What is decentralized data storage?

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What is decentralized data storage?
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Understanding the benefits and challenges of decentralized data storage compared to centralized alternatives.

Decentralized data storage, often underpinned by or otherwise compatible with blockchain technology, is an alternative to traditional centralized storage systems. It enables users to store, access and share files in a distributed manner, helping to increase security, privacy and scalability in data handling.

Data retrieval can also be faster in decentralized systems when the data can be fetched from nearby nodes. Additionally, decentralized storage systems can potentially reduce bandwidth usage, lowering costs. Despite the advantages, decentralized data storage also has its drawbacks.

Lastly, there is a lack of standardization in decentralized storage, with different protocols using different encryption methods and authentication mechanisms, which can pose challenges in ensuring interoperability. Decentralized data storage platforms, such as the InterPlanetary File System and Arweave, are gaining popularity for their innovative approach to data storage and management.

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