Taking off: Rewarding Flight Trackers in the Age of Web3

In a new feature for CoinDesk called “DePIN Vertical,” I’m excited to delve into the burgeoning sector of decentralized physical infrastructure with this op-ed.

In a way, it was a reasonable arrangement: You gained access to various platforms at a cost, while contributing your data for targeted advertising. Ad companies benefited from reaching their ideal audience, and the platforms thrived. However, as technology advanced, data collection grew more intrusive, yet the value returned to users remained unchanged. This profitable model spread across social media, online publications, and even TVs with menu ads. I’ll revisit the flight tracking aspect soon.

Web3 promised us the solution. Instead of giving away your data, what if you kept ownership over it? During the last bull market, everyone tried to find problems that Web3 could fix. Everything was tokenized: art, watches, carbon credits and random memes. It should have been the other way around: first identify the problem, then apply the solution.

Helium effectively harnessed the power of Web3 incentives to construct a vast, interconnected web of hotspots. These hotspots, distributed across the globe, enable IoT sensor connectivity. By enticing individuals with no prior connection to collaborate, Helium created the largest telecom network in history, merging their home Wi-Fi networks in the process. This successful endeavor proved that ownership over data is not the primary issue. Instead, it’s the equitable distribution of profits among those who generate or facilitate the data transmission. The true value lies within the decentralized infrastructure network composed of people—a Decentralized Physical Infrastructure Network (DePIN).

How does flight tracking relate to this collection of information by flight enthusiasts? This community, though small in number, is spread across the globe and gathers data from nearby aircraft using affordable Raspberry Pis. They then send this data to prominent flight tracking networks like Flightradar24 and Flightaware, gaining full access as a reward. These platforms amass significant revenue by selling this critical aviation data to various industries such as aviation, travel, and logistics. However, the individuals who contribute the data are not compensated for their efforts.

Using a DePIN (Distributed Performance-based Incentive Network) model, Wingbits is constructing a more equitable and efficient flight tracking system. Providers contributing data to this network will be compensated based on their performance and uptime, thereby generating revenue from their own data. In contrast, data providers for other networks lack motivation to optimize coverage and availability since they do not profit directly from their contributions. Wingbits’ rewards mechanism ensures that top performers are handsomely rewarded.

Our public beta launch in November 2023 significantly boosted Wingbits’ growth. In just half a year, our community expanded from 40 to over 1450 active antennas – surpassing Flightradar’s growth in their initial 3 years. Europe and a substantial portion of the US now have nearly full coverage, with over 35000 daily flight trackings.

I’m thrilled about DePIN, which has the potential to generate tangible benefits for everyone involved. By allowing us to monetize our data at our own discretion, it will disrupt traditional business models and rekindle the belief that our data is a valuable asset rather than something to be given away for free.

I want to share my perspective on the topic at hand, but it’s important to note that this viewpoint is mine alone and does not represent the official stance of CoinDesk or its affiliates. Throughout my career in the cryptocurrency industry, I have gained valuable insights into the complexities and nuances of blockchain technology and digital currencies. My experiences have shaped my understanding of various issues within this space, and as a result, I feel compelled to express my thoughts openly and honestly. However, it’s essential to remember that everyone’s experiences and perspectives are unique, and I encourage healthy dialogue and respectful discourse on the topic.