The relationship between the DePIN project and Solana embodies the transformative potential of decentralized infrastructure. This article, titled “How DePIN projects are leveraging Solana to build the decentralized Physical Network,” is sourced from an article written by Rahul Kulkarni and compiled, translated, and authored by Baihua Blockchain.
Table of Contents
Exploring the Connection Between DePIN and Blockchain
How Solana Helps Solve This Problem
Send
Helium
Render
Conclusion
Decentralized Physical Infrastructure Network (DePIN) is the name of a blockchain network that uses tokens to incentivize communities (rather than companies) to build physical infrastructure networks from scratch, such as mobile, electric vehicle charging, and telecommunications.
In the field of large-scale infrastructure, with the emergence of DePIN, we are witnessing a shift away from the typical top-down approach. Unlike the traditional model led by central authorities, DePIN advocates for decentralization and the decentralization of decision-making power throughout the network to improve adaptability.
So why emphasize blockchain? The fact is that blockchain technology ensures data security through transparency and immutability, which complements DePIN perfectly. Smart contracts improve efficiency through automated processes. This departure from centralization not only makes the network more inclusive but also prevents vulnerabilities. Embracing DePIN is a significant step towards a more flexible, decentralized, and autonomously coordinated future for infrastructure design.
The downside of this model lies in its inherent incentive structure, which encourages services primarily for those with the highest financial capacity. As a result, this leads to the concentration of resources and power dynamics, leaving some end-users underserved and disadvantaged throughout the project.
The DePIN project leverages Solana to build a decentralized physical network, taking full advantage of its scalability and low gas fees. Solana’s architecture features a localized fee market and parallelization, enhancing robustness and scalability, making it an ideal choice for these projects.
DePIN proposes a strategy that involves incentivizing others to join, thereby sharing the workload and providing a path to achieve scalable functionality. This approach draws inspiration from peer-to-peer networks, which form the infrastructure of many permissionless blockchains, providing a solid framework for effectively scaling projects.
Here, when we juxtapose the basic structures and utilization of Solana, the Helium network, and the Render network, you can observe the similarities between them.
Let’s delve into some innovative projects that have chosen Solana as their core infrastructure for scalability.
Teleport is an open-source and decentralized version of Uber. They are building a global network of drivers and passengers through real-time incentives for network operators.
They are turning ride-sharing into a protocol, whereas centralized ride-sharing services typically require the market to set fair prices. Instead, they set the prices themselves and maximize the value they can extract. Redesigning ride-sharing as a decentralized system means more money flows to drivers, passengers pay less for each ride, and more money stays in the local economy.
The key distinction lies in Teleport’s commitment to decentralization and real-time incentives for its network operators. Unlike centralized counterparts with autonomous pricing, Teleport supports a peer-to-peer system where market dynamics determine fair pricing. This unique approach ensures more funds flow directly to drivers, benefits passengers through lower ride costs, and achieves significant economic impact at the local level.
Helium is well-known in the Solana ecosystem and is one of the largest DePIN projects on Solana to date.
Helium is an exciting blockchain project aimed at decentralizing the way smart devices communicate with each other. Helium initially started as an Internet of Things (IoT) network for communication between smart devices. Coverage is provided by hotspot devices, which act as wireless access points and miners.
The Helium Network has expanded to hundreds of thousands of such hotspot devices, offering extensive coverage in the United States, Europe, and most other major metropolitan areas. It is an important player in the Low Power Wide Area Network (LoRaWAN) industry.
The team successfully migrated to Solana in the second quarter of this year. Shortly after, Nova Labs announced the launch of Helium Mobile unlimited plans, offering unlimited messaging, calling, and data services for only $5 per month. It is currently available for sale only in the United States. This strategic move aims to leverage Solana’s scalability, low transaction costs, and high performance, including its fast transaction throughput and energy-efficient consensus mechanism. Migrating to Solana provides key advantages for the Helium network: it enables IoT and mobile networks to support larger scales, supports more complex coverage proof algorithms, and enhances network flexibility, making it a more powerful solution for demand applications.
Render is the first decentralized GPU rendering platform that allows artists to scale GPU rendering workloads to high-performance GPU nodes worldwide on-demand.
Render Network aims to provide a platform for various computing tasks (from basic rendering to machine learning training to complex calculations) that efficiently and quickly facilitate in a blockchain-based peer-to-peer network without errors or delays, while ensuring ownership security.
The Render team has deployed a new token called RENDER on Solana, allowing the community to participate and earn rewards by providing GPUs to users. 1.14 million RNDR tokens have been provided to participants to migrate from ETH to Solana and pay gas fees.
Jules Urbach, the founder and architect of Render Network, said, “Moving Render’s core infrastructure to Solana is a watershed moment that unlocks major new features like instant streams and dynamic NFTs.”
“As we continue to build scalable and decentralized infrastructure for the metaverse, Solana’s incredible transaction speed, low cost, and commitment to network scale architecture make it an excellent fit for Render Network.”
These projects center around Solana to achieve higher availability, scalability, faster execution speed, and lower transaction gas fees. Solana has always been the preferred choice for entrepreneurs due to its fast speed and lower fees.
In conclusion, the relationship between DePIN projects and Solana embodies the transformative potential of decentralized infrastructure. By committing to decentralization, Teleport, Helium, and Render Network leverage Solana’s scalability and efficiency to redefine traditional models in ride-sharing, IoT communication, and GPU rendering.
Solana’s role as a speed catalyst, cost reducer, and network scalability architecture makes it the preferred choice for entrepreneurs to navigate a decentralized future. By seamlessly integrating with Solana, these projects not only address the limitations of centralized systems but also provide a direction for building more inclusive, flexible, and dynamic decentralized physical networks.
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