Investment firm Borderless Capital introduces a $100 million DePIN fund, supported by Peaq, Solana, and other notable entities.
The crypto industry is witnessing a surge in the decentralized physical infrastructure (DePIN) segment, and investment management firm Borderless Capital is jumping on board. The firm has announced the launch of its third fund, totalling $100 million, with a focus on projects within the DePIN sector.
According to Álvaro Gracia, partner at Borderless Capital, DePINs are set to become the global standard for deploying physical infrastructure, coordinating human resources, and generating passive income. DePINs leverage blockchain technology to enable projects to use resources and equipment without owning them, fostering a sharing economy within the crypto space.
One example of a DePIN project is Daylight Energy, a company focused on distributed energy. Daylight Energy raised $9 million in July, and it's an example of a project within this segment. Another notable project is Helium, a decentralized wireless network that uses the DePIN project's native token (HNT) to incentivize users to share connectivity.
Borderless Capital's third fund has attracted investors such as the Solana Foundation, Jump Crypto, and Peaq, a layer-1 blockchain for DePIN projects. Peaq is also an investor in the third fund, further solidifying its commitment to the DePIN sector.
Pipe, a project outside the scope of Borderless Capital's third fund, is another intriguing DePIN project. Pipe is building a content delivery network that uses crypto tokens to incentivize those hosting internet infrastructure. Earlier this week, Pipe raised $10 million in a funding round led by Multicoin.
Beyond Daylight Energy and Helium, other notable DePIN projects include Filecoin, a decentralized storage network that uses blockchain and AI-enhanced decentralized storage management. Filecoin operates a global network of storage providers, leveraging machine learning to optimize data placement and retrieval.
Power Ledger, a pioneering project decentralizing energy distribution, allows peer-to-peer energy trading on blockchain. It enables users to buy and sell renewable energy directly, fostering decentralized energy grids.
Autonomous Transportation Networks, though not always a single project, decentralized infrastructure enabling self-driving vehicles to communicate and optimize transport routes is a growing DePIN use case.
Algorand-based projects such as Meld Gold and Folks Finance are also exploring solutions for real-world infrastructure problems. Meld Gold tokenizes physical gold and silver ownership on the Algorand blockchain, allowing fractional and decentralized access to precious metals. Folks Finance provides decentralized financial infrastructure like lending and borrowing without centralized intermediaries, facilitating decentralized access to financial services.
These examples demonstrate DePIN's application across storage (Filecoin), energy (Power Ledger), transportation (Autonomous Networks), and asset tokenization/finance (Algorand projects), highlighting the broadening scope beyond the original Helium and Daylight Energy networks.
As the DePIN segment continues to grow, it's clear that Borderless Capital's third fund is well-positioned to support the development of innovative projects in this exciting space.
- The news of Borderless Capital's third fund worth $100 million, dedicated to projects within the DePIN sector, has been making waves in the web3 world, as it signifies a significant investment in the future of decentralized physical infrastructure.
- With projects like Filecoin, Power Ledger, and Meld Gold, the DePIN segment is branching out, covering various sectors such as storage, energy, transportation, and asset tokenization/financing, proving to be a promising area for investing in technology and finance.
- Resources like Helium, Pipe, and Folks Finance, which are currently leveraging DePIN technology, are expected to generate passive income and coordinating human resources, ultimately setting a new standard for deploying physical infrastructure and fostering a sharing economy within the crypto space.
