To build a telecom network, you need customers to fund towers. But you need towers first to get customers. It is a deadlock. DePIN breaks this with Token Incentives.
šø The DePIN Flywheel Mechanism:
Project prints Tokens to pay Early Adopters who install hardware. No customers yet; Token is the sole motivation.
Since Token has value, thousands rush to install devices. Network scales fast.
Once network is large enough, enterprises start using it for its low cost and coverage.
Revenue from customers is used to buy back and burn Tokens or reward nodes.
Token price rises š Attracts even more hardware providers and Back to Step 2.
š¹ DePIN Tokens are not just currency; they are Crowdsourced Venture Capital used to subsidize infrastructure build out before revenue kicks in.
Are you entering DePIN at Stage 1 mining tokens hoping for future or Stage 3 when the network has real utility?
News is for reference, not investment advice. Please read carefully before making a decision.