Filecoin and Avalanche Team Up to Help Enterprises Store Data

• Filecoin now supports Avalanche enterprises to store verified off-chain data like KYC records and logs.
• This collaboration enables modular blockchain apps by separating fast execution from long-term storage.

The collaboration between Avalanche and Filecoin opens up a new way for enterprises to store sensitive data more efficiently. It’s not just about efficiency, it’s also about security and scalability. Now, enterprises building on the Avalanche network can store KYC records, historical data, and even system logs on the Filecoin storage network.

The data is stored permanently, protected by cryptographic proofs, and stored off-chain, so it doesn’t burden Avalanche’s performance. This could be an uplifting moment, especially for enterprises that manage large amounts of data but still need high performance on the compute side.

Enterprises building on Avalanche (@avax) can now store KYC records, logs, and historical data on Filecoin, where it’s saved immutably, backed by cryptographic proofs, and kept off-chain to avoid putting extra load on Avalanche’s performance layer. pic.twitter.com/eLjNRQb2yz

— Filecoin (@Filecoin) June 19, 2025

On the other hand, this solution also addresses the needs of many Web3 developers who want to keep their smart contracts lightweight, but still be able to reference verified data. When data is stored on Filecoin, Avalanche only needs to store the Content Identifier (CID) and proof of storage.

The flow is, the Avalanche smart contract sends the data to Filecoin via the Filecoin Virtual Machine (FEVM), then receives back the CID and proof that the data was actually stored. This system also allows for storage payments to be made after the proof is received—quite convenient, right?

Filecoin Is Quietly Powering the Future of AI and Storage

Interestingly, this is not the only news from Filecoin. In mid-June, as we previously covered, they also released FilCDN, a data distribution system that uses PDP (Proof of Data Possession) technology. This technology cuts the waiting time when data is recalled—without the need for unsealing or complicated infrastructure. For storage providers, this is not only technical efficiency, but also a new opportunity to generate revenue.

Furthermore, Filecoin has also started to touch the realm of AI. Still in the same month, they were seen collaborating with Theoriq to build AI-based autonomous agents that can collaborate and make decisions on a network that can be fully verified on-chain.

In this collaboration, Filecoin provides public storage that is resistant to manipulation as the main database needed by these AI agents. Sounds technical? Maybe. But the point is: if you have AI that needs valid data that cannot be modified at will, Filecoin could be the answer.

And don’t forget the news from last month reported by CNF—Filecoin has partnered with Bagel Labs in the development of privacy-friendly AI. Privacy technology is used so that AI development does not sacrifice user data.

On the other hand, Filecoin has also started to accommodate AI compute through GPU Restaking and cross-chain smart contracts. So it’s not just about storing data, but also about empowering intelligent processing directly from their ecosystem.

Meanwhile, as of press time, FIL is changing hands at about $2.38, slightly up 0.49% over the last 24 hours, with daily trading volume at about $99.63 million.

The Modular Blockchain Setup We’ve Been Waiting For

What Avalanche and Filecoin are doing actually reflects a new direction for blockchain architecture: the separation of compute and storage. Avalanche remains focused on being a fast execution layer, while Filecoin takes over the long-term storage. If we were to use an analogy, Avalanche is a fast-thinking brain, and Filecoin is a memory that stores past experiences—and both need each other.

Not only is this collaboration suitable for digital identity applications or NFT metadata, it also has great potential for the financial and supply chain sectors that need data transparency but don’t want to burden the main network.

With the cross-chain bridge already running, developers can now build applications that are more modular, scalable, and still efficient.

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