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Here’s a breakdown of the key factors driving Filecoin (FIL)’s growth:

1. Glif’s Liquid Staker Platform:

• Glif raised $4.5 million in seed funding from Multicoin Capital and other VCs.
• The funding will support the development of tools for earning yield on FIL, Filecoin’s “gas” token used to pay for storing and retrieving data on the network.
• Glif’s liquid staking token, iFIL, allows users to stake their FIL tokens and earn rewards.
• Glif aims to become the largest DeFi protocol on Filecoin by the time of the network’s major tech upgrade, nearly a year from now.
• Glif is also planning a points program that will reward users based on the value of their iFIL tokens.

2. How Glif Works:

• Glif offers “liquid leasing,” which is roughly equivalent to “liquid staking” on Ethereum.
• Both processes leverage computer networks to provide returns for token holders.
• While Filecoin does not have a proof-of-stake consensus mechanism, storage providers earn block rewards based on how much FIL they collateralize.
• Glif aims to bridge the gap between FIL holders and storage providers, connecting those who want to earn yield with those who provide it.
• Currently, holders receive a derivative token called iFIL, which represents a receipt for their staked funds, and the value of their iFIL increases as interest payments accrue.

3. Glif’s Goals:

• Glif’s target is to reach 100 million FIL delivered to storage providers within a few years.
• Currently, there are 10 million tokens locked up from 1600 depositors.
• Part of the success of the growth strategy may depend on the protocol’s points program, which is expected to launch later this quarter.
• Glif will reward users with points, allowing them to earn more iFIL based on how much value their participation in yield generation brings to the ecosystem.

4. The Future of Filecoin:

• According to a blog post shared with CoinDesk, more iFIL will be equivalent to more points.
• The blog post states: “The GLIF Protocol is designed to be decentralized, allowing its stakeholders to govern and manage it.”
• A source stated that the “temporary plan” will initially determine how many tokens are airdropped to users based on points.

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