Grayscale, the crypto asset manager, is launching a new fund focused on decentralized artificial intelligence.
The Grayscale Decentralized AI Fund LLC aims to strengthen AI investment initiatives within the crypto industry. The fund will be rebalanced quarterly and will focus on three key areas: AI services, solving centralized AI problems, and developing AI-related infrastructure.
Composition and Priorities of Grayscale’s AI Fund
Among the decentralized AI projects included in the fund’s portfolio at launch are Bittensor (TAO), Filecoin (FIL), Livepeer (LPT), Near (NEAR), and Render (RNDR).
Near, Filecoin, and Render are the most weighted assets in the fund, representing nearly 90% of its composition.
The fund will focus on funding projects in three key areas:
- Decentralized AI services such as chatbots and generative images.
- Solving issues associated with centralized AI, such as deepfakes, misinformation, and bot authentication.
- Developing AI-related infrastructure, including GPU computing, data storage, decentralized marketplaces, and other services.
Grayscale’s Statements
Rayhaneh Sharif-Askary, Head of Product and Research at Grayscale, said:
The rise of disruptive technologies has created compelling opportunities for Grayscale investors since our inception in 2013, and we believe that the launch of the Grayscale Decentralized AI Fund provides an opportunity to invest in decentralized AI at its early stages.
Blockchain-based AI protocols embody the principles of decentralization, accessibility, and transparency, and the Grayscale team is confident that these protocols can help mitigate emerging fundamental risks with the proliferation of AI technology.
Context and Recent Performances
In May of this year, Grayscale launched a trust focused on Near to provide investors with diversified exposure to cryptocurrencies.
The Grayscale Bitcoin Trust, a trust converted into a Bitcoin Spot ETF, is the second-largest BTC Spot ETF behind BlackRock’s IBIT. GBTC still held $17.68 billion in assets under management as of July 16.
