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AI-Based Crypto Tokens: The Illusion of Decentralized AI?

Mafrur, Rischan

arXiv.org Artificial Intelligence

The convergence of blockchain and artificial intelligence (AI) has led to the emergence of AI-based tokens, which are cryptographic assets designed to power decentralized AI platforms and services. This paper provides a comprehensive review of leading AI-token projects, examining their technical architectures, token utilities, consensus mechanisms, and underlying business models. We explore how these tokens operate across various blockchain ecosystems and assess the extent to which they offer value beyond traditional centralized AI services. Based on this assessment, our analysis identifies several core limitations. From a technical perspective, many platforms depend extensively on off-chain computation, exhibit limited capabilities for on-chain intelligence, and encounter significant scalability challenges. From a business perspective, many models appear to replicate centralized AI service structures, simply adding token-based payment and governance layers without delivering truly novel value. In light of these challenges, we also examine emerging developments that may shape the next phase of decentralized AI systems. These include approaches for on-chain verification of AI outputs, blockchain-enabled federated learning, and more robust incentive frameworks. Collectively, while emerging innovations offer pathways to strengthen decentralized AI ecosystems, significant gaps remain between the promises and the realities of current AI-token implementations. Our findings contribute to a growing body of research at the intersection of AI and blockchain, highlighting the need for critical evaluation and more grounded approaches as the field continues to evolve.


Join us at the SingularityNET Decentralized Governance Summit, April 21, 2023 14:30 UTC

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SingularityNET's founding mission of creating beneficial decentralized AGI is a large one and has a number of different aspects, all of which need to work together tightly. There's the decentralized-platform software layer, which is needed to make it feasible to run AI systems across large numbers of computers without any central owner or controller. The SingularityNET protocol and platform provide one portion of this layer, the NuNet decentralized compute resource network provides another, and the HyperCycle AI-customized ledgerless blockchain provides another. Decentralized-AI-platform tools are mainly agnostic in regards to how AGI is achieved -- be it neural nets, artificial life systems, brain simulations, logical reasoning engines, emergent combinations of different AI agents and paradigms, or something new and yet unforeseen. However, our team at SingularityNET has been putting significant effort into one particular approach to AGI, which is the OpenCog Hyperon framework, bringing together neural nets, logical reasoning, evolutionary learning, and other methods in the context of a distributed self-modifying knowledge metagraph.


Top 10 Artificial Intelligence (AI) crypto projects reaping biggest ROI

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A renewed interest in artificial intelligence (AI), driven by the rising popularity of the text-based AI platform ChatGPT, has also sparked the success of cryptocurrency projects related to the underlying technology, which are recording significant returns on investment (ROI) since their token sales. As it happens, CryptoGPT (GPT) is leading the AI crypto project crowd with a current ROI of 17.78 times since its token sale, with an all-time high (ATH) ROI of 29.37x, according to the latest information shared by the crypto industry analytics platform CryptoRank on March 22. Following CryptoGPT is the healthspan extension platform launched by SingularityNET, called Rejuve.AI (RJV), which is recording a current ROI of 6.53x and ATH ROI of 10.16x, as well as the SingularityNET (AGIX), which was also one of the top cryptocurrencies worth investor attention during March. Thanks to the announced beta launch of the platform's Cardano (ADA) staking portal, as well as its Rejuve initiative, SingularityNET has remained in the focus of the crypto community, heightened by the rumor that Tesla (NASDAQ: TSLA) CEO Elon Musk was in contact with AI researchers and as he shared an image mentioning "In The Singularity." At the same time, Fetch.ai recently released a roadmap outlining some of the critical milestones that the company aims to reach by the end of 2023, in addition to already reaching a deal with electronics giant Bosch to develop a foundation dedicated to research and develop Web3 technology for real-world use cases.


What are artificial intelligence (AI) crypto coins, and how do they work?

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There are several AI crypto coins currently available on the market, such as SingularityNET, Fetch.AI, Numerai, and Cortex. SingularityNET is an AI-focused blockchain platform that aims to create a decentralized AI economy. The platform offers a framework for building and exchanging AI applications, as well as allowing users to build and commercialize AI services. Fetch.AI is a decentralized network that uses AI to create a & ldquo;smart ledger” for autonomous machine-to-machine communication. From supply chain management to predictive maintenance are just a couple of the applications that can be made use of the network’s efficient data sharing and safe transactions.


About Crypto Artificial Intelligence and the Best Crypto AI Projects - Coindoo

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Artificial intelligence and cryptocurrency integration has given rise to some of the tech industry's most innovative and disruptive projects. The ability to merge the power of AI algorithms with decentralized financial systems has opened up new avenues for growth and development. With an increasing number of projects exploring this space, the crypto landscape is rapidly evolving and creating new opportunities for growth and innovation. Since the advent of ChatGPT, the openness to AI-based technologies is becoming more and more exponential. After all, he raised a $10 billion investment from Microsoft, right?


artificial-intelligence-and-cryptocurrency-the-rise-of-ai-focused-projects-in-2023

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Trends show that artificial intelligence (AI) will be a major topic in 2023, as data indicates a surge in interest. Since interest peaked and Microsoft invested billions into Chatgpt, demand for AI-focused cryptocurrency projects has risen dramatically. For example, the crypto project Fetch.ai has seen its native token FET rise 212% in the past 30 days, and another AI project, Singularitynet, has seen it's token AGIX increase 293% against the U.S. dollar. During the week of Jan. 22-28, 2023, the worldwide Google Trends score for the term "AI" was 94 out of 100. In the first week of Dec. 2022, the search term reached its highest Google Trends score of 100.


What are the Top AI Cryptocurrencies in 2023? - Ledgernomic

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Artificial intelligence (AI) and cryptocurrency are two of the most exciting and rapidly-evolving technologies of our time. The intersection of crypto and AI is starting to gain traction, with a number of AI-related cryptocurrencies emerging in recent years. In the past number of months in particular, AI cryptocurrencies have received increased attention. In this article, we'll take a closer look at some of the top AI cryptocurrencies currently in the market. SingularityNET is a decentralized marketplace for AI services.


SingularityNET Latest Ecosystem Updates: June 2022

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SingularityNET development and blockchain teams have partnered with MLabs, experts in Plutus development for Cardano, to create the AGIX-ADA staking contracts. The contracts are currently under evaluation in testnet and will soon be audited externally. The final stage of development will be creating the staking portal on the SingularityDAO v2 Dapp. The SingularityDAO v2 Dapp is gearing up for launch in Q3, and the staking portal will be launched shortly after that, approximately mid-Q3. The Loyalty Rewards wallet was created to demonstrate the gratitude of SingularityNET to the Phase One token holders for supporting the Phase Two initiative; as well as an opportunity to incentivize and reward community growth through new token holders on the Cardano blockchain. The technical backend portal has been designed and is under evaluation on testnet, and the team is also actively working to integrate more wallets. The portal is expected to be ready for community launch in Q3, and further details on the program will be coming shortly. We look forward to community feedback and discussion as we work with the community to design an optimal system.


Results of Deep Funding -- Round 1

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This marks a new phase in the SingularityNET ecosystem, where we will foster the growth of the platform by supporting projects with AGIX tokens, knowledge and experience. We are very happy to present the projects that have been selected by our engaged community to be awarded with their requested amounts. While the portal was open, a total of 47 proposals were submitted for the $1million worth of AGIX token treasury funds, which made this round a fair success! After reviewing the proposals on their formal compliance to the Deep Funding rules, only 28 made it to the voting round. All of these 28 had more than the required 1% of cast votes, but only a minority of 12 proposals received an average grade of 6,5 or higher.


SingularityNET Latest Ecosystem Updates: March 2022

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This month has been packed with excitement and progress for the SingularityNET organization and ecosystem. We're happy to share some brief highlights from around our ecosystem. Don't miss it -- the DynaSets open beta is about to start; see this blogpost for all information. SingularityDAO also released their 2022 Roadmap. You can read all five parts of it on their Medium blog page. They shared their plans to launch a wide variety of new DynaSets -- some entirely AI-driven, while others implement advanced shorting & leveraged features and even one community-chosen set.