Solana’s Rise in Decentralized Infrastructure Networks (DePIN)

Solana is becoming a hub for decentralized physical infrastructure networks (DePIN), which are blockchain-based systems where people share physical or virtual resources, like internet access, computing power, or mapping data, in return for token rewards. These networks are gaining momentum due to their practical utility, showing how blockchain technology can solve real-world problems.

Key Projects in DePIN on Solana:

Helium: Known for its decentralized wireless network, Helium uses hotspots to create coverage for Internet of Things (IoT) devices and cellular networks. It operates a Proof of Coverage system where participants earn tokens by providing network coverage. Helium has expanded into 5G with its MOBILE Network, partnering with T-Mobile to offer decentralized mobile service. This network has attracted over 112,000 users on a $20/month unlimited data plan. Helium’s other projects, like IoT networks, are being used in environmental monitoring and museum climate control across Europe, showing its broad utility.

Nosana and Kuzco: These are decentralized networks focused on providing GPU computing power. Nosana hit record levels of active GPU operators recently, while Kuzco has seen a significant increase in GPUs since launching earlier this year. These networks aim to solve resource constraints in AI and data processing by offering decentralized alternatives.

DAWN: A decentralized wireless internet provider, DAWN uses a “proof of backhaul” system, letting users share their internet connection for tokens. It aims to make internet access more affordable, costing users under $10/month and has started trials in NYC, generating $1M in annual recurring revenue (ARR). DAWN also plans to offer bandwidth for other DePIN projects.

Dabba: This project focuses on improving broadband access across rural and underserved areas in India by working with local cable operators. Using its DBT token, Dabba rewards operators for expanding their networks, particularly in regions that major telecoms often overlook.

Hivemapper: A decentralized mapping network where users contribute by capturing road data through dashcams, earning tokens as rewards. This community-driven approach ensures that maps are updated more frequently and accurately, solving problems like outdated or incomplete maps.

Why Solana?

Solana’s low-cost, high-performance blockchain is an ideal platform for DePIN projects. It can handle the massive transaction volume required for these networks to operate, whether it’s rewarding users or verifying contributions. The ecosystem of decentralized infrastructure on Solana has grown rapidly this year, with physical networks like Helium and Dabba, as well as virtual ones like Nosana and Kuzco, thriving.

Expectation

The rise of DePINs, particularly on Solana, is seen as a way to demonstrate the real-world utility of blockchain, moving beyond just speculation and into practical use cases. As these networks continue to grow, they could help renew broader interest in crypto, showing how tokens and blockchain can enable access to resources like internet connectivity, computing power, and data services. This growth could break the crypto market out of its current lull and usher in a new phase of adoption.

Make money without lifting your fingers: Start using a world-class auto trading solution