VanEck Invests $2.5M in DAWN, A Solana-Based ‘AirBnb for Internet’

VanEck, a household name in traditional finance, has continued its aggressive expansion into the crypto space. 

The TradFi giant announced a $2.5M strategic investment in DAWN, a Solana-based DePIN project aiming to disrupt extortionate internet monopolies. 

What is DAWN? Why is one of the world’s most recognizable financial institutions taking positions in Solana DePIN and what could this mean for the rest of the sector?

VanEck Backs Emerging Solana DePIN Project

On December 16, VanEck declared a $2.5M investment in DAWN, an emerging Solana-based DePIN project, through VanEck Ventures and the VanEck Digital Assets Alpha Fund. 

VanEck’s support of DAWN bears historical significance, marking the first time that multiple VanEck funds have simultaneously invested in the same project. 

VanEck joins prominent crypto VC firms like DragonFly Capital and Wintermute Ventures, who led DAWN’s earlier $18M funding round in August 2024.

What is DAWN?

DAWN, or Decentralized Autonomous Wireless Networks, is a Solana DePIN project that aims to democratize internet access and global connectivity. 

According to VanEck’s statement, existing ISP (Internet Service Provider) monopolies exercise unsustainable control over the market, leading to extortionate discrepancies between wholesale internet prices and end-consumers. DAWN claims that retail users pay dramatically higher costs, as high as $70-$100 per month, for services that cost as little as $1 to deliver.

Through its first implementation partner, Andrena, DAWN already serves over 10,000 homes across 10 states and targets 1.5M homes in New York City alone in the new future. DAWN operators will not only gain access to cheaper internet, they will actively contribute to a decentralized network of home-based transmitters.

DAWN seeks to leverage DePIN technology to replace costly last-mile fiber lines with intelligent wireless technology. According to Andrena CEO Neil Chatterjee, service providers and contributors will become “owners in the infrastructure serving them.”

VanEck envisions DAWN as an ‘AirBnb for Internet’, and foresees the Solana DePIN project competing with Big Tech giants like Verizon, T-Mobile, and AT&T.

Solana DePIN Thrives

VanEck’s investment in Solana DePIN signals the development of a wider trend in the ecosystem. 

While memecoins have stolen the spotlight, Solana DePIN projects have thrived throughout 2024. Protocols like Helium and Hivemapper have enjoyed expansive growth, attracting tens of thousands of users and providing extensive coverage to third-party service providers.

Prominent Solana community figures have reinforced this theory, suggesting that Solana’s DePIN sector is quietly surging as protocols gain traction and find PMF (Product Market Fit) in their relevant industry.

Through its investment in DAWN, VanEck further aligns itself with the Solana ecosystem. VanEck has been one of Solana's staunchest advocates throughout 2024 and made history when it filed for the first U.S.-based spot Solana ETF in June.

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