin.
Learn more at:
Sign-up: https://web3espa.io
Landing Page: https://m.fil.org/espa-bootcamp
Follow ESPA:
Twitter: https://twitter.com/web3ESPA
LinkedIn: https://www.linkedin.com/company/web3espa/
A
Welcome
this
is
the
first
module
of
the
enterprise
storage
provider,
accelerator
bootcamp,
with
a
total
of
19
modules,
and
that
does
not
include
additional
keynotes
and
guest
presentations
that
we
had
in
las
vegas.
Each
module
is
accompanied
by
a
more
detailed
document
that
is
linked
on
the
filecoin
website
or
in
the
espa
learning
management
system.
The
flow
of
modules
goes
from
conceptual
to
financial
and
legal
and
business,
including
sales
and
marketing,
and
then
we
dig
deeper
into
the
technical
material.
A
A
First
of
all,
blockchain
is
a
shared
immutable
ledger
that
facilitates
the
process
of
recording
transactions
and
tracking
assets
in
a
business
network.
Blockchain
is
ideal
for
delivering
that
information,
because
it
provides
immediate,
shared
and
completely
transparent
information
stored
on
an
immutable
ledger.
A
blockchain
network
can
track
orders,
payments,
accounts,
production
and
much
much
more
and
because
it
provides
a
single
view
of
the
truth.
Everybody
can
see
all
the
details
of
a
transaction
from
end
to
end,
giving
you
greater
confidence
as
well
as
greater
efficiencies
and
new
opportunities.
A
No
participant
can
change
or
tamper
with
a
transaction
after
it's
been
recorded
to
the
shared
ledger.
Each
additional
block
strengthens
the
verification
of
the
previous
block
and
hence
the
entire
blockchain.
This
renders
the
blockchain
tamper
evident,
delivering
the
key
strength
of
immutability.
This
removes
the
possibility
of
tampering
by
a
malicious
actor
and
builds
a
ledger
of
transactions.
A
You
and
other
network
members
can
trust
the
more
participants
that
are
participating
in
a
blockchain,
the
more
secure
it
is,
however,
non-public
blockchains
are
missing
one
or
more
of
these
important
attributes
the
term
web.
One
generally
describes
everything
from
the
earliest
interconnection
of
computers
in
the
1970s
and
1980s
to
the
first
flowering
of
browsers
and
websites
in
the
1990s.
A
These
were
companies
that
built
applications
on
top
of
that
from
social
media
to
search
engines
to
wikis,
much
of
it
based
on
content
generated
by
end
users,
although
that
made
much
of
the
web
in
one
sense,
decentralized,
most
of
the
things
were
still
run
through
big
companies.
The
idea
of
web
3
is
to
create
software
and
platforms
that
aren't
dependent
on
traditional
companies
and
web
2
business
models
such
as
advertising,
for
example,
users,
might
pay
for
services
directly
using
tokens
in
an
ideal
world.
Web3
services
are
operated,
owned
and
improved
upon
by
communities
of
users.
A
How
does
decentralization
fit
into
all
of
this,
and
it's
important
to
note
that
web3
characterization
of
decentralization
rather
than
a
kind
of
a
common
understanding
of
decentralization
that
might
be
thrown
around
in
the
context
of
decentralized
storage?
It
does
not
mean
distributed
storage
media
as
an
example,
google
cloud
platform,
shards
encrypts
and
then
distributes
files
around
the
world
when
you
store
their
data
on
their
platform,
but
this
does
not
make
them
a
web
3
storage
provider
notice.
The
definition
focuses
on
central
authority.
A
Decentralized
storage
is
built
around
openness,
open
source,
user
control
of
relationships
and
pricing.
A
decentralized
system
does
not
cease
to
work
if
an
organization
fails.
So
when
looking
at
the
google
cloud
platform
example,
it
doesn't
fit
this
definition
whatsoever
because
all
the
authority
is
derived
from
essential
authority,
a
central
entity,
that's
making
choices
for
you.
Web
3
really
is
the
third
generation
of
the
internet.
It's
a
global
network
that
permits
intelligent
interactions
between
all
of
its
users
and
devices.
A
So
let
me
dig
a
little
bit
into
some
of
these
attributes
of
web3
that
are
really
critical.
You
can
see
on
the
slide
it's
summarized
and
differentiated
between
web
2
and
web
3.,
but
I
want
to
point
out
some
things.
In
particular,
today's
world
of
web
2
uses
a
centralized
dns
system,
but
this
is
being
superseded
by
decentralized
systems
like
interplanetary
file
system
ipfs
for
short,
which
is
content-driven,
decentralized,
blockchain
based
faster
and
more
secure.
There
is
no
central
authority
where
it
goes
down.
The
network
ceases
to
operate.
A
This
is
a
problem
in
the
dns
structure
of
today,
where
there's
a
few
critical
nodes
that
run
the
entire
dns
system
for
the
world.
Another
attribute,
that's
important
is
digital
identities.
This
is
a
technology
that
was
spawned
by
the
blockchain
and
may
become
one
of
the
most
important
features
of
web
3..
The
point
is
that
web
2
is
infested
with
cyber
crime,
of
every
description,
from
identity
theft
to
click
fraud,
using
a
very
primitive
model
of
identity.
A
Perhaps
web
3's
most
important
contribution
is
its
primary
use,
its
ability
to
create
cryptocurrencies,
and
particularly
the
ability
to
use
such
currencies
to
make
micro
payments.
Some
might
argue
that
the
blockchain's
most
important
contribution
is
automated
trust.
This
is
the
building
of
what
we
call
trustless
networks.
We
actually
trust
those
networks
based
on
their
algorithms,
but
the
participants
don't
have
to
be
trusted.
Unlike
web
2
platforms,
where
you're
dealing
with
somebody,
you
know
and
trust,
and
you
hope
they're
going
to
follow
through
on
their
commitments.
A
A
If
you
take
control
of
your
data
and
you
collaborate
in
finding
effective
ways
to
use
that
data,
but
it
won't
be
by
somebody
harvesting
your
information
without
your
knowing
about
it
or
realizing
it
it'll,
be
by
you
consciously
choosing
to
share
that
information
where
you
have
control
over
the
payments
and
not
some
advertiser.
This
chart
shows
examples,
representatives
of
some
of
these
types
of
structures,
and
then
we
correlate
that
with
the
types
of
services
they
might
be
providing
you'll
see.
A
If
you
look
through
that
web
two
column,
that
a
lot
of
that
business
model
is
built
on
either
advertising
dollars
or
collecting
and
selling
information
about
you,
the
chart
on
the
right
shows
you
how
quickly
the
market
cap
is
growing.
Now.
What
would
all
this
mean
if
there
wasn't
some
kind
of
customer
interest
if
there
wasn't
demand?
So
if
we
look
at
the
very
the
very
raw
aspect
of
storage
experts
believe
there's
roughly
64
zettabytes
of
data,
that's
been
collected
and
stored
in
all
sorts
of
manners.
A
You
know
whether
it's
been
in
private
data
centers
in
the
cloud
on
usb
sticks
wherever
private
machines.
This
number
of
64
zettabytes
is
expected
to
double
every
two
years,
so
there's
certainly
demand
and
a
lot
of
is
being
driven
by
automation
and
sensors,
machine
to
machine
communications,
iot
internet
of
things,
iiot,
industrial
internet
of
things,
artificial
intelligence
and
machine
learning
all
hungry
for
data,
and
indeed
that
that's
where
our
value
is
stored.
In
that
data
now
to
focus
on
decentralized
storage,
to
focus
on
file
coin.
A
Specifically,
we
want
to
show
how
filecoin
plays
into
this
market.
We
look
on
the
right
hand,
side
of
the
archiving
revenue
globally
of
paid
archiving
services,
and
you
can
see
a
growth
of
roughly
a
billion
dollars
per
year.
On
the
left-hand
side,
we
show
how
filecoin
today
is
embedded
in
that
archiving
tier.
A
This
is
what
we
excel
at
and
we
expect
over
the
next
year
to
we'll
move
up
from
a
cold
archive
up
into
warm
storage
as
file
coin
retrievals
become
faster
and
more
mature
from
a
customer
standpoint
have
a
couple
use
cases
I
want
to
quickly
go
over
here.
Jonathan
dotan,
who
will
be
presenting
tomorrow,
describes
why
filecoin
is
so
important
for
preserving
accurately
humanity's
most
important
information
here.
A
We're
talking
about
data
around
survivors
of
genocides
around
the
world
and
throughout
history,
it's
in
critical
that
this
data
is
preserved
and
can't
be
modified
to
tell
a
different
story.
So
here's
another
example
of
important
information,
that's
being
stored
in
filecoin.
Now
these
data
sets
are
fully
open
and
anybody
in
the
world
can
retrieve
these
we're.
A
So
if
one
data
set
gets
erased
or
deleted,
there's
other
replicas
in
the
system
that
can
replace
and
rebuild
that
now
when
it
comes
to
pricing
of
the
filecoin
network,
as
I
mentioned
earlier,
there
is
no
central
authority
to
tell
you
what
to
charge
for
your
services
for
storing
data
or
retrieval
and
we'll
use
a
market
mechanism.
That
is,
you
get
to
decide
and
there's
others
out
there
who
can
offer
competitive
options.
A
When
we
look
and
compare
to
some
of
the
web
2
pricing
the
best
web
2
pricing,
you
can
say
well
they're
only
charging
99
cents
per
terabyte
per
month,
but
in
reality
that
doesn't
include
retrieval.
So
you
might
spend
thousands
of
dollars
storing
your
data
in
a
traditional
web
2
provider
only
to
find
out
it
can
cost
you
hundreds
of
thousands
of
dollars
to
retrieve
that
data.
A
Indeed,
some
of
the
people
we've
worked
with
have
found
that
out
the
hard
way
so
bottom
line
is
filecoin
network
offers
a
significantly
lower
price
point
to
web
2
alternatives
which
attracts
customers,
as
well
as
some
mechanisms
to
help
you
become
profitable
at
that.
So
here
we
did
a
survey
of
some
of
the
web
2
pricing,
that's
out
in
the
market
today
and
you
can
see
on
the
left.
This
is
where
file
coin
and
picnic
frankly
operate.
A
This
pricing,
which
is
per
terabyte
per
month,
increases
dramatically
now
I
want
to
cover
some
of
the
economics
in
a
very
brief
single
slide
manner.
I
can't
do
it
justice
in
a
single
slide,
but
after
this
module
andrew's
going
to
take
a
deeper
dive
and
go
much
deeper
into
the
economics,
so
stay
tuned
for
that,
in
addition
to
pricing,
you
may
charge
for
storing
and
retrieval
data.
Filecoin
is
a
system
offers
incentive
program
in
the
form
of
block
rewards
for
storing
proven
data.
Now
this
is
called
proof
of
storage.
A
This
calculation
is
based
on
adjusted
power
which,
including
additional
incentives
for
verified
data,
that
the
community
values
offers
a
very
economical
way
to
offset
your
costs
over
time.
This
incentive
is
decreasing,
so
it's
really
for
those
who
join
the
market
early
and
get
into
this
system
early
build
up
your
customer
base
with
real
market
forces
to
allow
you
to
charge
the
kind
of
prices
you
need
to
charge.
Now,
let's
look
at
more
of
a
competitive
view
for
other
storage
protocols
that
are
being
advertised
as
web
3
or
next
generation
storage
protocols.
A
You
probably
recognize
some
of
these
names.
Sia
storage
are
weave
bittorrent
holo,
and
this
gives
you
a
sense
of
how
filecoin
differentiates
itself
from
them.
Now,
let's
take
a
closer
look
at
some
of
these
other
competitive
services
that
are
frequently
talked
about
in
the
financial
world
or
the
defy
world.
The
decentralized
finance
world
where
web
3
is
is
all
the
rage.
Let's
point
out
some
of
these
differences
in
this
in
this
slide
here,
one
of
the
first
things
you'll
notice,
is
how
much
data
is
being
stored.
Actual
data
is
being
stored
by
these
different
systems.
A
Filecoin
is
greater
today
at
333
petabytes.
This
snapshot,
I
believe,
is
from
december
of
2021.
So
it's
already
grown
a
little
bit
beyond
that.
But
when
you
look
at
r
weave
our
weave
is
at
39
terabytes,
not
petabytes.
That's
one
thousandth
the
amount,
that's
in
a
petabyte,
so
they're
well,
behind
several
orders
of
magnitude
behind
in
terms
of
the
actual
data
is
consumed,
but
that's
understandable
where
they're
charging
more
than
thirty
thousand
dollars
for
what
they
call
permanent
storage.
You
pay
thirty
thousand
dollars
per
terabyte
and
ostensibly
will
be
around
forever.
A
There's
some
skepticism
about
whether
that
business
model
will
work
or
not,
but
we'll
talk
about
that
in
a
few
minutes
and
then
there's
storage,
which
is
at
eight
petabytes
of
real
data,
they've
been
around
about
as
long
as
filecoin,
but
they're
charging
four
dollars
per
terabyte
per
month
and
that's
a
fixed
price.
You
don't
get
to
negotiate
that
you're
part
of
the
system,
that's
what
they
charge
their
their
users,
but
as
a
storage
provider
you
get
paid
whatever
they
think
is
the
right
amount.
A
Another
thing,
that's
absolutely
critical
is
network
capacity
how
much
data
could
be
stored
today?
If
you
had
a
customer
that
says
well,
I've
got
100
petabytes
of
data.
I
want
stored,
that's
truly
enterprise
class.
The
filecoin
network
has
a
capacity
today
of
well.
This
slide
shows
14
and
a
half
peta
exabytes.
A
A
From
what
we've
seen
over
the
last
year,
they're
they're,
the
amount
of
nodes
on
their
network
is
actually
decreasing,
so
it's
very
hard
to
understand
what
their
capacity
is
or
could
be,
and
then
finally,
we
see
with
storage
they've
got
13
petabytes
of
complete
network
capacity.
That
would
make
it
impossible.
If
you
had
100
petabyte
deal
in
terms
of
onboarding
that
data,
then
we
take
a
little
d
deeper
dive
into
this.
You
can
see
the
pros
and
cons
of
each
one.
You
know
where
they
play
best.
A
There's
no
argument,
filecoin
is,
is
just
huge
and
we
can
accommodate
data
from
enterprises.
Our
weave
again,
as
I
mentioned,
they
have
this
business
model
that
argues
that
they
have
permanent
storage,
where,
for
thirty
thousand
dollars
per
terabyte,
they'll
store
your
data
forever,
but
there's
some
concern
about
the
the
mechanics
of
that
and
whether
that's
actually
something
that
they
can
pull
together
and
we
talked
about
storage
earlier
and
how
it's
not
a
trustless
system
like
filecoin.
A
There's
a
centralized
satellite
system
that
controls
the
system
sets
the
pricing,
and
basically,
you
are,
as
a
storage
provider
you're.
Basically,
an
outsourced,
hard
drive,
you're
being
paid
for
capacity
and
data
stored
on
your
node
and
you're
very
limited
as
to
what
what
role
you
play.
You
certainly
don't
play
a
role
in
setting
price
and
marketing
your
services
to
potential
clients.
Now,
in
the
u.s,
we've
seen
a
big
debate
about
the
role
of
crypto
and
whether
it's
a
good
thing
or
a
bad
thing.
A
Internationally,
we've
seen
a
lot
of
news
about
other
nations
and
the
approaches
they're
taking
to
crypto
our
head
of
policy
protocol
labs,
marta
belcher
who's.
Also,
the
board
chair
of
the
filecoin
foundation,
spoke
before
the
u.s
senate
banking
committee
back
in
july
of
2021
and
had
to
present
her
view,
and
it
was
very
well
received.
A
She
compared
web
3
and
crypto
to
the
early
days
of
the
internet
with
the
next
round
of
innovation,
shaping
the
internet
and
not
to
be
looking
at
this
with
blinders
thinking
about
the
bad
things
that
can
happen,
because
certainly
the
good
on
the
internet
can
outweigh
the
bad.
The
benefits,
the
innovation
that
can
be
brought
the
way
it
can
change
our
world
for
better.
A
Today,
where
there's
a
lot
of
discussion
in
congress
about
the
role
of
these
big
cloud
storage
providers,
the
the
clout
they
wield,
their
ability
to
to
silence
people
holding
information
that
they
want
to
share
and
basically
controlling
our
speech,
is
a
concern
that
she
brought
up.
So
here
we're
seeing
the
positive
side
and
again,
the
senate
received
that
extremely
well
to
see
the
other
side
of
the
coin
that
there's
a
positive
influence
that
web
3
has
upon
the
world
today.
A
So,
finally,
I
want
to
remind
you,
as
I
mentioned
at
the
beginning,
there's
an
accompanying
document
that
has
much
more
detail
about
this
module
and
other
modules
coming
up.
That's
linked
at
the
filecoin
website.
Our
espa
participants
can
also
find
these
modules
on
the
learning
management
system.
Now
our
next
module
is
called
filecoin
economics,
and
I
will
turn
this
over
to
andrew
stanko,
who
is
our
vice
president
of
finance
at
picnic?
Thank
you.