Filecoin, IPFS, and Arweave: Breaking Down Decentralized Data Storage

Why Decentralized Storage? Think Resilience and Freedom

Imagine if all your files lived on one server. If that server goes down - or gets blocked - everything disappears.
Decentralized storage spreads your files across many nodes worldwide. That means:

• Censorship-resistance (governments can’t just block one server)

• Redundancy (if one copy is lost, others still exist)

• Lower costs (no giant data center bills)

Real-world events show why this matters:

• 2017 – Turkey blocks Wikipedia → The government censored the site, making it inaccessible. Volunteers responded by hosting a full Wikipedia snapshot on IPFS, bypassing the block.

• Russia blocks YouTube → Centralized hosting made it easy for authorities to cut access. DTube, built on IPFS, provided a censorship-resistant alternative.

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Real-World Non-Web3 Use Cases

Decentralized storage isn’t only for crypto projects. Here are some examples from outside the Web3 bubble:

• Wikipedia Mirror on IPFS – When Turkey blocked Wikipedia in 2017, a full snapshot was hosted on IPFS (distributed-wikipedia-mirror), accessible via IPFS gateways.

• Genobank.io – Uses IPFS for secure genomic data storage and sharing, giving individuals control over their DNA data (Genobank.io).

• Starling Lab – Combines IPFS + Filecoin to preserve sensitive journalism and human rights evidence, keeping it verifiable and tamper-proof (Starling Lab Blog).

• Permaweb News Archiving (Arweave) – Stores investigative journalism permanently so it can’t be deleted or altered (PermaNews Protocol).

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1. IPFS: “Content Addressing” = You ask by what, not where

How IPFS Stores Data

• Files are split into IPFS objects (max 256 KB each).

  • If your file is bigger than 256 KB, it’s broken into multiple objects.

  • Each object contains data and links to other objects.

  • The root object links all the pieces together like a tree (Merkle DAG).

• Same file = same hash (CID) → stored only once (deduplication).

• Can fetch from any node that has it — location doesn’t matter.

IPFS Versioning

• When you change a file, the updated version gets a new CID.

• The old version still exists — IPFS never overwrites content.

• You can use IPNS (InterPlanetary Naming System) or other pointers to always link to the “latest” version.

• Works a bit like Git commits — you can keep a full history and roll back.

My recommendation: I recommend you to watch Juan Benet’s TEDx-style talk — he’s the originator of IPFS, and in this video he explains what led him to create IPFS. It’s the perfect background story to understand why IPFS exists.

Why It Matters for You

• Faster file delivery (nodes cache popular files near you).

• Deduplication saves space.

• Built-in versioning for easy history tracking.

• Perfect for static websites, shared data, or dApp frontends.

• But: No built-in guarantee your file stays online unless it’s pinned.

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2. Filecoin: IPFS + Incentives + Proof

What Filecoin Is (The Basics)

Filecoin is like IPFS with a built-in economy.
IPFS lets you store and share files, but it doesn’t promise that your files will stay online unless someone “pins” them. Filecoin fixes that by:

• Paying people (miners) to store your data

• Charging you a small fee for that storage

• Using cryptographic proofs to make sure the miner is really keeping your data safe

Think of it like Airbnb for storage:

• You (the client) rent space from people who have extra hard drive capacity

• They compete with each other to give you the best price

• You both agree on how long the data will be stored

• The Filecoin blockchain acts as the “contract” and proof that the deal is being honored

How It Works

1. You choose a storage provider (miner) from a global marketplace.

2. You send your data (often packaged into an IPFS format) to them.

3. The miner stores it and locks up some of their own FIL tokens as collateral — if they fail to keep your data, they lose this collateral.

4. The Filecoin network constantly checks the miner’s work through proofs.

The Two Key Proofs

• Proof of Replication (PoRep) – When the file is first stored, the miner proves they made a unique copy just for you (not just reusing someone else’s).

• Proof of Spacetime (PoSt) – Over time, the miner must keep proving they still have your data, by answering random challenges from the network.

If the miner fails these checks, they lose rewards and their locked collateral — so it’s in their best interest to store your data honestly.

Why It’s Great

• Persistence – Your data stays available for the agreed time.

• Low cost – Miners compete, so prices can be much cheaper than traditional cloud.

• Security – The blockchain and proofs make cheating very hard.

• Scalability – Anyone can become a miner, so the network can grow globally.

Example Use Cases:

• Backing up research datasets that need to stay safe for several years

• Storing big media archives (films, images, or music)

• Hosting large Web3 project data (NFT metadata, blockchain snapshots)

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3. Arweave: Pay Once, Store Forever

The Core Idea

Most storage systems (like AWS, Google Drive, or even Filecoin) work on a rental model — you pay regularly, and if you stop paying, your data disappears.

Arweave flips this:

• You pay once, up front.

• That one payment covers ~200 years of storage costs.

• The payment is split:

  • Some goes directly to miners who store your data now.

  • The rest goes into an endowment fund that keeps paying miners in the future as storage costs drop over time.

How It Stays Forever

Arweave runs on a blockchain-like system called the blockweave.

• Every time miners add new blocks, they must also prove they can access old random pieces of data.

• This “Proof of Access” means miners have a reason to keep old data handy — not just the latest stuff.

• The more copies of your data exist, the safer it is.

Because the network is public and decentralized, no single entity can delete your files.

Enter Irys – The Speed Booster

Arweave’s main chain is great for permanence but not super fast if you need to upload lots of small files (like images, posts, or NFT data) in real time.

That’s where Irys comes in:

• Works like a fast lane to Arweave.

• Batches many small uploads into one big transaction.

• Lets you pay in other tokens (ETH, SOL, MATIC, etc.) instead of just AR.

• At its peak, Irys handled ~79% of all data uploaded to Arweave and over 95% of daily transactions.

If Arweave is the vault, Irys is the high-speed conveyor belt loading it up.

Why It’s Great

• One payment, forever — no subscriptions to worry about.

• Immutable — once stored, data can’t be changed or deleted.

• Tamper-proof — perfect for archives, journalism, and NFT metadata.

• Scalable — with Irys, you can upload huge amounts quickly.

Example Use Cases:

• Archiving government documents so they can never be censored.

• Storing NFT images and metadata permanently.

• Preserving historical or scientific data for future generations.

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Quick Comparison Table

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Which One Should You Use?

Choosing between IPFS, Filecoin, and Arweave depends on what you’re building, your budget, and how long you need the data to stick around.

Here’s the breakdown — with analogies so it’s easier to remember:

1. IPFS – The Digital Postal Service

Analogy: Think of IPFS like a postal service where you don’t ask where the package is — you ask for a package with a specific fingerprint (hash). Anyone who has it can send it to you.

Use IPFS if you…

• Need fast global delivery of files, like a CDN

• Are hosting static websites or frontend code for a dApp

• Want cheap distribution (free if you self-host)

• Can manage your own file “pinning” to keep things online

Example: Hosting a game’s static assets or sharing a dataset so multiple peers can download it faster.

2. Filecoin – The Verified Warehouse

Analogy: Imagine renting space in a warehouse where security guards check every hour that your boxes are still there. You pay a rental fee, and the warehouse competes with others to give you the best price.

Use Filecoin if you…

• Need long-term storage with cryptographic guarantees

• Have large datasets or backups that must stay safe for months/years

• Want cheaper prices than AWS or Google Cloud

• Don’t mind renewing deals if you need storage for decades

Example: Storing terabytes of research data, media archives, or blockchain project metadata with a clear proof it’s still there.

3. Arweave (with optional Irys) – The Museum Vault

Analogy: Picture a museum vault where you place your artifact once, pay a fee, and it’s preserved forever. With Irys, there’s also a high-speed conveyor belt delivering artifacts into the vault in bulk.

Use Arweave if you…

• Need permanent, immutable storage (can’t be deleted or changed)

• Are archiving journalism, NFT metadata, legal records, historical content

• Want one payment instead of ongoing fees

• With Irys: Need to upload lots of small files quickly (social apps, NFT drops, interactive dApps)

Example: Saving a blog post forever, archiving government documents, storing NFT images/metadata for eternity.

Pro Tip: Many projects combine them. Example:

• Store files in IPFS for easy access

• Back them up in Filecoin for durability

• Archive key files in Arweave for permanence