Cryptocurrency has captured headlines with soaring valuations and wild price swings. But for many, the technology behind it remains intangible and shrouded in mystery. Enter DePINs (Decentralized Physical Infrastructure Networks) – a revolutionary concept that promises to bridge the gap between the digital world of crypto and the tangible realities of our everyday lives.
As a group, DePINs have the power to collectively move crypto beyond the realm of speculation and into the realm of practical applications that can truly benefit average users, writes Max Thake, cofounder of Peaq, on CoinDesk.
Part of the magic behind DePINs is in their ability to leverage tokens to incentivize users to share resources like unused storage space, computing power, or even electric vehicle charging stations. This could create a more efficient and accessible infrastructure, thus onboarding new users without requiring a certain level of technological know-how.
As examples, Thake references Silencio, an app that lets users record noise pollution levels on their phones in exchange for tokens, and Wingbits, which allows for tracking the locations of planes. In both cases, the passive computing power of the users’ devices does the bulk of the lifting while the user is rewarded.
DePINs have potential for a wide variety of other purposes, too, including creating a network of distributed computing power for AI applications and creating sensor networks that monitor traffic, energy usage, and environmental conditions. On the energy front, DePINs can facilitate the trading of solar or other renewable energy between individuals, promoting local energy independence and potentially lowering energy costs.
Crucially, DePINs are different from dApps, although both use the blockchain network. DApps are applications built on top of blockchains, while DePINs are networks that combine the power of blockchain with physical infrastructure in the real world. That last part is key – it’s what is enabling DePINs to act as a bridge in ways that most blockchain-based applications can’t come close to doing.
While DePINs are still young, the future is bright. As the technology matures, user interfaces are expected to become more user-friendly, with a goal of enabling everyday users to easily participate in DePIN networks, similar to how we use ride-sharing apps today.
First, DePINs will need to better integrate with existing infrastructure and devices to become truly seamless, otherwise users will be looking at compatibility issues and the necessity of hardware or software upgrades. Once the process gets smoother, DePINs will connect automatically with your devices or require minimal configuration to get started with.
Imagine a future where you can easily join a DePIN network through a user-friendly app on your phone. The app automatically detects your unused storage space and allows you to contribute it to the network with a few clicks. In return, you earn tokens that can be used to access other DePIN services, like renting computing power for demanding tasks.
It’s a reality that, if DePIN development continues at pace, will soon be ours.
