全面解读Solana DePIN生态：哪些项目值得关注？
Original author: Yash Agarwal
Original compilation: Deep Chao TechFlow
introduce
“Solana is a DePIN chain", in other words, Solana is undoubtedly the most suitable public chain for DePIN at present. This story of dominance begins when Helium, the largest DePIN project, migrated from its own L1 to Solana in Q2 2023.
Today, Solana is home to industry leaders like Helium, Hivemapper, and Render (think the FAANG Big Three of the DePIN world), with Solana DePIN representing over $10 billion in total FDV and a market cap of over $4 billion!
Solana’s comprehensive infrastructure and developer community are now attracting DePIN projects at all lifecycle stages. While Solana is a general-purpose chain with a thriving DeFi and NFT ecosystem, its rise as a leader in the DePIN category is truly remarkable. Many consider DePIN to be one of the most bullish investments in the Solana ecosystem, thanks to its massive TAM (total available market) and Solana’s first-mover advantage in DePIN.
Messari estimates DePIN’s total TAM at more than $2.2 trillion and is expected to reach $3.5 trillion by 2028. This prediction assumes that much of the physical infrastructure will be incentivized through tokens, which may cause the numbers to be inflated. Still, this represents one of the boldest bets in crypto.
In this article, we’ll briefly explore DePIN, examine why the Depin project chose Solana, discuss various Solana projects, and conclude with a summary of Solana and DePIN topics worth watching. Through this article, you will get all the necessary insights you need about Solana DePIN.
What is DePIN and why it matters
DePIN, or “Decentralized Physical Infrastructure Network,” consists of a token-incentivized network. They use cryptoeconomics to align incentives and encourage individuals to allocate their capital or unused resources. From Bitcoin to Solana, we’ve seen tokens prove to be an exceptional mechanism for coordinating large-scale human activity and creating tribalism.
According to Messari, the DePIN ecosystem has grown to more than 650 projects in 2023, covering six sub-fields: computing (250), artificial intelligence (200), wireless (100), sensors (50), energy (50) and Services (25).
The DePIN network, like any network, has both supply and demand sides. We will explore two aspects of each project in this article.
Supply side: Token incentives
The supply side of DePIN is driven by crypto incentives to coordinate capital, equipment, and labor to scale global infrastructure. According to Messari, DePIN will add more than 600,000 nodes (supply side) in wireless, computing and sensor networks in 2023. For Helium, this means adding more hotspots, and for Hivemapper, it means adding more map data.
So far, DePIN has proven to be very efficient at scaling supply. However, capital efficiency will determine long-term sustainability of tokens used to expand supply. Tokenomics can primarily be based on various parameters such as:
Time-based: Helium experiences halving every two years
KPI-based: Hivemapper’s token economy is based on a percentage of global road mapping, with city-level multipliers and time-based KPIs, making its token economics quite detailed
Need-based: Based on consumer usage of the network.
It’s obvious that the token as a product is critical to the functioning of any DePIN network. Given that tokens can only be issued once, token issuance management becomes critical. Additionally, token prices (and thus speculation) also play an important role, which also makes the system subject to cycles.
Recently, non-DePIN projects have begun using “points” to drive usage of their protocols rather than directly distributing tokens, a trend that may also gain momentum within DePIN (more on this later).
Demand side: B2B and B2C
While this supply is incentivized by the token, speculation plays an important role. The demand side is driven entirely by real-world utility, independent of cycles, which brings in revenue and in turn increases the value of the token.
Since many demands are off-chain, such as Web2 companies using Hivemapper maps, the revenue generated on-chain and off-chain is different. For example, Hivemapper customers will be paid in fiat currency, thus contributing to off-chain revenue, while their native token HONEY will be burned, thus contributing to on-chain revenue.
In addition to demand, on-chain revenue is significantly affected by the buyback method (purchasing native tokens using fiat currencies or stablecoins). Are these tokens burned or locked? Is the decision to do a buyback based on a percentage of revenue or profits?
Many DePINs, like Render, use a model called the Burn and Mint Equilibrium (BME) to balance payments and rewards. Heres how it works:
Clients want to pay in U.S. dollars, but the network needs to regularly distribute a certain amount of governance tokens. In the BME model, customer payments in U.S. dollars are converted behind the scenes into the network’s native token, such as $RENDER. During each cycle, called an epoch, GPU providers or node operators receive points based on the work they complete.
At the end of each epoch, these operators are rewarded with $RENDER tokens based on their share of the total work done on the network. The $RENDER tokens paid by customers and points accumulated by node operators are then burned (removed from circulation). New $RENDER tokens are created according to a predefined inflation schedule and distributed to node operators as their income.
Furthermore, demand can be classified as B2B or B2C. For Hivemapper, the demand is B2B, meaning it is used by enterprise customers that require map data. In contrast, for Helium, the demand is B2C, indicating that it is used by consumers who need connectivity.
What’s Solana’s secret to becoming a hub for DePIN projects?
DePIN prioritizes high throughput and low fees. Despite my bias towards Solana as the most efficient blockchain, here are a few reasons why the DePIN team chose Solana:
Performance: It’s no surprise that Solana stands out for its low transaction costs, high processing speed, and scalability. For example, in order to incentivize contributors at scale and execute micropayments, low fees are crucial. Additionally, the launch of Firedancer in late 2024 will enhance the speed and resiliency of the network.
Network Effect: Helium’s transition from its native blockchain to Solana marks an important moment for the Solana DePIN community. They have developed many open source tools that other DePIN projects can leverage. From a business development perspective, the existence of an existing DePIN project community is advantageous. Unlike DeFi, where capital network effects are an important reason why EVM dominates DeFi TVL, DePIN projects do not experience the same degree of capital network effects. Given that most demand is generated off-chain.
Strong Token Standards and Ecosystem: A vibrant ecosystem with fully tested DEXs, and established standards such as cNFTs (compressed NFTs), pNFTs (programmable NFTs), Token extensions, etc., for the DePIN project to develop and release the basic components of its on-chain products.
Solana Mobile: Solana is unique in having its own phone, underscoring its commitment to mobile integration. Solana Mobile 1 already has 20,000 users, while Solana Mobile 2 has over 50,000 pre-orders. This provides the DePIN project with a direct distribution channel to address initial user acquisition challenges. For example, Helium is offering a month free to Solana mobile users, while projects like Grass can debut their apps on Solana Mobile.
Solana Foundation: The Solana Foundation is a strong supporter of DePIN, providing DePIN with a dedicated track in hackathons, active funding, etc., demonstrating the foundations commitment to DePIN. Additionally, venture capital firms like Multicoin played a crucial role in bringing DePIN projects to Solana.
Another angle to consider is the value DePIN brings to the Solana ecosystem:
Users: Projects like Helium have significantly increased the number of active wallets. Helium alone reports over 60,000 monthly active wallets engaging in activities such as claiming, staking, delegating, or burning tokens, and over 30,000 wallets using other SPL programs, highlighting Helium’s impact on the Solana ecosystem.
Legitimacy and brand: From a regulatory perspective, DePIN demonstrates Solana’s practical applications to regulators and policymakers, enhancing its legitimacy and brand.
DePIN project on Solana
Let’s look at the different DePIN projects in each category on Solana:
1.Wireless network
Also known as DeWi (decentralized wireless) networking, this approach involves setting up various types of wireless networks, such as:
Cellular 5G: Provides high download speeds and low latency.
WiFi: Provides network connectivity to a specific area.
Low-Power Wide Area Network (LoRaWAN): Facilitating communications in the Internet of Things (IoT).
Bluetooth: realizes the transmission of data within short distances.
The problem it solves is: Traditionally, building wireless network infrastructure requires significant investment, resulting in the field being dominated by a handful of large telecommunications companies with the necessary scale and financial resources.
DeWi networks provide an alternative by allowing many independent entities or individuals to collaborate to set up wireless infrastructure, driven by token-based incentives.
Helium: The leader of DeWi
Arguably the first major and one of the largest DePIN projects, its migration from a native blockchain to Solana marks a renaissance for Solana’s DePIN ecosystem. The network is governed by HNT, Helium’s native token, which plays a vital role in promoting usage of the network as it is burned to obtain “data credits” used for data transfers. Hotspot hosts can also exchange network tokens (e.g. IOT, MOBILE) in exchange for HNT.
It provides two main services:
Helium IoT: Launched in 2019, the Helium hotspot provides wireless connectivity for IoT devices. Governed by $IOT, Helium IoT’s tokens are mined via data transfer revenue and proof of coverage via LoRaWAN hotspots.
Helium 5G Network: This network combines large-scale operators with crowdsourced 5G hotspots. Governed by $MOBILE, Helium 5G Network tokens reward those who provide 5G wireless coverage and verification for the Helium network.
Supply side: The crowdsourcing model eliminates site acquisition costs and allows users to contribute high-bandwidth coverage. For example, operators interested in participating in the network and providing cellular coverage can purchase FreedomFi Gateway hardware and receive MOBILE tokens in return.
The number of hotspots added to the Helium network has increased significantly in recent months, as sales of Helium Mobiles $20-a-month unlimited data, exclusive 30-day Helium Mobile subscription increase (including a free 30-day Helium Mobile subscription).
Demand side: Data consumers pay for usage using data credits. As more data is transferred and more data credits are consumed, subnetworks (e.g., IoT networks) are awarded more HNT tokens, thus rewarding and incentivizing activity.
Overall, HNT is the main token, while IOT and MOBILE are sub-DAO tokens associated with HNT.
WiFi Dabba: The Helium of WiFi in India
Similar to Helium, but focused on consumer WiFi in India. Although mobile data prices in India are currently relatively low, prices have increased recently, making it challenging for traditional telcos to expand WiFi infrastructure. WiFi Dabba is designed to deploy WiFi in areas with high consumer density, such as residential buildings. Backed by top-notch VCs such as Y-Combinator, Multicoin, and Borderless, WiFi Dabba is launching soon on the Solana platform, offering tokens as an incentive to install WiFi hotspots.
Demand Side: Unlike most decentralized peer-to-peer networks, Dabba starts by solving a need, i.e. customers pay for the services provided.
Supply side: Dabba will empower local cable operators (LCOs) across India. There are about 1.5 lakh LCOs in the country and they have already started piloting and training with the first five LCOs.
2. Storage network
The decentralized storage system operates on a peer-to-peer network model, allowing users as storage providers or miners to allocate unused resources and earn tokens as incentives.
The problem it solves: It encrypts and shards data, spreading it across the network for enhanced security. The system is powered by on-chain components, providing features such as permanent, encrypted and verifiable storage.
ShdwDrive by Genesys: Better Filecoin on Solana
Shdw Drive is a Filecoin competitor that leverages high-performance traditional and mobile computing to reduce the cost of enterprise-grade data center storage, calling the technology “DAGGER.” Its native token $SHDW is used to pay for services within the ecosystem, with additional network mechanisms such as staking, halving, staking, and recycling.
Supply side:Powered by Shdw Operators providing storage.
Demand side:Projects can use Shadow for cloud services, such as:
Web hosting and content management (storage files)
Social media platform (for immutable logging)
Archival purposes (to retain valuable records)
Dataset (on-chain library accessible to the entire network)
Personal and editable storage (personal alternative to Google Drive)
Synx is a private cloud storage solution powered by mobile and desktop applications that leverages ShdwDrive.
3. Sensor network
Facilitate monitoring and data capture such as:
Environment: such as weather conditions
Mobility: such as traffic or vehicle related data
Locations and maps: such as local street maps
The problem it solves: By taking a bottom-up approach, decentralized sensor networks can reduce the potential for data manipulation or censorship, thereby enhancing reliability.
Hivemapper: Maps and the fastest growing DePIN
Hivemapper is a global mapping network that collects the latest high-resolution data (4K street-level imagery) using vehicle-mounted dashboard cameras in a license-free manner. It is governed by $HONEY tokens. The networks 50,000+ contributors include ride-hailing drivers, delivery drivers and enthusiasts, who together have mapped over 125 million kilometers of road!
Supply side:Hivemapper offers in-car cameras priced between $300 and $650, rewarding contributors with $HONEY tokens for sharing video and metadata with the network. This model allows contributors to share in the value generated by demand for map data, incentivizing them to expand the network. In 2023 alone, the Hivemapper community mapped over 10% of the world’s roads while using less than 5% of the total token supply.
Hivemapper’s AI training community provides another layer, earning $HONEY tokens by accurately classifying map features and converting them into valuable information that customers need.
Demand side:Companies use HONEY to pay for access to map images and data. They also have the option to purchase existing maps or award new areas in bulk, allowing companies to request the latest data as needed. In the process, $HONEY tokens are consumed on the demand side, and approximately $250,000 of $HONEY tokens have been consumed.
Overall, a fast feedback loop between map contributors and map customers, driven by token rewards, is key to creating highly useful digital maps.
Onocoy: Emerging location-based DePIN
GPS satellites are very effective for many positioning use cases and help determine location, but they are not very accurate. To improve accuracy, additional sensors like RTK (Real-Time Kinematic Differential) utilize ground-based receivers to improve GPS accuracy from meters to millimeters.
Supply side:To build strong supply and ensure broad coverage, Onocoy plans to incentivize the deployment of these RTK receivers, which are relatively expensive. Currently in beta testing, the project already has over 2,000 participants. New users are encouraged to identify and map areas lacking coverage, and the incentive structure is designed to reduce rewards for areas with too dense signals (with 3 overlapping signals).
Demand side:High-quality positioning data is valuable for applications such as deformation monitoring, agriculture, mining, natural disaster warning (tsunamis/earthquakes), drone/robot positioning and autonomous driving. Similar to other projects, Onocoy uses a BME model that enables customers to pay for services with cash, while network participants are rewarded in the form of $ONO tokens proportional to their contributions.
WiHi: Weather and climate predictions
Large-scale weather monitoring has been a practice since 1873, initiated by the founding of the International Meteorological Organization for this precise purpose. Today, the sharing of weather data involves a complex network of public and private entities. These organizations operate various sensor networks, develop weather models, and provide forecasts. WiHi hopes to become a unified platform that connects all these entities, simplifying data sharing, increasing forecast accuracy, and improving climate monitoring.
Supply side:Any entity operating weather sensors can apply to provide data to WiHi. One interesting prospect is the potential use of Solana Mobile for weather data collection. Although mobile phones are relatively low-quality sensors, their sheer number makes up for this limitation.
Demand side:Accurate weather data is extremely valuable to financial companies and insurance companies, who benefit from accurate weather forecasts. Additionally, WiHi is aligning with the growing ReFi narrative and aims to monitor climate change in real time.
Another upcoming project on Solana is Srcful, which aims to enable the creation of decentralized energy networks. It enables property owners to participate in the energy transition and receive rewards for their contributions.
Solana Mobile could be another interesting DePIN game in the future, since mobile phones are very powerful sensing machines. Some projects on other chains, such as Silencio, allow noise pollution data to be collected from any smartphone.
4. Computing Networks and Artificial Intelligence
Computing networks powered by cryptoeconomics allow computing resources to be uniquely scaled up and down as needed without the overhead or contractual lock-in associated with a centralized provider.
The problem they solve: The demand for computing power is at an all-time high, all thanks to artificial intelligence. Due to uneven distribution, users seeking computing power find it difficult to obtain machines. Here, DePIN acts as a marketplace where hardware owners can lend computing power to users who want to take advantage of it. Akash (built on Cosmos) is the leader in this category, serving generalized computing networks of CPU/GPU.
Render: Airbnb for GPUs
One of the oldest computing networks provides 3D artists with a network of GPUs that they can leverage for graphics rendering for games or movies. The network offers a software suite called Octane that enables 3D artists to outsource their rendering tasks to a GPU network.
Originally an Ethereum project, Render recently switched to Solana, a move widely considered by the community to be a major improvement. Additionally, Render has expanded its product line to include artificial intelligence/machine learning and spatial computing, resulting in an extremely positive narrative.
Supply side:Miners can apply to become Render nodes and rent out idle GPU computing power.
Demand side:The artist uploads the file and selects a rendering scheme. The Render network focuses on three areas:
Artificial Intelligence: Compute clients like io.net
Spatial: For example, Las Vegas spherical projection and Vision Pro spatial calculations
Multi-rendering: Integration with Cinema 4 D and more
io.net: GPU aggregator
Io.net is building a network to bring computing power to machine learning applications by integrating GPU networks from data centers, crypto miners, and established projects such as Render, positioning itself as a GPU aggregator. Unlike traditional GPU aggregators, which only provide access to a single instance without clustering capabilities, io.net is pioneering the creation of clusters consisting of thousands of GPUs. These clusters serve as unified instances specifically designed to handle machine learning workloads.
Supply side: As an aggregator, anyone can plug their own hardware into the network and start earning revenue.
Client: Anyone who wants to create or run an ML model or AI application is their potential customer. Unlike competitors, launching an io.net instance only takes a few minutes (Demo at Solana Breakpoint 2023）。
Nosana: GPU Grid
Nosana is a marketplace that connects user-provided GPU networks with consumers developing AI products.
Supply side:Individuals with idle consumer GPUs can become nodes on the Nosana network. In the Nosana ecosystem, the token $NOS serves as a means of transaction, allowing consumers to use $NOS to pay for services and providing collateral for node operators.
Demand side:Developers creating AI applications can take advantage of Nosanas proprietary AI interface. The interface integrates with Stable Diffusion and Llama 2 workloads, providing significant cost savings. According to Nosanas testnet data, developers can potentially reduce costs by up to 85% compared to traditional cloud infrastructure providers.
Nosana’s mainnet is expected to be released in the second quarter of 2024, which will include a comprehensive development toolkit to enable more experiments within the Nosana network.
Grass: Crowdsourced data collection for AI
AI training involves processing large data sets, and many AI training labs prefer scraping data from the internet to speed up the process rather than relying on manual data entry. However, most scraped data lacks contextual information such as device location. To solve this problem, Grass raised $3.5 million in a round of seed funding and built a data providing layer for decentralized AI.
Supply side:Individual users can choose to download the Grass browser extension and opt-in to join nodes in the network. Companies can then pay to take advantage of the idle bandwidth of these nodes, thereby paying for access to the data. Powered by a points system, it has grown to over 600,000 users and is growing rapidly. It hasn’t launched a token yet!
It is worth noting that Grass has begun to support mobile terminals, starting with Solana mobile phones. This is a unique feature that can only be achieved by the Solana platform.
Demand side:Web crawler looking for reliable and verified source data.
Synesis One: Crowdsourced data collection for AI
Solve the problem of data used to train AI models. Synesis One is a data crowdsourcing platform that allows anyone to earn $SNS by completing microtasks for training AI.
Supply side:Contributors can actively choose:
Active: Select an activity and provide raw data/data annotations/data annotations.
Passive: Synesis’ Kanon NFT collection allows users to purchase “keywords and earn rewards from the Mind AI client.”
Demand side: Customers similar to Mind AI.
UpRock: Bandwidth for AI
UpRock is a mobile-focused platform that creates automatic earning wallets for users by providing token income, with additional earnings coming from automatic staking. In addition to just automatically earning tokens, these tokens can also be redeemed for flights, airtime, and more. It already serves a growing user base with 160,000 installs and is adding around 10,000 users every week, processing over 16 million transactions!
Supply side:UpRock leverages the untapped potential of user bandwidth as a resource for AI. By contributing unused internet capacity, users earn tokens, thus democratizing the creation of data value. This strategy not only incentivizes participation but also supports the growth of the ecosystem by enhancing the capabilities of AI agents and specialized models.
Demand side:The demand for the UpRock network comes from companies looking for unique IP addresses to access real-time, uncensored data critical to AI agents. UpRock is more than just a wallet, it is evolving into an AI agent capable of providing conversational support, explaining complex cryptographic concepts, and facilitating Web3 logins.
Hyperdrive Hackathon Winners: Shaga and DAIN
Shaga (Lending for PC), the winner of the Solana Hyperdrive Hackathon is another project worth keeping an eye on as it attempts to solve the problem of cloud gaming. Historically, cloud gaming has mostly underperformed due to expensive services and latency issues accessing servers. Shaga better mitigates these cost and latency issues by trustlessly lending PCs at the local level.
DAIN Protocol (Artificial Intelligence Agent), another upcoming project, attempts to solve the problem of autonomous agents. Establishes an ecosystem and a platform for anyone to build and deploy AI agents on the Internet. These agents are able to connect to any device and leverage blockchain to conduct business securely and transparently. Integration with Solana provides identity and reputation support for agents, supporting an era rating and reward system to encourage high performance. Through secure agent-to-agent (A2A) communication, DAIN ensures tasks, including payments and transactions, are completed and meaningful interactions are achieved.
5.Service
Teleport: Tokenized Uber
Teleport (raised $9 million) is similar to Uber, but powered by token incentives. Drivers and passengers are tired of Uber and lack effective coordination methods.
Teleport calculates the minimum density needed to launch service in a new city and then offers incentives for drivers and passengers to sign up before launch.
Proto:
Proto is a user-generated, token-incentivized world map that lowers the barriers to entry and unit costs associated with map building. It provides high-quality, frequently updated data from around the world.
Supply side: Users contribute map data through the application to earn rewards. Currently, the projects focus is India, especially Mumbai and Bangalore.
Demand side: Proto SDK enables enterprises to obtain accurate, real-time map data for a variety of needs, including navigation and digital marketing.
6.DePIN Infrastructure
Tools that make DePIN possible on Solana:
1. Payment:
Sphere: has become the first payment gateway for the DePIN project, providing payment support for top projects such as Helium and ionet. For example, Helium uses Sphere for top-up of DePIN calculation credits.
Solsplits: Solsplits is a composable standard for splitting on-chain revenue on Solana, providing a pseudo-privacy mechanism since contributor revenue flows through contracts.
It is worth noting that Solana has a rich ecosystem with more than 50 major upstream and downstream channels. These channels are important infrastructure for payments and facilitate the conversion of fiat currencies into cryptocurrencies. GetCode may also be a valuable protocol for enabling scalable micropayments within the DePIN project.
2. Token standards: Token standards play a key role in the following aspects:
Compressed NFTs: Solana is one of the few chains that can do large-scale NFT minting at a very low cost (1 million NFTs per 5 SOL or about $500). When Helium migrated to Solana, one of the highlights was that each of its nearly one million hotspots was minted as an NFT. Additionally, other DePIN networks may also use NFTs to represent contributors, as they are an ideal mechanism for demonstrating ownership and distributing rewards within the protocol. In addition, Metaplex has a set of other NFT standards, such as programmable NFTs, that can also allow DePIN players to represent their nodes.
SPL Token Standard and Token Extension: Token Extension is the next generation SPL (Solana Library) token standard with advanced features such as confidential transfers, transfer pegs, transfer fees, non-transferable tokens, interest-earning tokens etc.
Oracles and interoperability: Oracles are an important source of truth for off-chain asset data. Solana has two main oracles: Pyth (permissioned) and Switchboard (permissionless), which can be used to flow off-chain data (such as sensor data) into Solana for on-chain program computation.
Given that the DePIN project is migrating from other chains, cross-chain messaging protocols such as Wormhole also play a key role in facilitating the migration of RNDR tokens.
Additionally, Solana has a rich toolset such as privacy (Elusiv and Light Protocol), DEX (for native token transactions), multi-signature (Squads), and development tools (Helius).
Opportunities and Trend Forecasts for Solana DePIN
More DePIN areas:In the coming months, we will see more projects emerging in the DePIN space, such as:
Clean Energy Infrastructure and Virtual Power Plants: Energy infrastructure is unpredictable due to the intermittent nature of energy sources such as wind and solar, and batteries can help alleviate this problem by storing excess energy for later use. As more batteries are connected to the public energy grid, the effectiveness of the batteries will increase. The DePIN network leverages token incentives to integrate these energy storage facilities throughout the electricity network.
Advanced on-chain AI: While we are still far away, we could see ideas like ZK’s verifiable GPU cloud (currently expensive) enabling on-chain inference economies that centralized providers cannot serve. The entire LLM and neural network stack can be placed on decentralized infrastructure. Similar to cryptocurrencies, much of the generative AI movement is open source, making it conceptually feasible to deploy and maintain a large number of open source models on a protocol that spreads the computational load. This approach also incentivizes the delivery of best-in-class machine intelligence services.
PIPIN (Points Incentivized Physical Infrastructure Network):Points are considered the most important innovation of this cycle, so why is DePIN lagging behind? The impact of entities such as Grass is already evident, having attracted 150,000 users primarily through points in a few months before launching the token.
The advantage of points is that they are familiar with concepts in web2, such as airline miles, that everyone understands. For projects, points provide greater control in the early stages, allowing the mechanics to be fine-tuned before the final token is released.
Another adjacent concept is gamification. In addition to token incentives, providing proof of contribution achievement and creating an enjoyable experience are critical to increasing engagement and thus contributions. For example, contributors to Hivemapper feel rewarded for mapping their streets, sometimes engaging in this activity like a game (similar to Pokemon Go). Leaderboards can further enhance this gamification effect.
Platformization of DePIN Network:The main DePIN platform on Solana is going through its platform transformation moment:
Helium as a platform has facilitated the emergence of two sub-DAOs, as well as innovations such as mobile cellular plans and DIMO using Helium.
Render has attracted customers such as Octane Video Rendering and io.net.
Although this is a long-term strategy, I expect that all prominent DePIN projects will develop into platforms that smaller DePIN projects can leverage.
DePINs SVM-based Rollup/L1:Although Solana is a highly scalable chain, it is entirely feasible for the project to develop a DePIN-specific SVM fork, or for the DePIN project to create a version of it. This approach will provide better control, especially for regulatory compliance, while still leveraging existing SVM tools and developers. We have seen two DePIN specific EVM/substrate chains such as Peaq and IoTex. Additionally, Dimo, one of the blue-chip DePIN projects, is also building its own chain using Polygon CDK, demonstrating the demand for application chains.
However, newer DePIN projects may choose to deploy directly on Solana to save the time and resources required to maintain L1.
Abstraction and aggregation:As the large-scale DePIN network solves supply-side problems, the focus will inevitably shift to the demand side. Clearly, most of the demand will come from mainstream users, who may find the DePIN protocol too complex. This means that users may be using the Web2 frontend without noticing that DePIN is used by the underlying backend, which handles all aspects of purchasing and burning tokens. For example, Heliums partnership with T-Mobile represents an aggregation that enhances network coverage, while Helium Mobile is an abstraction of the Helium protocol.
DePIN x Meme：Solana has recently become the go-to chain for memecoins, thanks to its strong community and powerful DEXs like Jupiter. Although this may seem unusual, meme coins have significantly contributed to DePIN adoption:
The maximum value of the $BONK airdrop was over $600, resulting in over 20,000 Solana Saga being sold out.
In the meme community, $MOBILE was considered a meme, which also caused the price to skyrocket.
DePIN x DeFi：DeFi is gaining momentum more than ever, and given that all DePIN projects have tokens, they will start experimenting with more token integrations (such as integrating HNT into lending protocols like Marginfi). This will further bring more composability, additional earnings, and speculation to token holders, thereby increasing utility.
Convergence between DePIN and RWA:Equipped with assets such as sensors, drones and wearables, the DePIN network will provide real-time, highly reliable data while RWA addresses its financing needs. This convergence could pave the way for new supply chains that integrate physical, financial and legal elements, all driven by DePIN and RWA.
Entheosis a noteworthy initiative that makes great strides towards DePIN x RWA by enabling investors to fund decentralized physical infrastructure networks such as smart battery assets. The prospect of DePIN hardware financing via RWA is one to keep an eye on!
Another interesting application of RWA x DePIN composability isBaxus, a tokenized whiskey marketplace that uses Helium devices to monitor the temperature of whiskey over time. Likewise, likeLiquidpropandHomebaseReal estate projects like this may compensate Hivemapper contributors for recent photos taken around the property.
DePIN as a gateway to cryptocurrencies:For most DePIN projects, supply comes primarily from non-cryptocurrency individuals and entities earning cryptocurrency native tokens on-chain. As Akshay BD said, Making money is a powerful niche and the best entry point for millions of future users.
Conclusion: DePIN will build parallel infrastructure systems
In a world plagued by unreliable institutions and ineffective bureaucracies, DePIN redistributes wealth and power directly to individuals and their communities. If you believe in cryptoeconomics, DePIN should resonate with you too. Of course, in its current state, DePIN has its fair share of flaws. Nonetheless, areas such as DePIN and RWA facilitate the two-way flow of tokens between synthetic crypto assets and real-world assets.
DePIN represents a bold bet on leveraging cryptoeconomic incentives to solve real-world problems, and many believe it could even disrupt traditional infrastructure models. However, I see DePIN coexisting with traditional infrastructure players as the latter have substantial capital resources, mature infrastructure and coverage, and superior economics. DePIN is likely to complement each other by creating a parallel system that facilitates last-mile coverage in situations where traditional entities are not financially viable.
