What is Peaq Network? (PEAQ)

The merging of DePIN and RWAs is referred to as the Economy of Things (EoT) by Peaq. EoTs are decentralized systems in which machines, devices, and physical infrastructure can autonomously interact, transact, and exchange value without human intervention. It builds upon the concept of the Internet of Things (IoT) by integrating blockchain technology to enable machines to have unique identities, execute smart contracts, and participate in secure transactions.

EoT applications range from autonomous vehicles paying for charging stations to smart factories managing supply chains through self-executing agreements.

Peaq is used for the development of EoT dApps that are intended to connect with machines, vehicles, devices, and other physical infrastructure through secure machine-to-machine (M2M) and machine-to-human (M2H) interactions.

Who Created Peaq Network?

Peaq Network was founded by Till Wendler, Leonard Dorlöchter, and Max Thake in 2017 and the network launched in November 2024.

Peaq was incubated by EoT labs, a company who develops and supports open-source projects for the Web3 Machine Economy.

Recognizing the limitations of existing infrastructures in supporting IoT applications, Wendler, Dorlöchter and Thake created EoT Labs to develop enterprise IoT solutions. This experience led them to establish peaq as a dedicated Layer 1 blockchain for DePINs.

In March 2024, peaq raised $15 million from investors including Animoca Brands and Borderless Capital, followed by a $20 million token launch on CoinList in May 2024.

How does Peaq Network work?

Peaq is built using the Substrate framework, which offers both Ethereum Virtual Machine (EVM) compatibility and support for Rust-based smart contracts (WASM).

This design provides developers with flexibility to choose their preferred programming languages and helps attract them from different ecosystems to build on Peaq Network.

The network also uses several tools to become more scalable, including:

• Parallelized block production – Multiple blocks can be produced simultaneously to reduce bottlenecks and increase transaction throughput.
• Asynchronous backing – Decouples block production from block finalization so that different parts of the network can process and validate transactions independently to improve overall network efficiency.
• Agile core time – Resource allocation model that adjusts computational power based on demand. This helps the network allocate core processing time where it is needed most to optimize performance and reduce congestion.

As of early 2025, Peaq can run up to 10,000 transactions per second (TPS) with plans to exceed 100,000 TPS in future upgrades.

Modular DePIN Functions

Peaq offers read-to-use modules to help equip dApps with essential functions like self-sovereign machine identities (IDs), role-based access control, data verification, machine payment processing, data storage, data indexing, and autonomous AI agents.

These functions are accessible via the peaq Software Development Kit (SDK) in JavaScript so that they can be deployed with minimal code.

Peaq Network Features

Peaq provides a robust infrastructure for DePINs by integrating multiple features to help machines, devices, and people interact and to facilitate a more efficient and secure decentralized economy.

Some of Peaq’s core features that help provides this DePIN infrastructure include:

• Peaq ID: Provides identities to machines so that hardware devices (like machines, robots, and vehicles) can identify and connect with each other, people, and their surroundings.
• Peaq Access: Configuration panel for role-based access control (RBAC) so that machines within the ecosystem can be granted access to certain features based on their verified roles.
• Peaq Pay: Facilitates transactions between machines and between machines and people by verifying proof of funds before processing payments.
• Peaq Verify: Ensures data verification for DePINs by authenticating information using various tiers.
• AI Agents: Supports the deployment of AI-driven microagents by integrating Fetch.ai’s autonomous agents, Nevermined for autonomous payments, and Autonolas for shared ownership in autonomous systems.

What is Peaq's consensus mechanism?

Peaq uses a dual consensus mechanism that combines Delegated Proof of Stake (DPoS) for block production and a first finalization and Nominated Proof of Stake (NPoS) for verification and a second finalization.

There are two main types of nodes that help produce blocks quickly and efficiently on Peak Network:

• Collators – Responsible for creating new blocks and maintaining the state of the network.
• Delegators – Ensure that collator-produced blocks are finalized on the main chain while making sure that the collators are honest and reliable.

How does the PEAQ token work?

The peaq network uses multiple tokens: PEAQ for the mainnet, KREST for the canary network (a development platform used to test features before they are released on Peaq), and AGUNG for the testnet. These tokens play critical roles within the ecosystem, including transaction fee payments and development facilitation on testnets.

The native token of the peaq network, PEAQ, serves multiple purposes within the ecosystem:

• Governance: PEAQ holders can participate in the future direction of the network through its community-centric voting mechanism.
• Staking: Users can stake PEAQ tokens to support network security and operations, earning rewards in return.
• Transaction Fees: PEAQ is used to pay for transaction fees within the network, facilitating various operations and interactions.

Tokenomics

There is a maximum of 4,200,000,000 PEAQ tokens, which were all in circulation at genesis. The token was distributed as follows:

• Early Backers: 504 million PEAQ.
• Private Rounds: 924 million PEAQ.
• Public Offering: 252 million PEAQ.
• EoT Labs: 357 million PEAQ.

The release schedule for these allocations includes specific unlock percentages at the Token Generation Event (TGE) and subsequent vesting periods:

• Early Backers: 5% unlocked at TGE, with the remaining tokens released over a 24-month period.
• Private Rounds: 7.5% unlocked at TGE, followed by a release over 18 months.
• Public Offering: 15% unlocked at TGE, with the remaining tokens released over 6 months.
• EoT Labs: No initial unlock at TGE, with tokens released over a specified period.

Peaq Network projects and use cases

Several projects are being built on peaq, including:

• Silencio: Measures noise pollution in return for rewards.
• ELOOP: Tokenized machine RWAs. For example, ELOOP tokenized Austria’s car-sharing Teslas for anyone to be able to invest in them and earn from their revenues.
• Farmsent: Allows farmers in Asia and South America to gain better control over their produce and its distribution.
• NATIX: Creates a decentralized mapping economy by incentivizing users to map their surroundings to generate data for smart-city and mobility applications.

Further, Peaq is involved in several partnerships, including with top industry names like Bosch, Continental, and Airbus, to co-develop decentralized smart mobility solutions.

Peaq Network essentials

• Peaq is specifically designed to support Decentralized Physical Infrastructure Networks, enabling the integration of real-world assets into the decentralized web.
• With advanced technologies like parallelized block production and asynchronous backing, peaq achieves high transaction throughput while maintaining low costs.
• Peaq offers a suite of ready-to-use modules that simplify the development of dApps interacting with machines and devices.
• Peaq is backed by significant funding and partnerships, positioning it as a key player in the evolving Machine Economy.