AI-Focused Altcoins Take Lead as AI Chip Maker Nvidia Posts Record Earnings

  • Crypto tokens and projects related to the recent AI hype are gaining traction based on recent developments.
  • While AI does not necessarily require crypto integration, some applications may benefit.
  • However, any investment here is highly speculative and requires a lot of due diligence and research.

Bitcoin and other major digital assets have been in sideways motion for much of the past week—with the exception of some altcoins playing catch-up.

However, it is interesting to note that there are still well over a dozen altcoins which have bucked the trend and have gained well in excess of 40% up to almost 140% week-on-week. And quite a few of these are related to artificial intelligence (AI) which comes on the back of the release of Sora, a video-making tool leveraging AI and Nvidia, the Chip manufacturer posting much better-than-expected quarterly results.

Nvidia’s record earnings are bullish for AI, and crypto has certainly some promising projects related to that field, although there is a lot of hype and some analysts think the crypto AI narrative won’t last.

Top AI & Big Data Tokens, source: CoinMarketCap

Nevertheless, as you can see from the graph above, there are several AI-related cryptos that have shot up in the past week—notably the gap between market cap and trading volume of AI vs the general crypto market suggests there is still a lot of potential.

Top AI & Big Data market ca and trading volume, source: CoinMarketCap

Disclaimer: Investors should exercise caution and conduct thorough research before investing in any cryptocurrency, especially AI-focused altcoins, due to their highly speculative nature, the potential for significant volatility and the loss of capital.

Delysium (AGI) Sees Largest Gains

Delysium AGI has gained 141% week-on-week, but as per CMC is a relatively small project, ranking at spot 375, with USD $111m (AUD $168m) in market cap.

Delysium AGI, weekly graph, source: CoinMarketCap

Delysium describes itself as an “AI-Agent Network and supporting ecosystem with a focus on ensuring security, scalability, and high-speed communication.”

You can read up on them in their whitepaper, remember to do your own research, small projects with low market cap are subject to volatility swings and rug-pulls.

Openfabric AI (OFN)

Openfabric AI has seen similar gains, 130% in the past week, but even more so in the past 24 hours when it soared by 37%. With a market cap of just USD $35m (AUD $53m) this project could be promising potentially bigger gains, but also brings higher risks.

Openfabric AI OFN, weekly graph, source: CoinMarketCap

OFN is a layer-1 and says about itself it is “building and connecting AI applications where we have harnessed the power of blockchain, advanced cryptography, and novel infrastructure to create a new foundation for AI-Apps.” Be sure to read the whitepaper before even considering this one.

Artificial Liquid Intelligence (ALI)

Artificial Liquid Intelligence has gained 130% in the past week, but also lost around 3% in the past 24 hours. It has a market cap of approx. USD $190m (AUD $289m) and is therefore one of the larger projects among these recent gainers.

Artificial Liquid Intelligence (ALI), weekly graph, source: CoinMarketCap

ALI appears to be a decentralised protocol around intelligent NFTs, so-called iNFTs, looking to integrate generative AI capabilities into NFTs.

Their whitepaper contains a disclaimer that they discourage speculative investment saying “ALI Token purchasers are not invited to take part in a financial venture, but in a social and technological one.”

Remember to do your own research and that your capital is at risk. 

Aaron Feuerstein

Aaron Feuerstein

Aaron Feuerstein is a freelance writer based in Melbourne. His focus is on decentralised finance and the regulatory space surrounding blockchain. He holds a Master's in Accounting. When he is not studying the latest legal case, he enjoys his time as a modest but eager hobby cook.

You may also like