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Data is transferred directly between peers, we do not store any data right now. The main limits are importing and transfer speeds, which will improve soon. We plan to help institutions and others set up cloud storage for academic uses and commercial options for general users.
+### Does Dat have version history?
+
+Dat tracks all of the changes to files, but doesn't currently save a backup of those files. To save backups your current data in your dat, you can use [dat-backup](http://npmjs.org/dat-backup) and [archiver-server](http://npmjs.org/archiver-server). We plan to bake this into the CLI tool and desktop app soon.
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### How is Dat different than IPFS?
IPFS and Dat share a number of underlying similarities but address different problems. Both deduplicate content-addressed pieces of data and have a mechanism for searching for peers who have a specific piece of data. Both have implementations which work in modern Web browsers, as well as command line tools.