Tokenizing infrastructure and the need for stronger regulation in DePIN

Tokenizing infrastructure and the need for stronger regulation in DePIN

Table of Contents

Opinion

While we look at the rest of 2025, the political climate indicates a more friendly position towards encryption, with promises of organizational clarity than both the two main parties in the United States. While this transformation welcomes the news of the Web3, one sector highlights that it needs special care: DePin.

Princess DEPIN projects are $ 38.4 billion sector. They are not typical encryption projects. DePin Projects Bridge Blockchain incentives with the real world’s infrastructure, allowing ordinary users to liquefy their electronic devices. Many of the coded warriors tend to avoid the organization, on the pretext that it suffocates innovation or prevents daily freedoms. DePin’s unique hybrid nature requires a strong framework to protect and direct confidence so that its transformational potential can be fully achieved.

What distinguishes DePins?

DePins creates a self -economy where the participants are directly compensated for their network contributions. This makes Deepin Followed uniquely To address industries that depend on digital innovation and material presence, such as geographical location, decentralized storage and internet connection. Such a hybrid nature also represents challenges, as it challenges the logic of current organizational structures and requires new rules.

The challenges faced by Deepin

DePin projects generate a real economic value from the beginning. Geodnet, a relatively modern project, has achieved about one million dollars of repeated annual revenues (ARR) through satellite miners. The broader DePin ecological system reports more than $ 15 million in ARR. This concrete success highlights The economic feasibility of the sectorBut the urgent need for clear supervision comes with that.

DePin networks often require access to user devices to work effectively, whether it is geographical location data to draw micro -maps or storage capacity for decentralized cloud solutions. Without clear guidelines, users and operators alike are not sure of the limits of data collection. How much data can protocols access? What is protection to ensure privacy and prevent misuse? Without answers, users may hesitate to share, and thus reduce network growth.

DePin networks rely on the distinctive symbols to reward users to contribute their devices or data. Again, without organizational clarity, questions arise about fair compensation. How should the user contributions be evaluated, especially when their devices are necessary for the network? Lack of monotheism may lead to predatory practices, which leads to confidence erosion in the ecosystem.

DePin networks are decentralized, but projects in the early stage often depend on the central leadership of decision -making, creating transparency gaps in governance and revenue distribution. Some DePin projects fail to detect their governance structures or decentralization road maps, leaving stakeholders not sure who controls the network and how the project shares revenues with its users. This Ostrich undermines the basic principles of the sector and can deter participation from users looking for real decentralized systems. The organizational framework can address these issues by stimulating transparency.

Traditional traditional infrastructure and digital currencies are often treated as separate fields, with little attention to the hybrid nature of DePin. For example, web2 companies circulating publicly should reveal revenues, while web3 transactions are usually visible on Onchain. But what if the theoretical DePin project achieved millions of revenues, and this information remains especially, and only a few thousand dollars are rewarded? What if users have already made great contributions to their physical devices, just to change the project’s distinctive symbol significantly? These unanswered questions create operational risks and compliance with ordinary users.

The need for organization

Developing a strong organizational framework for DePin is necessary to cancel its capabilities as a transformational force in technology and infrastructure. Organizers must adopt an accurate approach that addresses the complications of the hybrid Depin nature.

recently: Below is why users should keep data on DePin devices instead of cloud services

With its tradition of adopting innovation, the United States has an opportunity to lead this sector by formulating specially designed lists that have set a global standard, ensuring that both accountability and innovation are thrived in the DePin ecosystem. By behaving decisively, the organizers can place the DePin as a basis for a hybrid and traumatic future. Benefits extend beyond technology. It is an organizational challenge and once in the generation to redefine how economies and societies work. Let’s wait for this moment to formulate a working framework that enables prosperity, ensuring an uncomfortable, thorough and prosperous internet world.

Aaron Passi is the head of the product at iotex. Aaron has a Bachelor’s degree in Business Administration from the SFU College of Business, and completed the UBC Summer Institute program, which is approved as a professional SCRUM product.

This article is intended for general information purposes and does not aim to be and should not be considered legal or investment advice. The opinions, ideas and opinions expressed here are alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.