CryptoGPT is an AI-based blockchain that was founded in July of 2022 and currently in the process of developing infrastructure that allows users to own and monetize their data. To support this functionality, the firm is developing its ZK(Zero-Knowledge) rollup layer 2 blockchain with a data-to-AI engine that collects, encrypts and transfers data for commercial applications. Once the firm completes the development of its protocol, users can use apps within its ecosystem including trading, music, travel, lifestyle and music apps among others to add economic value to their AI data. With the aid of the proposed infrastructure, data is collected, packaged and then sold in the global data market place – a trillion dollar market that utilizes data to build AI models in industries across the board.
CryptoGPT has announced its success in raising $10 million in a Series A funding round from DWF Labs – an investment lab and market maker based in Singapore. The funding round was completed with a $250 million token valuation. DWF Labs has been among the most active investors in the current crypto bear market, having made numerous investments in several crypto startups in different funding rounds within a very short period of Time. CryptoGPT on the other hand, is looking to leverage the recent breakthrough in AI(Artificial Intelligence) to offer new revenue streams on the global data market.
The firm has in recent days, launched a web3 focused AI assistant, Alex, that is powered by OpenAI models. CryptoGPT is taking a different approach on ZK Technology that is, instead of applying it on payments, the firm is integrating it for private data transfers. The firm therefore, intends to utilize the proceeds from the funding to grow its developer team globally and build a regional presence in Asia-Pacific markets.
To achieve monetization of private data, CryptoGPT plans to roll out NFTs that store the users’ activity data and allow them to own it. This data will be derived from the users’ activities including fitness, dating, education and gaming among others. In recent days, the crypto ecosystem has seen a recent spike in interest towards AI-based cryptocurrencies owing to the recent mainstream success from OpenAI’s ChatGPT bot. However, some actors in the crypto community have shown their skepticism towards AI-based tokens. The skeptical actors claim that such assets have no long-term viability because the recent spike in their prices is due to the price pump by opportunistic traders that is bound to be short-lived. They also stated that once the hype backs down, their prices and interest will follow suit.
CryptoGPT has its own native token, GPT, that currently has a market cap of just over $12 million. However, this sector has other competitors that are set to give CryptoGPT a run for its money. Eminent among them are Fetch.ai and SingularityNET with their native tokens, FET and AGIX respectively. The GPT token is live on several crypto and digital derivatives exchanges including Bitget, Huobi, UniSwap and Gate.io among several others.
The global data marketplace is very lucrative seeing as the AI Revolution is purely fueled by data. To give context, eminent actors in the global market place run data businesses worth trillions of dollars. Examples include the Google’s $1.3 Trillion, Meta’s $500 Billion and Amazon’s $1 Trillion data businesses, just to name a few. CryptoGPT is therefore advocating for users to Live, Build AI Data and Earn, a philosophical sentiment that leaves internet users puzzled seeing as their data is being sold in the global market by big corporates without any benefits on their end. Whether this technology is disruptive to the data market is a tale that will be told by time and future circumstances.
