DePIN driving Blockchain adoption with Escape Velocity Managing Partner Sal Gala | EP  

So I like this approach because it allows us to facilitate relative valuation comparisons between other depins - to tell us where we should invest our time as deployers. It also allows us to quantify annualized pay compared to a typical 40 hour work week. So with this methodology you can compare what pays more- your 40 hour a week job or a 40 hour depin workweek.

Discount factor has to be removed to compare to regular work pay but you get the point.

((Annual estimated revenue - associated expenses (I.e. taxes, hardware costs, etc)) X project survival rate estimate (I have this around 50%)) / annual hours of labor required to maintain and install hardware. This is divided by a continuously compounded risk free rate

Hey Logan, I love your content, we need more educational content like this . It would be really great to collaborate one day. With our projects consensus design, we are able to challenge the current blockchain paradigm by allowing the 3 critical aspects of blockchain technology to complement each other rather than being viewed as a tradeoff. We call this new paradigm True Decentralization. It's a great conversation and even better with some of your expertise.

Hello, Logan. I would like to share how a deployer in the space thinks about depin valuations. I think the term Carphl (cost adjusted revenue per hour of labor) or factored net income per hour of labor) is the proper valuation methodology for hardware deployment.

I found annual revenue to be lacking as a total valuation methodology. Our time (hours of labor) is also valuable. Some projects like dewi require more hours than others like data and sensor markets.