The Pipe Network, a project on Solana, is aiming for a disciplined approach to tokenomics as it develops a content delivery network (CDN) that features innovative technology. CEO David Rhodus articulated that the project will emit tokens only upon the completion of useful work, aligning incentives to ensure that the network of nodes operates efficiently in underperforming areas. Despite the growing sector of decentralized physical infrastructure networks (DePIN), businesses in this domain, including Helium and Hivemapper, have faced challenges in attaining mass-market adoption and financial sustainability. A report noted that while 350 DePIN tokens collectively valued at $50 billion existed as of late 2024, many companies have struggled with economic viability. Rhodus emphasized that founders should delay incorporating crypto into their business models until they establish a user base and revenue streams, suggesting a shift away from past practices of mining rewards without justifying a node's value.

Source 🔗