Are you ready to embark on a journey where the physical meets the digital, revolutionizing the way we interact with our world?
It's to the realm of DePINs👇🏻
👉🏻 DePIN- Decentralized Physical Infrastructure Networks
DePIN protocols have garnered interest lately due to their potential to impact a wide range of industries, including the Internet, artificial intelligence (AI), energy, wireless communications, and more.
• Let's understand what is DePIN-
A DePIN is a decentralized application that uses tokens to incentivize people to crowdsource and build connected real-world physical infrastructure.
• DePIN can be used in different ways.
Globally empowering individuals, these networks enable collaborative efforts in building, maintaining, and operating community-owned physical infrastructure without relying on a single centralized entity.
• How Do DePINs Work?
DePINs function through three key elements:
➤ Off-chain network mainly comprises its users and service providers
➤ The blockchain brings end users and service providers together.
➤ Protocol defines the key features of how a DePIN functions.
• Benefits of DePIN
The conceptual scope of DePIN is defined by shared characteristics:
👉🏻 Permissionless entry
👉🏻 Distributed infrastructure costs, and
👉🏻 Economies of scale
• DePIN Sectors
So you can have DePINs providing everything from mobility to energy, to connectivity, to storage services.
But are all DePINs equal?
Let's break it down further 👇🏻
• Physical Resource Networks vs Digital Resource Networks
PRNs 👉🏻 incentivize people to direct or deploy hardware to offer real-world,
non-fungible goods and
services.
DRNs 👉🏻 incentivize people to direct or deploy hardware to offer fungible, digital resources.
