Grayscale Investments is rolling out a new fund. It's called the Grayscale Decentralized AI Fund and it aims to give accredited investors exposure to blockchain-AI protocols.
For now, only eligible accredited investors can access the fund. Grayscale announced this in a press release.
The fund focuses on decentralized AI crypto protocols. As of July 16, it includes five assets. Near (NEAR) makes up 32.99%. Filecoin (FIL) accounts for 30.59%. Render (RNDR) takes 24.86%. Livepeer (LPT) has 8.64%. Bittensor (TAO) rounds it out with 2.92%.
The fund will rebalance quarterly. This is to keep up with the fast-moving crypto market.
Grayscale is targeting three main categories with this fund. These include protocols building decentralized AI services. Also, those addressing centralized AI problems. Lastly, infrastructure crucial for AI tech development.
Rayhaneh Sharif-Askary, Grayscale's Head of Product & Research, chimed in. "The blockchain-based AI protocols embody the principles of decentralization, accessibility, and transparency," she said. "The Grayscale team feels strongly that these protocols can help mitigate the fundamental risks emerging alongside the proliferation of AI technology."
This launch comes as interest in decentralized AI alternatives grows. Last month, Nvidia's better-than-expected earnings gave decentralized AI projects a boost.
Venture capital is still flowing into these projects, albeit slower than last year's AI boom. Earlier this month, Sentient raised $85 million. Peter Thiel's Founders Fund led the round. Polygon co-founder Sandeep Nailwal is a core contributor to Sentient.
Nailwal had some thoughts on AI's future. "The rapid advancement of AI has the potential to transform every aspect of our lives," he said. "But the concentration of power in the hands of a few centralized entities poses significant risks."
He added, "By building an open platform for AGI development, we aim to ensure that the benefits of AI are distributed equitably and that its development aligns with the interests of humanity as a whole."