DePINs To Bring Billions Of Dollars To Crypto Space. But What Is DePIN In The First Place? 📌
DePINs are blockchain-based digital resource networks that provide decentralized physical infrastructure for sharing and monetizing underutilized resources. They may soon become the next big thing in the crypto space.
Once in a while, the crypto space gets ignited with a new buzzword that may (or may not) be more than a buzz. DePINs most likely don't fall into the fleeting trend category. The new approach to decentralized infrastructure may be a game changer for many industries relying on internet connection. DePINs also provide a massive opportunity to earn crypto online – if you're patient enough to wait until the idea takes off for real.
The topic of DePINs has been circulating in the crypto bubble for a while but has remained unnoticed by many, even in the Web3 space. Recently, though, it has caught a bit of traction on X when Meltem Demirors shared a post speculating about a near future with "dozens of multi-billion dollar protocols and companies across the DePIN stack."
Demirors, a veteran of digital asset investing and a crypto expert at Oxford University, believes that the DePIN ecosystem will provide a fertile ground for a new category of structured credit products connecting investors to operators offering hardware for the decentralized networks.
What is DePIN in crypto?
DePIN, short for decentralized physical infrastructure networks, is a relatively new concept that applies blockchain's decentralization principles to real-world infrastructure and systems, including data centers, wireless networks, energy grids, supply chains, transportation systems, etc.
A DePIN system enables the sharing of hardware resources, such as internet connections, storage space, or computing power, through a decentralized network based on the blockchain architecture.
