DePin has come to the world, providing the opportunity to create Defi projects that reward the procedures in the material world. What is this technology, and how do DePin work?
Theoretical studies have foretold for the coded currencies have long been predicted that the coding tools that have been currently implemented in Blockchain will be used on the Internet and affect the material world sooner or later. Nick Zabo indicated at the end of the twentieth century that smart contracts can automatically manage physical organisms. More than 25 years have passed, and Blockchain is pronounced firmly in our lives.
This is primarily due to the cryptocurrency: Bitcoin (BTCIt continues to break the records and support them with a large material infrastructure. At first glance, this confirms an actual physical presence in our world.
However, the limits of decentralized technologies still expand with the emergence of solutions such as DePin.
What is DePin and why Blockchain needs?
DePin meaning decentralized physical infrastructure network. Blockchain participants use the notebook of the General Professor and encrypted currencies to build and preserve specific infrastructure projects in the world. Simply put, DePin includes the use of DePin Blockchain to run and maintain decentralized networks of equipment that can serve a common purpose.
This enables the building to build a central and horizontal communications instead of the hierarchical approach that usually appears with large infrastructure projects such as bridges or roads. Building and managing material infrastructure networks is expensive and complex, so historically, the field of major companies or governments with capital and resources was.
On the other hand, DePin encourages volunteer cooperation among the participants. People participating in DePin networks can use their own devices or buy specialized devices for specific tasks. The options range from simple hard drives to weather stations. However, DePins is usually built around the capabilities available to the general public.
Explanation of Max Thake, co -founder of Peaq, Crypto.News that DePin uses distinctive symbols to motivate people to use connected devices to provide services to other people:
“Let’s imagine the DePin, which focuses on a smartphone like a roaming network. Smartphones, owned by ordinary people, are the component of devices, and data for the local communication quality that they collect are goods. Telecom companies that look forward to improving their services buying this data on the web3 market, where it is done Run the smart contracts, allowing the exchange of value between the aspects of supply and demand.
Max Thick, co -founder of Peaq
What are DePin options?
There are two types of DEPINS: PRN and digital resource networks (DRN).
PRNS are decentralized networks where service providers provide resources for devices (such as sensors or internet access), and these resources are linked to a specific location. Its contribution to the network depends on the site, and therefore it is not interchangeable.
DRNS are networks where service providers offer resources determined by their job, not the site. Here, the site does not matter. Examples of these resources include computing energy, frequency and storage range.
DEPIN’s advantages and disadvantages
DePin can completely convert how to manage and interact with material infrastructure. Using Blockchain and Smart contractsThis model increases the efficiency and transparency of systems, allowing society to make decisions independently.
DePin can be considered a kind of “industrial Dao“Where all participants have equal opportunities and guarantee the independence of the infrastructure.
The pricing model in the DePin Crypto systems is easier and fair because the infrastructure assets are owned by the public, and the cost of services is not determined by the company’s advantages but by availability. Participants in the form of symbols allow users to obtain regular negative income while benefiting from society.
However, major defects should be considered:
- Weakness on breakthroughs and errors.
- High fluctuations of symbols.
- Technical knowledge is needed to maintain a decentralized infrastructure.
However, with DePin, Blockchain calms the use of DePin in the real world and exchange value, it is linked to its nature to supply and demand in the real world, making this part in a unique position for healthy and health growth.
“People will not stop using navigation applications, requesting food or using the web because Bitcoin has taken diving. DePin web3 merges a real value instead of speculation and provides them with an opportunity to upgrade the level of its promise to change the world.”
Looking to the future: What will happen to religion within five years?
According to Messari’s analysts, in 2023, the DePin system grew to more than 650 projects, and the number of the contract increased by 600,000. Researchers noticed the main trends in DePin’s development in 2024.
Experts believe that distinctive symbols will contribute to adopting extensive projects such as Bonk Airdrop to Solana Saga smartphone users. Analysts also consider Asia the region that has the most important capabilities of the rapid development of decentralized infrastructure, expecting that some of the most influential projects in the sector here from 2024 to 2025 will appear.
The first development appeared in the Debine field about ten years ago. During this time, the number of projects increased significantly. The market value of the sector is more than $ 20 billion, with the exception of RWA and Blockchain Oracles, according to Messari experts.
When talking about the future of DePin, Thake expects to become an essential component of the industry along with the fully supportive stack, from the accumulated data of the DePin for training forms to the sensitivity market and the unitary of the artificial intelligence agents.
“Some of the most exciting apps for the Depin model in the energy industry will be, especially when it comes to green energy, which require flexible and decentralized networks, while most of those old schools follow the central model. People will soon gain by harvesting solar energy and contributing to the energy network.”
However, DePin projects are not yet common even among the participants in the coded currency industry, not to mention the adoption of the concept on a large scale. Decentralized infrastructure may take time because DePin faces problems that must be solved. However, experts are confident that this system will play a major role in forming the future and changing the principles of operating material infrastructure.
