Crypto infrastructure companies are restructuring to decouple from token components

DePIN Companies Restructure

Several companies in the decentralized physical infrastructure (DePIN) space are undergoing significant restructuring. This includes Storj, a decentralized storage service, which filed for Chapter 11 bankruptcy in July. Storj's announcement indicated that its underlying business remains strong but was hindered by "legacy obligations from an earlier chapter," suggesting a move to decouple from its token-related past.

Shift from Token-Centric Models

This trend is not isolated, as at least three other companies from the legacy DePIN sector have engaged in restructuring, selling, or splitting their businesses this summer. The common goal in these actions is to separate the core business operations from their token components. This indicates a broader pattern where the original DePIN model, which incentivized crowdsourced hardware, bandwidth, and storage through tokens, is proving unsustainable.

Infrastructure Development Parallels

Historically, infrastructure sectors like cloud computing, telecom, and chip manufacturing have followed a similar development playbook: raw capacity is built, commoditized, and then value shifts to guaranteed, contracted services built on top. The analysis suggests crypto infrastructure is attempting to follow this pattern, with the current restructurings reflecting a move towards more traditional service-oriented business models rather than relying on token-based incentives.