Decentralizing telecommunication networks financially benefits small businesses and telecom corporations alike, according to Frank Mong, the chief operating officer (COO) of Nova Labs, the founding team behind the Helium wireless decentralized physical infrastructure (DePIN) network.

In an interview with Cointelegraph at Consensus 2025 in Toronto, Canada, Mong said that small businesses including bars, restaurants, convenience stores, and other local operators can generate revenue by hosting wireless hotspots and expanding network coverage.

Large telecommunication companies and service providers can also tap into the Helium Network’s telemetry to reduce operational costs and expand network coverage in dead zones.

Pictured from left to right at Consensus 2025, the Realest.Com founder DJ Skee Keeney, Nova Labs COO Frank Mong, CEO of KYD Labs Ahmed Nimale, and CoinDesk senior anchor Jennifer Sanasie. Source: Cointelegraph

“It costs about $300,000 for a telecom company to stand up one tower; you need one per block for 5G to work effectively,” Mong told Cointelegraph, The executive added:

“Instead of doing that and making phone plans more expensive, what if anyone with a useful Wi-Fi network shares that Wi-Fi and allows, not just anyone to use it securely, but allows large companies like AT&T to see the telemetry of that network.”

Decentralized physical infrastructure networks continue to be an example of how blockchain technologies can provide real-world value and make existing infrastructure more resilient to outages, disruptions, censorship, and critical failure.

Related: Countries must add DePIN tokens to their digital asset stockpiles

Helium secures collaborative partnerships with telecom companies

In January 2024, Nova Labs announced a collaborative partnership with Latin American telecommunication company Telefónica to expand the telecom company’s coverage in dead zones and help reduce network congestion.

More recently, in April 2025, Helium partnered with AT&T — a global telecommunication giant — to allow AT&T users automatic access to the Helium Network when in range of the network’s coverage area of mobile hotspots.

Data from the Helium Network shows that the United States currently has the highest concentration of the network’s 95,272 mobile hotspots. Additionally, Helium has 284,053 active Internet of Things (IoT) hotspots worldwide.

An overview of the Helium Network’s mobile hotspots around the world. Source: Helium

“Ultimately, what we did in the United States and Mexico should be global,” Mong told Cointelegraph.

Nova Labs is currently focused on expanding coverage through securing collaborative partnerships with telecommunication infrastructure providers in new regions, the executive added.

Magazine: Most DePIN projects barely even use blockchain: True or false?

Opinion by: Scott Lehr, adviser to Alteri.io

In the world of cryptocurrency, knowledge isn’t just power — it’s a weapon. The recent collapse of Mantra’s OM token, which saw a 90% drop in value within hours, underscores how wallet intelligence can be leveraged with devastating effects.

Wallet intelligence is the real-time analysis of blockchain data to extract insights from wallet behaviors, transaction patterns, and asset flows. Firms like Chainalysis and Arkham Intelligence have turned raw onchain activity into high-resolution surveillance, enabling everything from compliance monitoring to predictive trading. This level of insight gives a strategic advantage to those who can access it.

Power like this, however, has consequences. There is a new battlefield on the blockchain, and you might be in danger.

The downside of transparency

As blockchain transparency advances, the pseudonymity that once protected users rapidly dissolves. Every transaction leaves a breadcrumb trail — one that sophisticated actors can follow. Wallet intelligence is increasingly used by regulators, exchanges, and analytics firms to enforce compliance and track illicit activity. It also opens the door to abuse: centralized surveillance, profiling, and preemptive censorship.

OM’s collapse exposed the dangers

The April collapse of OM offers a case study of how these dynamics play out. Although not conclusively proven, reports suggest that a single trader initiated a massive short on Binance’s perpetual market, allegedly exploiting market liquidity to trigger a cascade of liquidations. At the same time, Mantra’s token was held in a highly centralized fashion — 90% of OM supply sat with insiders. Combine that with low liquidity and poor transparency around OTC deals, and you get a chain reaction that wiped out millions in market cap and investor trust.

The FTX fallout and the power of wallet intelligence

We saw echoes of this dynamic during the collapse of FTX. While regulators and internal auditors failed to sound the alarm, early warnings came from parts of the crypto community — analysts and observers who flagged questionable ties between Alameda Research and FTX. But the full extent of the misconduct wasn’t revealed until a leaked balance sheet and a cascade of withdrawals forced the truth into the open. After the collapse, wallet intelligence became critical. Blockchain investigators and independent sleuths traced the movement of billions in customer funds, exposing how deeply intertwined — and misused — those assets were. The fallout didn’t just destroy value. It shattered trust and proved that, in the right hands, blockchain transparency can uncover truths that centralized actors try to bury.

The growing threat of surveillance capitalism

This is the new battlefield. Wallet intelligence enables actors to front-run movements, manipulate price action, or influence reputational narratives by selectively exposing wallet data. In the wrong hands, it becomes a weapon capable of destabilizing protocols, shaping regulatory pressures, or undermining the decentralization of crypto.

What happens when blockchain data stops protecting users and starts profiling them?

Recent: Mantra links OM token crash to risky crypto exchange policies

The centralization of these tools and data pipelines poses a systemic risk. A small number of firms with privileged access and institutional relationships now have disproportionate influence over which transactions get flagged, which wallets get blocked, and which behaviors are interpreted as “suspicious.” That isn’t decentralization. It’s surveillance capitalism with a blockchain veneer.

What the crypto community must do now

The implications for markets are significant. As wallet intelligence tools become more influential, expect heightened regulatory scrutiny, targeted enforcement, and volatility driven by actors who can read the tape before the rest of the market sees it. In the wrong context, transparency without guardrails can morph into tyranny.

Wallet intelligence is here to stay — but how it’s governed, who gets access, and whether it reinforces or undermines decentralization will determine whether it serves the ecosystem or destabilizes it.

Blockchain users: Stop assuming decentralization means safety. Know how your data is being tracked, interpreted, and possibly weaponized.

Regulators must understand this technology before attempting to regulate it—or risk empowering the wrong actors.

Developers should push for decentralized wallet intelligence platforms that return data power to the network, not a few firms.

Protocols should bake privacy into their architecture without sacrificing accountability.

In this next era of crypto, what you don’t know about your own wallet might be exactly what someone else is using to move against you.

Opinion by: Scott Lehr, adviser to Alteri.io.

This article is for general information purposes and is not intended to be and should not be taken as legal or investment advice. The views, thoughts, and opinions expressed here are the author’s alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.

This past week, Coinbase joined the S&P 500, one of the world’s most elite stock indexes — a triumph for the crypto firm, which spent much of the 2020s battling US government agencies like the SEC and Commodity Futures Trading Commission for its survival. 

But this attainment is not about one company alone. 

“This is more than an achievement for Coinbase; it’s a landmark for the broader crypto and blockchain industry,” said Meryem Habibi, chief revenue officer of Bitpace. Coinbase joining the S&P 500 doesn’t just boost the owner of the largest US cryptocurrency exchange. “It cements the legitimacy of an entire asset class,” she told Cointelegraph. 

Jason Kennard, head of business development at ARK Invest Europe, told Cointelegraph that for the first time, a crypto-native firm had met the stringent profitability, liquidity and market cap requirements of “the most iconic benchmark index” in global markets, adding:

It sends a strong signal to institutional investors: Crypto infrastructure has matured into a credible, systemic part of the financial ecosystem.

It is a milestone event, Steve Sosnick, chief strategist at Interactive Brokers, told Cointelegraph, “because whether they want it or not, or know it or not, equity investors who buy S&P 500 index funds will now have crypto exposure via COIN.” Indeed, Coinbase could now get billions of dollars in passive investor flows just from becoming part of the S&P 500. 

“What’s remarkable about this is that just a few months ago, the company was engaged in an intense legal battle with the SEC, which was charging that its platform was illegal because it was trafficking in unregistered securities,” Benchmark analyst Mark Palmer told CNBC. 

“This normalizes crypto exposure in conservative portfolios that might otherwise avoid digital assets” and brings with it indirect adoption by institutional investors, retirement plans and sovereign funds that has broader industry significance, added Habibi.

Still, it was only a matter of time before some crypto firm would be brought into the S&P 500 fold, Russell Rhoads, clinical associate professor of financial management at Indiana University’s Kelley School of Business Indianapolis, told Cointelegraph. “It does make sense for COIN or some other crypto-related firm to be in the index, as the industry is becoming more important to the global economy and you want the S&P 500 constituents to be representative of the economy.” 

Separately, Coinbase also reported a data breach last week, a “compromise of passwords or private keys” that could eventually cost the crypto exchange $180 million to $400 million.

The hack has exposed the personal information of tens of thousands of users and has left them vulnerable to robberies and kidnappings, as seen in the wake of the 2021 Ledger breach.

Related: Violent crypto robberies on the rise: Six attacks that targeted investors

Meanwhile, inclusion in the S&P 500 means that “index funds, including those managed by BlackRock, Vanguard and State Street, must now allocate capital to Coinbase,” Habibi told Cointelegraph. “This means billions of dollars in passive investment will flow into a crypto-native business.” 

$10 billion in new capital inflows?

How much money could flow Coinbase’s way? Passive investing (e.g., investing in an ETF that mirrors the S&P 500) has proliferated in recent years. S&P DJII estimated in 2024 that roughly $10 trillion is now passively tracking the S&P 500.

If Coinbase gets only a 0.1% weighting — a share that Habibi thinks reasonable — it could reap $10 billion in potential capital flows without a single investor actively choosing crypto exposure.

S&P Dow Jones Indices Annual Survey of Assets. Source: S&P Global

Institutional acceptance is arguably the bigger story here, Habibi continued. Coinbase’s inclusion in the index signals that public markets now reward not just growth, but regulatory compliance, operational maturity and long-term vision in the crypto space. She added:

The move paves the way for other crypto firms — e.g., Circle, Chainalysis, Fireblocks — to aim for public listings and eventual index inclusion, potentially triggering a new wave of institutional-grade crypto finance companies.

It may be premature to speak yet about a convergence of the crypto and TradFi economic sectors, however, as some are doing. “Crypto, overall, is still a very small fraction of the overall economy,” Seoyoung Kim, associate professor of finance at Santa Clara University, told Cointelegraph. “I think the greater convergence coming ahead will be increasing institutional adoption of blockchain-based protocols and tokenization.”

A convergence of economies?

Others disagree. “We have been talking about TradFi-crypto convergence for quite some time,” Owen Lau, executive director at Oppenheimer & Co, told Cointelegraph. “It is happening and will continue to happen. Robinhood/Bitstamp, Kraken/Ninja Trader and Ripple/Hidden Road are good examples.”

“We’re not quite at full convergence, but we’re definitely past the separation phase,” opined Kennard. He, too, referenced crypto ETFs but also pointed to recent events, like Galaxy Digital’s listing on the Nasdaq exchange this month and Coinbase’s role as custodian for multiple ETFs, demonstrating that TradFi firms are now looking to crypto-native firms for some infrastructure needs. “Regulatory clarity is still emerging, but institutional rails are being laid fast,” said Kennard.

More equity listings mean that crypto companies can tap markets as a source of liquidity, but that doesn’t necessarily involve a convergence of financial channels, stated Interactive Brokers’ Sosnick. “Convergence will occur when a traditional finance company truly adopts crypto as a means of payment.” 

Related: Senate stablecoin vote splits Democrats amid concerns over corruption

Still, Habibi pointed to convergence in infrastructure solutions, like JPMorgan’s Onyx platform that is being used to settle billions in intraday repo transactions using blockchain technology, Nasdaq’s digital asset custody infrastructure launch and PayPal’s launch of its PayPal USD (PYUSD) stablecoin, which integrates crypto rails and consumer fintech.

“These examples underscore a shift in which crypto and TradFi are no longer competing but co-evolving. Crypto-native firms are beginning to resemble traditional financial institutions in structure, while banks are adopting decentralized technologies to improve efficiency, reduce settlement friction, and expand asset reach,” Habibi explained.

Who is next?

Now that Coinbase has broken ground, should one expect other crypto firms to gain S&P 500 inclusion soon? Maybe not. 

A large market capitalization is needed to join the S&P 500, but that alone is not sufficient. There are other criteria. A candidate must have been profitable in the most recent year and quarter to qualify, for instance. “Galaxy Digital is newly listed [on Nasdaq], but [it still] needs consistent profitability,” said Kennard. “Marathon Digital, Riot Platforms and Strategy are often cited but may be a little early in their journey.” 

Lau didn’t expect any crypto-native companies to join the S&P 500 anytime soon, though it could happen in the next two to three years, he said. Rhoads ventured, “I would not go as far as stating this is the beginning of multiple crypto-related firms joining the S&P 500, as the new members often replace a firm in same industry — in this case, COIN replaced Discover Financial.”

Strategy (MSTR) is a possible candidate. It easily has the necessary market capitalization, but it’s struggling to meet the index’s earnings requirements. “I don’t see MSTR making the cut,” said Kim.

“I’m not sure who would be next — even Gemini (still private) seems far off based on valuations from their last funding rounds,” Kim continued. “It’s really tough to make it into the S&P 500, and so we’ll likely see existing S&P 500 firms increasingly adopt blockchain/crypto services before we see a true-blue crypto firm — i.e., one that started as a crypto firm — enter the index.”

Time will tell, but for now, “I’m not aware of any crypto-linked companies with sufficient market cap and consistent earnings that meet SPX criteria,” concluded Sosnick.

Magazine: TradFi is building Ethereum L2s to tokenize trillions in RWAs: Inside story