The Rise and Challenges of DePIN: A Deep Dive into Its Prospects

LBank Exchange
2 min readDec 27, 2023

With the explosive growth of the Helium Mobile project in the Solana ecosystem, where its MOBILE token’s market value once soared to $700 million, DePIN (Decentralised Physical Infrastructure Networks) has garnered significant attention. This innovative concept of decentralized physical infrastructure networks is reshaping our understanding of traditional infrastructure.

Definition and Development of DePIN

DePIN refers to incentivizing individuals and enterprises worldwide to collaboratively build decentralized physical infrastructures, such as WiFi, hard disk storage, and batteries, through blockchain technology and token rewards. From its initial mention by Multicoin Capital’s Kyle Samani to its naming by Messari in 2022, DePIN has undergone several evolutions and reconceptualizations.

Core Project Analysis

Helium and Helium Mobile: Helium is a decentralized wireless network protocol that has been deploying networks via blockchain technology and token incentives since 2017. Helium Mobile, an extension of Helium, offers revolutionary low-cost phone services, attracting a substantial user base with eSIM and MOBILE tokens.

IoTeX: A decentralized blockchain focused on the Internet of Things, IoTeX integrates blockchain, trusted hardware, and edge computing, achieving significant milestones in DeFi, NFT, DAO, Metaverse, and DePIN.

DIMO Network: An automotive IoT platform that enables drivers to earn tokens by sharing vehicle data. It demonstrates the immense potential of DePIN in the automotive industry.

Streamr Network: A decentralized network focused on collecting and publishing real-time data streams from IoT. Its collaboration with various data platforms showcases DePIN’s potential in data services.

Challenges and Future Outlook

Despite the current enthusiasm for DePIN, its challenges should not be overlooked. The influence of project narratives and market sentiment is significant, and market volatility and smart contract security remain areas of concern. As the market matures, whether DePIN projects can achieve stable development and profitable business models will be key to their long-term success.

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