What Is Helium Network?
The Helium Network is a decentralized wireless Internet of Things (IoT) network that uses the LoRaWAN system. It is associated with the Helium Network Token (HNT) cryptocurrency. Nodes on the network are primarily owned and placed by individuals in their homes or offices, who receive HNT as a reward for their participation.
Background
Helium, Inc., the company behind the Helium Network, was founded in 2013. The original business model involved deploying a network of LoRa gateway hotspots throughout an area via agreements with building owners, who were paid in traditional currency. However, as funds dwindled in 2017, Helium pivoted to a new strategy: individuals were offered cryptocurrency as an incentive to operate individually owned nodes at their homes or offices. In 2021, Helium Network expanded its reach by partnering with Dish Network to deploy thousands of Helium hotspots across Dish’s nationwide cellular network. However, in 2022, it was discovered that Helium had falsely claimed Lime and Salesforce as two of their major customers.
How It Works
Individuals purchase nodes, which can cost up to $500 each, and place them in their homes or offices. The amount of HNT they receive varies based on data usage. As of 2022, the Helium Network has integrated with the 5G network, using a decentralized approach to build a cellular network powered by Helium Hotspots equipped with 5G radios. These hotspots, deployed by individuals or businesses, provide local coverage and relay data within the network.
Key Takeaways
- The Helium Network is a decentralized wireless IoT network that uses LoRaWAN technology and is associated with the HNT cryptocurrency.
- Nodes on the network are primarily owned and placed by individuals in their homes or offices, who are rewarded with HNT.
- The company behind the Helium Network was founded in 2013 and shifted its strategy in 2017 to offer cryptocurrency as an incentive to operate individually owned nodes.
- In 2021, the Helium Network expanded by partnering with Dish Network, but in 2022, it was discovered that they had falsely claimed major customers.
- As of 2022, the Helium Network has integrated with the 5G network, using a decentralized approach to build a cellular network powered by Helium Hotspots equipped with 5G radios.
