Decentralized Physical Infrastructure Networks (DePIN) are redefining how digital and physical connectivity infrastructures are built and managed. By leveraging blockchain technology, these networks enable communities to build, operate, and own infrastructure in a transparent and decentralized way.
Helium has emerged as a pioneering force in this space, particularly following its strategic migration to the Solana blockchain. This shift has enabled unprecedented scalability, efficiency, and growth—making it one of the most impactful real-world applications of blockchain technology today.
Why Helium Moved to Solana
In April 2023, Helium officially transitioned from its original Layer-1 blockchain to Solana. This move came after a community-led vote (HIP-70) that saw more than 81% approval from participants.
The decision was driven by the desire to focus on core network development rather than maintaining complex blockchain auxiliary systems such as capital markets, wallet integrations, and node management. By building on Solana, Helium could leverage high throughput, low transaction costs, and a robust ecosystem—all essential for supporting a global wireless network.
Abhay Kumar, CEO of the Helium Foundation, emphasized that this transition allows the team to concentrate on its primary mission: building a decentralized wireless network and fostering a sustainable token economy.
The $HNT Token: Helium’s Economic Backbone
As of April 2025, Helium operates under a unified token model centered around $HNT (Helium Network Token). This restructuring, formalized under HIP 138, replaced the previous multi-token system and discontinued emissions of $IOT and $MOBILE tokens.
Key changes include:
- Unified Rewards: All hotspot providers—whether supporting LoRaWAN or 5G—now earn rewards in $HNT.
- Streamlined Governance: $HNT serves as the sole governance and utility token within the ecosystem.
This consolidation simplifies participation, enhances token utility, and strengthens network security.
Data Credits: The Fuel for Network Operations
Data Credits (DCs) are non-tradable tokens used to pay for network services such as data transfers, device registrations, and connectivity fees. Each DC is valued at a fixed rate of $0.00001.
Users generate DCs by burning $HNT tokens through the Helium Burn and Mint Equilibrium (HBME) mechanism—an innovative model that aligns token supply with network usage.
Recent on-chain data reveals impressive growth in DC usage:
- Monthly DC volume increased from ~$67,500 in June 2024 to over $206,000 by December 2024—a 200% surge.
- Mobile services dominate DC consumption, consistently accounting for the majority of volume, while IoT usage has fluctuated between 1.5% and 11.6%.
Mobile Offload Carriers: A Shift in Data Usage
While Helium Mobile initially led in Data Credit consumption, a noticeable shift occurred starting in September 2024. Mobile offload carriers—third-party providers that use Helium’s infrastructure—began capturing significant market share.
By March 2025, offload carriers accounted for more than 67% of all DC volume. This trend highlights the growing adoption of Helium’s decentralized network by traditional telecom service providers looking to reduce costs and expand coverage.
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Network Performance: Data Transmission Insights
Helium supports two primary types of data transmission: IoT sensor messages and mobile broadband data.
IoT Messaging:
- Topped 6 billion packets transmitted from January 2024 onward.
- Experienced a slight decline in March 2025, suggesting seasonal or market-driven variability.
Mobile Data:
- Reached 406 TB in December 2024 alone.
- Total mobile data transfer in Q1 2025 exceeded 1,087 TB.
- Cumulative mobile data since January 2024 stands at a remarkable 3,798 TB.
These figures reflect not only growing usage but also increasing reliance on decentralized networks for high-bandwidth applications.
Subscriber and Hotspot Growth
Helium continues to expand its user and hardware base:
- Subscribers: As of April 2025, Helium Mobile has over 166,700 subscribers—a 4% increase from March and a 31% jump since January.
- Hotspots: The network added over 4,780 new hotspots in Q1 2025. April alone saw 1,639 new additions—a 12.4% growth rate. Total active hotspots now exceed 90,000.
This growth underscores increasing public and commercial trust in decentralized wireless solutions.
XNET: A Emerging Competitor on Solana
XNET, another DePIN project, migrated to Solana in August 2024. Unlike Helium, which serves both consumers and enterprises, XNET focuses primarily on B2B mobile data offloading.
The project rewards operators with $XNET tokens for deploying “Passpoint” hotspots that provide secure, decentralized Wi-Fi coverage.
Helium vs. XNET: Key Comparisons
- Data Offload Volume: As of February 2025, Helium transferred 201,000 GB of offload data—significantly more than XNET’s 19,760 GB.
- Growth Rate: However, XNET’s offload data grew 26% month-over-month in February, compared to Helium’s 0.84%.
- Contributor Trends: XNET has seen consistent growth in contributors (up to 27% monthly), while Helium has faced recent declines.
- Rewards per Contributor: XNET rewards surged from $482 to $2,143 per contributor between October 2024 and March 2025. Helium’s rewards per contributor fell from $49 to $15.5 in the same period.
These metrics suggest a competitive and rapidly evolving DePIN landscape on Solana.
The Future of DePIN on Solana
Helium and XNET represent two compelling models of how decentralized infrastructure can disrupt traditional telecom. While Helium benefits from first-mover advantage and scale, XNET’s focused growth and high reward rates indicate strong potential.
Both projects demonstrate Solana’s capability to support high-performance, real-world applications that require scalability, low costs, and a vibrant developer ecosystem.
The future of DePIN likely includes more cross-industry partnerships, improved hardware performance, and deeper integration with traditional infrastructure providers.
Frequently Asked Questions
What is Helium DePIN?
Helium DePIN (Decentralized Physical Infrastructure Network) is a blockchain-based wireless network that allows users to deploy hotspots and provide connectivity in exchange for crypto rewards. It supports IoT devices and mobile services.
How does Helium use Solana?
Helium migrated to Solana to improve scalability and reduce operational overhead. Solana’s high-speed, low-cost blockchain allows Helium to process transactions and rewards efficiently while focusing on network expansion.
What are Data Credits?
Data Credits are non-transferable tokens used to pay for operations on the Helium network, such as data transfers and device connectivity. They are generated by burning $HNT tokens.
Can I use Helium for mobile data?
Yes. Helium Mobile offers cellular data plans using a hybrid network that combines traditional towers with user-owned hotspots. Coverage is expanding across the U.S.
What is the role of $HNT?
$HNT is the native cryptocurrency of the Helium network. It is used for governance, rewarding hotspot operators, and minting Data Credits through token burning.
How does XNET differ from Helium?
XNET focuses exclusively on B2B data offloading and uses Wi-Fi hotspots instead of cellular hardware. It also operates on Solana but targets a different market segment within the DePIN ecosystem.
The rise of DePIN represents a shift toward user-owned infrastructure and more democratic connectivity models. As these networks grow, they promise to enhance global access to reliable and affordable internet service.