Decentralized Physical Infrastructure: The Next Big Shift in Tech?

The way we think about infrastructure is changing, and fast. Imagine a world where essential services like data storage, mapping networks, and even computing power aren’t controlled by a handful of corporations but instead run by a vast, decentralized network of contributors. Sounds futuristic? Not quite—this is exactly what Decentralized Physical Infrastructure Networks (DePIN) are bringing to the table.

In a recent episode of Hashing It Out, host Elisha Owusu Akyaw caught up with Tom Trowbridge, co-founder and CEO of Fluence Labs, to dive deep into the potential of DePIN and what the future holds for this emerging sector.

Podcast, Hashing It Out, DePIN

What Exactly is DePIN?

At its core, DePIN is about crowdsourcing physical infrastructure and linking it through crypto-powered incentives. Instead of relying on centralized entities to maintain and distribute resources, DePIN harnesses the power of decentralized networks to create more efficient, scalable, and cheaper alternatives.

Tom Trowbridge put it simply:

“DePIN projects need to offer superior products or they won’t work.”

In other words, the success of these networks isn’t just about decentralization—it’s about delivering real, tangible value. Whether consumers understand the underlying tech or not, the ultimate deciding factor for mass adoption will always be utility.

Challenging the Cloud Computing Giants

Trowbridge knows a thing or two about taking on centralized giants. After playing a key role in launching Hedera Hashgraph, he co-founded Fluence Labs, a company laser-focused on bringing decentralization to cloud computing.

His motivation? The current state of cloud computing is dominated by a few major players, leaving users with limited control, high costs, and increasing security risks. Fluence Labs aims to flip the script by building a decentralized compute network that’s both cost-effective and flexible.

This shift towards decentralized computing presents exciting possibilities—but it’s not without challenges.

Overcoming the Adoption Hurdles

One of the biggest pain points for DePIN projects isn’t attracting contributors; it’s convincing businesses to make the leap. While the crypto and Web3 communities are embracing decentralization, mainstream businesses often hesitate to shift away from tried-and-tested centralized solutions.

Trowbridge pointed out that messaging plays a crucial role in bridging this gap. To get mainstream adoption, DePIN projects need to focus less on technical jargon and more on the core benefits—cheaper, more efficient, and more secure solutions.

2025: A Turning Point for DePIN?

Despite the hurdles, Trowbridge remains optimistic about the potential of DePIN networks. He sees them generating real-world revenue, reducing reliance on speculative market cycles, and proving their practical value.

Looking ahead to 2025, he predicts a major shift:

• Innovative DePIN projects will gain traction.
• Businesses will start recognizing the advantages of decentralized infrastructure.
• The ecosystem will become more mature, moving beyond theoretical applications to real-world impact.

So, could decentralized infrastructure be the next major disruption in tech? If Trowbridge and his peers are right, we might be witnessing the early days of a massive transformation.

To hear the full conversation, check out the Hashing It Out podcast on Cointelegraph’s podcast page, Spotify, Apple Podcasts, or your favorite podcast platform.

And for more deep dives into crypto, Web3, and the future of tech, explore Cointelegraph’s full podcast lineup.