"By linking together established pieces of a system's backbone with the building blocks of distributed ledger technology (DLT), DePIN has potential to improve network reliability and efficiency while lowering operational costs and optimizing resources and industry collaboration."
"However, there are significant obstacles to widespread adoption, including regulatory and interoperability issues, cybersecurity risks and the need for substantial investments in infrastructure and skills."
"Incumbent network operators - telecommunication companies, utilities and transportation, to name a few - face ever-growing user demand that require capital-heavy infrastructure developments."
"Part of DePIN's allure is issuing their own digital tokens, which can help projects incentivize participation and network expansion. Today's unclear global regulatory landscape, however, makes compliance problematic and could stifle the sector's growth."
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