In the last quarter of 2023, one narrative gained flash attention and is predicted to procure momentum in the coming months: DePIN.

In this article, we’ll be covering what there is to know about DePIN and some projects pushing the narrative.

WHAT IS DEPIN?

DePIN is the shortened form of Decentralized Physical Infrastructure Network. They are networks that encourage people to share their resources by offering token incentives.

In the wide field of web3, crypto and DeFi are no doubt the most explored. Considering the expanding impact of blockchain technology along with the rapid advancement of worldwide information & communication technology (in terms of physical infrastructure), a collision is inevitable. Thus the idea of decentralized physical infrastructure networks was born.

The resources referred to above cover hotspots/WiFi, data, cloud services, communication technologies, power grids, transportation, energy, etcetera. With DePINs, infrastructures that were once monopolized to be provided only by centralized entities are now crowdsourced by various individuals worldwide.

HOW DOES DePIN WORK?

DePIN is a novel approach to using blockchain technology to reward providers. The network uses a profit-and-rewards distribution mechanism to encourage the construction of physical (or maybe even digital) infrastructure. DePIN aims to democratize access and ownership of physical infrastructure making them decentralized.

As implied earlier, to incentivize users to share their resources, DePIN projects utilize a token economy model. Who doesn’t like making money doing what they’d normally do right?

In my opinion, a roadmap to a typical DePIN project will be to have consumer companies or individuals ready to utilize the resources ➡️ attract users with an enticing token economy to share their resources ➡️ demand & supply have a “salsa dance” ➡️ development and updates happens.

DePINs are a determining factor essential for developing applications that need physical infrastructure as the base. These applications often call for a significant amount of bandwidth or processing power. Developers can access a wide range of available decentralized networks of resources provided by individuals through DePINs.

PROJECTS BUILT ON DePIN CONCEPT

~ Wicrypt

Won’t say much on this as I’ve written a short piece on Wicrypt a few months before now. You can read up here

~ Grass

Grass is a platform developed by Wynd Network that allows users to earn passive income by sharing their unused network bandwidth. Think of it as selling your unused data (that’d otherwise be wasted). According to the platform’s website, companies who buy these bandwidths are properly vetted to prevent them from using users' idle bandwidth for illegal activities. Currently, in the beta phase, users are allowed to get “earnings” AKA grass points for staying connected to the internet via the grass extension.

Last month, they raised $3.5 million in seed round to further develop the tech and prepare for mainnet launch.

If you wish, you can learn more about Grass here and get started here

Always endeavour to DYOR!

~ Streamr Network

Streamr Network is a decentralized data broadcasting platform. It provides a pub-sub data transport layer that allows users to connect their data to the rest of the world.

~ Nodle Network

Nodle is a smartphone-powered decentralized network that allows users to connect the mobile app to their network and Bluetooth and earn (in $NODL) while at it.

~ Drife

Drife is an evolution of ride-hailing. It is a decentralized platform empowering drivers, commuters, and community developers through blockchain technology.

~ WiFi Map

~ GEODNET

~ Drop Wireless

~ XNET

~ Silencio

~ Origin Trail

~ Mindland

~ Teleport

~ Chirp

~ Kanda Weather

Above is a detailed image showcasing 40+ DePIN projects.

Source: IoTeX

BENEFITS OF DePIN

~ DePINs will help Web3's worldwide accessibility & adoption. Innovative technologies can be widely adopted in areas where traditional centralized infrastructure is not readily available thanks to these decentralized solutions. DePINs make Web3 more widely accessible, enabling people all across the world to interact with and take advantage of decentralized technology.

~ Cost reduction: some of these resources are expensive but DePIN projects help make them less expensive for consumers while rewarding the providers.

~ Efficient use of resources to avoid waste

What are your thoughts on DePIN? Do you think it will be a leading narrative in 2024?