The long-anticipated blockchain project of decentralized storage, Filecoin, has faced miners' resistance as almost 1.2 million FIL tokens had been sold on cryptocurrency exchanges shortly after the mainnet launch.
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According to 8btc.com, the five main cryptocurrency miners of the Filecoin network have suspended mining operations due to the project's "unfair economic model." One of the miners has reportedly reduced the number of working InterPlanetary File System (IPFS) machines from 8,000 down to 276 as miners are required to stake a big sum of FIL tokens as "Initial Pledge Collateral" in order to start mining.
"All the miners have been off since the mainnet went live, this is not some sort of protest, but we have to shut them down because we really do not have the tokens as collateral to mine," ST Cloud CEO Chuhang Lai said.
Shortly after the launch of the Filecoin's mainnet, the project's native token crashed significantly from $86 to $32. According to TRON Founder and CEO Justin Sun, the project's community dumped 1.5 million FIL tokens into the markets.
Filecoin developers have already decided to issue 25% of the tokens as soon as miners create a block on the blockchain. At press time the FIL token is trading at $32.59 USD (-8,83%).
Earlier, iHodl reported that Filecoin mainnet had been officially launched at block 148,888.
The developers are now monitoring the network's performance to ensure that everything is operating smoothly.
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