The concept of a decentralized internet is not a new idea. Projects like Hyphanet and Tor have been early attempts to create decentralized networks. More recently, blockchain-based initiatives such as IPFS (InterPlanetary File System) and Filecoin have emerged. However, these efforts have faced significant challenges, primarily the need for widespread physical infrastructure such as servers, routers, and high-bandwidth connections to match the robustness and speed of traditional internet service providers.
What many people overlook is the network that we already have access to, which could potentially be the backbone for a massive revolution in how the Web is used and supported globally. The beauty of it is that we don’t need to look beyond the devices in our pockets.
The internet today primarily relies on traditional, centralized servers owned by major tech companies. However, a new model is emerging in 2024. Decentralized Physical Infrastructure Networks, or DePINs, are blockchain-based data management systems that offer an alternative to the existing architecture. Despite their differences, they still provide comparable results for essential services like computing power and real-world information. This is made possible through incentivization, using cryptocurrency compensation to enable crowd-sourced infrastructure that is as effective, if not more so, than their legacy counterparts.
Crowdsourced infrastructure is not a new concept, but in many cases, there is a limiting factor on how decentralized these systems can be. This is because they often require specific, expensive hardware to be set up and maintained for network participation. This barrier limits the number of people or businesses that can truly get involved and encourages centralized farms, similar to the current situation.
The good news is that this can change. Instead of requiring potential users to buy new hardware, what if we utilized the processing power and decentralized infrastructure that most people already carry in their pockets? With such a model, the network would allow anybody to leverage their smartphones or similar devices to assist in running nodes. If implemented correctly, this could provide enough resources for DePIN services to operate while generating contribution rewards to incentivize participation and growth.
In 2023, it was estimated that about 69% of the world’s population already used smartphones to access the internet. This number is expected to grow, with devices becoming more powerful each year. Collectively, these devices can provide the raw processing power needed for a new type of content delivery network that powers the information superhighway. This not only takes control of services away from major companies but also solves issues like downtime on the current internet.
Projects like APhone demonstrate this concept by transforming any smart device into a Web3 smartphone through a browser-based application. By utilizing decentralized cloud technology, users can access increased GPU capabilities, expanded storage, and additional RAM without overburdening their local hardware. DePINs would be nearly impossible to take down as they would be formed by a globally distributed network of nodes and operators, ensuring essential services remain available.
This technology expands inclusivity by lowering the barrier to entry, allowing virtually anyone in the world to get involved. By utilizing spare processing power, individuals and companies could be compensated for supporting the network. This revenue distribution would be much more equitable compared to the current system, where a few data giants reap all the profits.
The future of DePIN looks promising, with multiple projects in development and gaining traction. The market potential for DePIN was estimated at $2.2 trillion in 2023 and is projected to reach $3.5 trillion by 2028. This momentum suggests sustainable growth in the industry.
In conclusion, the internet could evolve into a decentralized network supported by the devices we use every day. This shift could provide users with a basic passive income for being part of the solution and diminish the control of major corporations over the internet. It’s a new branch of technology, and while it’s too early to predict its adoption fully, the groundwork is already in place. By leveraging the network of smartphones worldwide, a new, equitable, and resilient form of the internet can be achieved through widespread adoption of a software-based solution that taps into crowdsourced infrastructure. The future of DePIN seems promising, offering a new way forward in internet technology.