Grayscale launches AI Crypto: Investments has introduced a new Decentralized AI Fund to facilitate the development of artificial intelligence crypto protocols. In a recent news release, Grayscale Investments stated that the fund’s objective is to capitalize on expanding the artificial intelligence (AI) sector inside the cryptocurrency ecosystem. This will be accomplished by giving accredited investors access to blockchain initiatives powered by AI.
New Fund Targeting AI Crypto Protocols Decentralized
Bittensor (TAO), Filecoin (FIL), Livepeer (LPT), Near (NEAR), and Render (RNDR) are some of the protocols that the fund will prioritize. It seeks to utilize the decentralization, accessibility, and transparency of blockchain technology and will rebalance every three months. There are three primary areas that the fund will focus on. Chatbots and picture generation are examples of decentralized artificial intelligence services that are first included in this. Secondly, it will focus on protocols that address problems with artificial intelligence, such as safeguards against deepfakes and bots.
Decentralized data storage, GPU computing, and 3D rendering platforms are among the crucial AI infrastructures that the fund will also invest in. As of July 16, 2024, the Grayscale launched AI Crypto Decentralized AI Fund, which consisted of the following assets: Bittensor (TAO) at 2.92%, Filecoin (FIL) at 30.59%, Livepeer (LPT) at 8.64%, Near (NEAR) at 32.99%, and Render (RNDR) at 24.86%.
In a statement by Grayscale’s Head of Product & Research, Rayhaneh Sharif-Askary, the company stated that since its 2013 inception, investors have been presented with compelling opportunities by disruptive technologies. The company believes that the launch of the Grayscale Decentralized AI Fund presents an opportunity to invest in Decentralized AI during its early stages.
According to Sharif-Askary, the Grayscale launches AI Crypto team is confident that blockchain-based AI protocols can help address the growing number of hazards associated with AI technology. These protocols represent decentralization, accessibility, and transparency.
Grayscale Launches Dynamic Income Fund
Dynamic Income Fund (GDIF) is a proof-of-stake investment fund founded by Grayscale launches AI Crypto in May. It is designed for millionaire investors with a net worth of at least $2.2 million. The Global Decentralized Investment Fund (GDIF) intends to capitalize on the growing proof-of-stake token ecosystem by using dynamic tactics to maximize profits. The primary objective of this endeavor is to take advantage of the staking incentives produced by proof-of-stake digital assets.
Key Features of the Fund
Utilizing smart contracts is a crucial component of the Decentralized AI Fund. A “smart contract” is an agreement whose terms are encoded in code and may be executed automatically. They are set up to automatically carry out transactions once the contract’s criteria are fulfilled. This makes transactions clear and safe, cuts expenses, and eliminates middlemen.
Smart contracts will facilitate the management of investment agreements between AI projects and the Decentralized AI Fund. For instance, it’s not uncommon for financing for an AI project to be conditional on the project reaching specific milestones before proceeding to the next step. The smart contract will automatically release the next installment of funds once these milestones have been validated. By holding projects to their word, we can ensure that money is being put to good use.
Another essential characteristic of the fund is its decentralized governance approach. Instead of a central authority, a decentralized network of stakeholders governs the fund. Investors, project creators, and others involved in the ecosystem are stakeholders. Voting is done collectively to decide how the fund is run, including which projects to finance and how to distribute resources.
This style of decentralized governance guarantees that the fund is not excessively controlled by any one institution. Everyone’s vote on how the fund is run also helps with accountability and openness. In addition, it opens the door to a wider variety of viewpoints, improving decision-making and generating fresh ideas.
Benefits for Investors and Developers
The Decentralized AI Fund offers developers and investors several advantages. The fund gives backers a chance to participate in the rapidly expanding AI industry. Investors can earn substantial returns while simultaneously contributing to the creation of innovative technology by purchasing a diverse portfolio of AI projects.
In addition, smart contracts and blockchain technology make investments safe and clear. In this way, backers of various initiatives may monitor their investments’ development and make sure their money is going where it should. This level of transparency, which is rarely seen in traditional investment structures, makes building trust and confidence among investors easier.
The fund provides developers with a great resource for both financial and emotional support. Many promising ideas fail to obtain the required financing due to the high costs and resource requirements of development. AI technologies. By offering a decentralized funding mechanism, the fund gives developers access to the resources they need to realize their ideas.
Thanks to the decentralized governance architecture, developers also get a vote on how their projects are headed. They have the opportunity to collaborate with other interested parties to choose the course of their work’s future. This collaborative approach could result in a more dynamic AI ecosystem and more creative solutions.
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Conclusion
Establishing the AI Crypto Protocols Decentralized AI Fund by Grayscale represents a significant step forward in integrating artificial intelligence and blockchain technologies. The fund aims to democratize access to artificial intelligence technology and ensure its advantages are spread more equitably. This will be accomplished by establishing a decentralized ecosystem for the development and funding of AI.
The fund provides a possible paradigm for the development of artificial intelligence in the future. It uses smart contracts, emphasizes decentralized governance, and strongly emphasizes openness and accountability. However, it is also confronted with difficulties and concerns that will need to be addressed. If it is successful, the Decentralized AI Fund has the potential to usher. A new era of scientific advancement and innovation within artificial intelligence.
