In recent discussions surrounding the evolving landscape of decentralized technologies, Akash’s CEO, Greg Osuri, has emerged as a prominent voice advocating for the unique positioning of decentralized physical infrastructure networks (DePIN) within the regulatory framework. With the spotlight on DePIN’s potential to bridge the gap between cutting-edge technology and practical application, Osuri believes that its distinct offerings could appeal not only to mainstream users but also to regulators seeking clarity in this complex realm.
DePIN: A Unique Proposition in the Crypto World
In an insightful conversation, Osuri highlighted the recognition DePIN has received from regulators, emphasizing its potential to deliver tangible benefits that stand apart from traditional cryptocurrency projects. He expressed a keen intent to persuade regulatory bodies that DePIN warrants a different oversight approach compared to other sectors of the crypto market.
“I spend a lot of time on Capitol Hill…I was in a meeting with one of the chief staffers of the House Committee on Energy and Commerce…and I introduced myself, and they were like, ‘We know Akash, you are the intersection of DePIN and AI,’” Osuri shared, reflecting on what he described as a “very productive” meeting.
Building Bridges: Collaboration for Effective Regulation
Alongside InFlux Technologies, Akash has initiated a DePIN and Web3 advocacy group. This coalition aims to create a robust regulatory framework tailored specifically for the infrastructure-centric solutions that DePIN encompasses. Key aspects of DePIN include leveraging blockchain technology to grant users unprecedented control and ownership over physical infrastructure—from computing power via GPU chips to wireless data networks.
Osuri explained that the fundamental value of DePIN lies in its real-world applicability, which not only makes it inherently appealing but also positions it as a resilient force against the volatility often experienced in broader crypto markets.
The Appeal Beyond Traditional Crypto
Alvaro Garcia, a partner at Borderless Capital, echoed this sentiment, asserting that DePIN is distinctively positioned as it drives value from sectors outside of the crypto ecosystem. He noted:
“DePIN is probably the only category in web3 where the value comes from outside the crypto sector.”
With recent funding milestones, such as Borderless Capital’s $100 million raised for their third DePIN fund, the interest from venture capitalists underscores the increasing recognition of DePIN’s potential.
The Call for Distinctive Regulation
Osuri argues that the existing regulatory framework insufficiently addresses the nuances of DePIN. Rather than allowing all crypto sectors to be homogenized under a single regulatory umbrella, he advocates for a more specialized approach:
“There is an underserved regulatory need right now to make sure DePIN is regulated not as NFTs and DeFi… I think it’s very important for us to decouple [DePIN and other crypto] regulation and ensure the lawmakers and legislators and regulators get the message,” he stated.
The aim is clear: Akash, in collaboration with InFlux, is striving for a unified front among DePIN advocates to attain the clarity needed for effective regulatory engagement.
Shifting Perspectives
Interestingly, Osuri noted that much of the communication regarding DePIN should focus on its utility rather than its association with cryptocurrency. He emphasized that potential users, especially those in the AI sector, often prioritize functionality over crypto-specific features.
“If you go to Akash’s website, there’s almost no mention of crypto…we’re trying to communicate to the user to benefit rather than the architecture,” Osuri remarked.
This pragmatic approach signals a shift towards promoting the real-world benefits of DePIN, a strategy that seeks to sidestep the sometimes buzz-heavy conversation associated with crypto.
As Osuri and the Akash team further their outreach and regulatory discussions, the future of DePIN looks promising, geared towards setting a precedent on how decentralized technologies can integrate seamlessly with mainstream regulatory structures without losing their innovative edge.
Disclaimer: The information presented is for educational purposes and should not be construed as legal, tax, investment, or other professional advice.
