Livepeer functions as a scalable Platform-as-a-Service (PaaS) for startups and organizations looking to integrate live or on-demand video into their project. Livepeer's primary function is video transcoding, which involves reformatting a video to suit various bandwidths and devices. This process is crucial for ensuring optimal video streaming experiences across different network conditions and viewing devices. Livepeer operates through a network of nodes, known as Broadcasters and Orchestrators, that send and receive video streams for transcoding. Orchestrators contribute their computer's CPU, GPU, and bandwidth to the network and receive non-monetary rewards denominated in ether (ETH). The network's native token, the Livepeer Token (LPT), is used as a bonding mechanism to incentivize Orchestrators to act honestly, thus maintaining the network's functionality. By decentralizing the video streaming and transcoding process, Livepeer seeks to reduce costs, increase reliability, and offer a more scalable infrastructure solution for the high demand for video streaming. This decentralized approach also presents an alternative to traditional, costly, and centralized video streaming infrastructure, which could lead to different business models that don't rely on selling user data or serving ads.