How Is Traditional Wireless Connecting With Decentralized Wireless?

The combination of traditional wireless and decentralized wireless networks is shaping a new era in telecommunications. By integrating decentralized models like Helium’s People’s Network with traditional telco infrastructure, companies like Deutsche Telekom are exploring innovative ways to provide more scalable, inclusive, and efficient connectivity. This shift not only redefines infrastructure building but also introduces new opportunities through blockchain, staking services, and tokenized business models.

What We Will Cover

• Why decentralized wireless is getting attention
• Deutsche Telekom’s journey in blockchain and crypto
• How traditional telecom infrastructure fits into Web3
• The role of staking services in telco operations
• Strategic investments in decentralized networks
• Why Helium’s People’s Network is a major milestone
• The future of decentralized telecom innovation

Why Does Web3 Matter to Traditional Wireless Companies?

Deutsche Telekom has been deeply engaged in the blockchain and crypto world. The reason is simple. Web3 represents the next evolution of digital connectivity. While the internet took 28 years to reach 5 billion users, crypto adoption is expected to reach that same milestone much faster. As digital literacy grows, so does the potential for decentralized systems.

Traditional telcos like Deutsche Telekom are now entering this space early enough to play a major role in shaping decentralized infrastructure. This is seen as an opportunity to avoid repeating past mistakes of missing early internet developments.

In this context, Web3 offers the potential for decentralized infrastructure to complement or even compete with traditional networks. As the landscape evolves, the idea is to participate in building decentralized systems rather than being sidelined.

How Does Crypto Adoption Compare to Internet Growth?

By November 2021, when Bitcoin reached an all-time high, the difference between retail and institutional investors became clear. Retail participation dropped to 52%, while institutional investors increased their share to 52%. During the pandemic, people had more time to explore crypto—learning about wallets, tokens, and decentralized finance.

But it’s not just individuals getting involved. Large corporations, family offices, and institutional investors have entered the space. Tesla, Square, and MicroStrategy are well-known examples. Deutsche Telekom also stepped in, actively participating in blockchain infrastructure and holding tokens.

This shows a growing confidence in crypto markets and decentralized technologies among both individuals and institutions. Deutsche Telekom is not just observing this trend—it’s taking part in it by building infrastructure and offering services that support blockchain ecosystems.

Why Is Telecom Infrastructure Naturally Aligned With Blockchain?

Telecom companies have decades of experience providing complex infrastructure for voice and internet services. Supporting blockchain networks is a natural extension of this role.

Web1.0 started by building the information economy on existing infrastructure. Web2.0 built social and platform economies on top of that. Now Web3 combines centralized and decentralized systems, adding a data layer that includes blockchain.

One of the most appealing aspects of Web3 is its promise of peer-to-peer value exchange. Instead of Big Tech controlling the flow, users can interact directly. This principle is what drives Helium’s People’s Network, which allows anyone to participate in building decentralized wireless infrastructure.

What Is Deutsche Telekom’s Role in Staking Services?

Deutsche Telekom offers staking services for proof-of-stake public blockchains. This is an evolution of their traditional role in telecom infrastructure services.

The company has been one of the primary data providers for Chainlink, the decentralized Oracle network that connects smart contracts to real-world data. They also run execution nodes for the Flow blockchain, focusing on NFTs and digital assets.

Deutsche Telekom bought DOT tokens, which allowed them to participate in Polkadot’s governance, staking, and node operations. Their move into staking with Stakewise, a liquid staking protocol, was announced shortly after the transcript’s recording.

Deutsche Telekom has approximately $100 million in assets staked across different blockchain platforms. These include assets in Chainlink, Flow, Polkadot, and more. This signals a significant commitment to the future of decentralized infrastructure.

What Blockchain Investments Has Deutsche Telekom Made?

The company’s blockchain strategy spans direct investments, token purchases, and operational roles in decentralized networks. Some notable investments include:

1. ClearX: A decentralized settlement and clearing software aimed at reducing friction in B2B transactions. It’s used for applications like roaming services between telecom partners.
2. Celo: A mobile-first blockchain platform designed to make financial tools accessible to anyone with a mobile phone. Deutsche Telekom supports Celo through token investments and node operations.
3. Hanzo: Provides API layers that help companies access decentralized networks and crypto payment systems in fast-growing markets.
4. Helium: A strategic investment that directly aligns with Deutsche Telekom’s traditional role in infrastructure building.

Each of these investments reflects Deutsche Telekom’s commitment to staying at the forefront of decentralized network development.

How Does Helium’s People’s Network Work With Traditional Wireless?

Traditional telecom companies like Deutsche Telekom have always built infrastructure centrally. Helium turns this model upside down by enabling individuals to deploy their own hotspots. Anyone can set up a Helium device and connect it to their existing internet service, contributing to a decentralized LoRaWAN network.

With the addition of 5G through FreedomFi’s acquisition, Helium’s network has expanded beyond IoT devices to provide broadband coverage. Participants earn tokens for their contributions, creating an incentive to expand the network.

Deutsche Telekom’s investment in Helium shows how traditional telcos can benefit from decentralized models. They can support and scale these networks while also learning from their community-driven growth.

What Infrastructure Services Does Deutsche Telekom Offer for Blockchain?

Over the past six years, Deutsche Telekom’s Blockchain Solution Center has developed services that cater to various blockchain networks. These services include:

• Validation Nodes: Operated on behalf of customers running proof-of-stake public blockchains.
• Chainlink Node Operations: Providing external data feeds to smart contracts.
• Open APIs on Celo: Enabling infrastructure services on mobile-friendly blockchain platforms.

They are paid in cryptocurrencies for these services. This demonstrates their belief in the viability of digital assets and decentralized payment models.

Why Is Decentralized Infrastructure Important for the Future of Telecom?

Deutsche Telekom believes decentralized infrastructure and decentralized wireless hotspots can complement and enhance traditional network services. By engaging in both centralized and decentralized models, they can diversify their offerings and participate in emerging markets.

Their proactive approach sets them apart from other telcos that are slower to adopt blockchain technologies. They see value not just in financial returns, but in understanding and shaping the future of network infrastructure.

What’s Next for Deutsche Telekom in Blockchain and Decentralized Wireless?

Deutsche Telekom plans to expand its staking operations and explore more partnerships in decentralized wireless. They have already signaled a move into liquid staking with Stakewise, and more announcements are expected.

Their involvement in Helium’s People’s Network is likely to deepen, especially as the network expands into 5G. They may also explore additional decentralized projects that align with their infrastructure expertise.

The company has shown a willingness to invest time, money, and resources into blockchain and decentralized wireless. They believe the potential for these technologies to reshape telecom is too big to ignore.

Final Words

Deutsche Telekom’s foray into blockchain and decentralized wireless highlights a significant shift in the telecom industry. By combining traditional infrastructure with decentralized models, they are building a hybrid approach that could define the future of connectivity.

From staking services to strategic investments in Helium and other platforms, Deutsche Telekom is positioning itself as a leader in the decentralized wireless space. Their proactive stance, coupled with their infrastructure expertise, gives them a unique advantage as the Web3 era continues to unfold.