Most of us don’t think twice when popping something into ChatGPT. We’ve gone from expecting results for “Thai food near me” in a few seconds to itineraries for a two-week food tour around Thailand just as quickly. The end-user experience for this doesn’t feel very different. But from an energy standpoint, a lot has changed.
A ChatGPT search reportedly uses ten times as much power as a Google search query. With the current energy infrastructure already nearing its limits, the GenAI industry is worried about overloading data centers and returning to non-renewable energy sources. Even Open AI’s Sam Altman has called for clean energy to solve the impending GenAI compute crisis.
This op-ed is part of CoinDesk’s new DePIN Vertical, covering the emerging industry of decentralized physical infrastructure.
Decentralized compute networks offer a promising answer to the GenAI energy question. Leveraging DePIN will encourage technology development, democratize access to powerful resources, and onboard more users into web3. Who says crypto can’t be green?
The solution to powering the GenAI explosion could very well be in your home office. Decentralized networks can leverage the power of edge nodes operated from computers and laptops. If a computer meets the minimum hardware requirements, a user can set up the node operating dashboard in a few minutes. The network then uses untapped GPUs to run compute tasks in the background. Decentralized edge computing can also help balance the computational load more effectively. By processing data closer to its source, edge AI reduces latency and enhances efficiency.
DePIN compute networks aren’t only providing new power sources, but also rewarding the power suppliers. At Theta, for example, EdgeCloud node operators earn TFUEL or TNT-20 tokens for completing compute jobs. They can further stake these tokens to help govern and secure the blockchain from EdgeCloud clients. It’s similar to NEAR’s cloud computing for blockchain projects or Flux for dapps. Participants receive tokens to lend their resources to a network.
Decentralized compute networks present a win-win scenario. Node operators can exchange their reward tokens for other assets, and GenAI applications can harness their necessary energy. Through attractive rewards, DePIN also effectively lowers the barriers to web3 entry. And as countless airdrops have shown us, rewards are an easy way to encourage more users to explore and contribute to the ecosystem at large.
Environmentalists will tell you that re-using existing resources is one of the most beneficial climate actions you can take. DePIN protocols apply this idea to computing networks by providing new utility to underutilized hardware. Very few home computers are running at full power 24/7. DePIN repurposes their CPU/GPU and, in turn, reduces the need to manufacture new devices. This approach maximizes available resources while enhancing network efficiency. While the total energy usage might increase due to the higher availability of GPUs, the decentralized model ensures that this energy is used sustainably.
Despite its potential, skepticism from the general public during the DePIN rollout is practically a given. The industry has a lot of work to do before it can prove it’s matured past FTX-level disasters. Environmental concerns around mining are still popular arguments against cryptocurrencies. This means DePIN use cases that protect the climate are incredibly valuable. DePIN providing green solutions for our favorite AI tools is even better. It’s another proof point for DePIN being a solid path toward mainstream adoption.
It’s not just an energy question. Access to high-performance GPUs has traditionally been limited to large enterprises. Cloud providers are expensive, and their packages often don’t match small business needs. This exclusivity has prevented smaller institutions from leveraging advanced AI tools. It’s a repeat of an all-too-common technology phenomenon – financial barriers ensure those with capital stay in power. GenAI can support breakthroughs from new rare disease treatments to completing crypto transactions. These must not be limited to just a few actors.
Thankfully, DePIN democratizes GPU access by making it affordable and accessible to a broader audience. Universities, startups, and independent researchers can now harness the power of AI without financial concerns. This mission aligns with one of the blockchain community’s main goals of financial inclusion and connecting more people to digital assets.
It also speaks to the power of moving away from centralized providers. Unfortunately, the crypto industry is intimately familiar with the dangerous impact of a single bad actor. Providing more institutions with access to decentralized GPUs prevents an overreliance on a single data center or AI company. If AI penetrates our lives the way experts predict, it’s imperative that no single company has too much say in what this looks like.
This year’s DePIN summer is also an AI summer. As hundreds of thousands flock to warm destinations with cold drinks, they’ve likely already been aware of AI’s influence. Maybe they had facial recognition at their boarding gate, or perhaps ChatGPT helped them find their dream resort. Behind the scenes, these applications were gathering vast amounts of energy to make our lives easier.
Many don’t realize that DePIN applications will start to pop up just as quickly. We’ll be given more opportunities to monetize our resources, whether that’s CPU, GPU or GPS history. There’s no reason these developments must be at odds with each other. In fact, they should develop in tandem. DePIN can help ensure AI development is energy-efficient and climate-friendly. In the AI age, GPU is the new oil, and we should treat it as such.
Note: The views expressed in this column are those of the author and do not necessarily reflect those of CoinDesk, Inc. or its owners and affiliates.
Edited by Benjamin Schiller.
