Decentralized Storage Networks (DSNs) can gather storage resources from mutually untrusted providers and form worldwide decentralized file systems. Compared to traditional storage networks, DSNs are built on top of blockchains, which can incentivize service providers and ensure strong security. However, existing DSNs face two major challenges. First, deduplication can only be achieved at the directory-level. Missing file-level deduplication leads to unavoidable extra storage and bandwidth cost. Second, current DSNs realize file indexing by storing extra metadata while blockchain ledgers are not fully exploited. To overcome these problems, we propose FileDAG, a DSN built on DAG-based blockchain to support file-level deduplication in storing multi-versioned files. When updating files, we adopt an increment generation method to calculate and store only the increments instead of the entire updated files. Besides, we introduce a two-layer DAG-based blockchain ledger, by which FileDAG can provide flexible and storage-saving file indexing by directly using the blockchain database without incurring extra storage overhead. We implement FileDAG and evaluate its performance with extensive experiments. The results demonstrate that FileDAG outperforms the state-of-the-art industrial DSNs considering storage cost and latency.