Artificial intelligence cryptocurrencies are an emerging sector in the blockchain industry. This has led to the creation of some really interesting projects. With that in mind, this article will cover some of the most interesting AI cryptocurrencies in the industry.
Top 8 AI Cryptocurrencies
So, this section will cover a variety of AI cryptocurrencies. There are obviously more AI cryptocurrencies than just the ones listed, but a lot of those projects are either small or have sort of disappeared over time.
Basically, this list only contains projects in the top 200 for market cap that are still making progress on development.
Market Cap: $69 million
All Time High Price: $2.844
All Time High Market Cap: $547 million
Total Supply: 400,000,000
Circulating Supply: 192,376,657.00
Max Supply: Infinite
Consensus Model: Delegated Proof of Stake (DPoS)
Year Founded: 2018
GNY is a blockchain project that has decentralized machine learning onto the blockchain. This means that token holders have access to tool kits that allow them to utilize this machine learning algorithm for their own projects or businesses.
GNY is mostly a behind the scenes solution for companies that want to use machine learning to improve efficiency. Due to that, you have likely never heard of GNY, but you may have interacted with it without even realizing it!
This is because machine learning is often used in advertising. Furthermore, GNY has a bridge that allows decentralized machine learning on Ethereum and other more popular blockchains.
Is GNY a Good Investment?
They have announced a few partnerships in 2021 as well as launching the GNY mainnet after a few years of development and testing. The price and market cap are also low enough that there is plenty of room for market expansion. Finally, machine learning is a growing industry, which means it’s not one you probably want to bet against.
Market Cap: $100 million
All Time High Price: ~$0.21 on April 1, 2021
All Time High Market Cap: ~$445 million
Total Supply: 2,124,380,663
Circulating Supply: ~2.12 billion
Max Supply: Infinite
Consensus Model: AI Delegated Proof of Stake (AIDPOS)
Year Founded: 2019
Velas falls into the “Ethereum killer” type of cryptocurrency project with a focus on smart contracts, dApps, and other solutions that Ethereum offers.
However, unlike a lot of supposed Ethereum killers, Velas uses artificial intelligence to help with its delegated proof of stake consensus system.
This is actually a really interesting solution to the centralization concerns that often result from proof of stake (PoS) or delegated proof of stake (DPoS) consensus models. Velas can prevent these centralization concerns by ensuring decentralization with automated intelligence.
Is Velas a Good Investment?
Our stance on “Ethereum killers” is that they generally will not succeed outside of a few strong contenders like Polkadot. With that disclaimer out of the way, we find it unlikely that Velas will see much success usurping Ethereum, which is the goal of the project whether the team states it or not. Due to that, we would find a better AI cryptocurrency to invest in than Velas.
Market Cap: ~$26 million
All Time High Price: $2.34 on April 29, 2018
All Time High Market Cap: ~$350 million on April 29, 2018
Total Supply: 299,792,458
Circulating Supply: 181,190,871
Max Supply: 299,792,458
Consensus Model: Proof of Work (PoW)
Year Founded: 2018
Cortex is another artificial intelligence cryptocurrency that operates in a similar vein as Ethereum. However, the main difference is that Cortex allows AI to be utilized directly into smart contracts and dApps.
Most importantly, it is a layer 2 on Ethereum, which is a huge advantage because it is not trying to directly compete with Ethereum.
Unfortunately, Cortex has been suspended from all exchanges, which makes it effectively worthless. The only reason we included it on this list is that the technology behind the project is actually decent – the project simply has not had much success in the execution area.
The evidence in this is that there is some over the counter (OTC) market for CTXC, which is rare for a coin that has been delisted from every exchange.
Is Cortex a Good Investment?
Well, the project itself was doing some interesting things and had the potential to become a fairly successful layer 2 with the right development team. Sadly, that was not the case and the project sort of died.
To summarize, the lack of exchanges trading CTXC makes Cortex a bad investment. It also makes it very difficult to buy it, so that should not be much concern in the first place.
Market Cap: $183 million
All Time High Price: ~$1.25 on January 20, 2018
All Time High Market Cap: $450 million on April 12, 2021
Total Supply: 999,976,196
Circulating Supply: 867,132,938
Max Supply: 1,000,000,000
Consensus Model: Proof of Reputation (PoR)
Year Founded: 2017
SingularityNET is a blockchain built on Ethereum that aims to become a marketplace for various AI services. Like most AI and machine learning blockchains, SingularityNET has technology that might be a few years ahead of the main use case.
That in itself does not make SingularityNET a bad project. In fact, SingularityNET has a development team consisting of a lot of the top researchers and developers in the artificial intelligence industry.
Is SingularityNET a Good Investment?
So, SingularityNET has done a lot of talking over the years. Sadly, they have not really followed up with their promises.
A good example is the “AI” they developed called Sophia, which is a supposed AI robot that has the ability to detect human language. In reality, Sophia is merely a preprogrammed piece of code.
To further this point, a lot of the AI that SingularityNET talks about is nothing really groundbreaking. AGI mostly appears to be a cryptocurrency relying on hype rather than actually delivering anything.
However, if AGI can fully deliver on some of the things they have promised, then the project will be huge. This is why we say that AGI is a prime example of a blockchain project that might be a little bit ahead of its time.
Market Cap: ~$292 million
All Time High Price: $1.81 on April 8, 2021
All Time High Market Cap: $774 million on April 8, 2021
Total Supply: 613,099,141
Circulating Supply: 613,099,141.00
Max Supply: 1,410,000,000
Consensus Model: Proof of Authority (PoA)
Year Founded: 2019
First of all, Ocean Protocol is not exclusively an AI cryptocurrency. It’s more of a blockchain project that sort of uses AI to help fulfill its main goal.
The main goal of Ocean Protocol is to become a marketplace that allows the decentralized exchange of information. And the plan with AI is to use it as an information source for the decentralized marketplace.
The major problem with this, in our opinion, is that it will not work. In fact, it appears that Ocean Protocol is simply throwing around AI as a sort of marketing trick. The other problem is that the blockchain likely does not have the type of information on it that a major corporation could not find from another source.
One final problem is that the buyer protections on the blockchain are minimal compared to purchasing from a centralized source, at least at the present time.
Is Ocean Protocol a Good Investment?
At the current moment, Ocean Protocol does not appear to be a good investment. The project simply does not solve a big enough need at the moment to really make it worthwhile as an investment.
However, the usefulness of a project oftentimes has no bearing on whether or not it has the potential to become a profitable investment. Dogecoin and Safemoon are two examples of garbage coins that earned investors a healthy profit.
We can say that Ocean Protocol is better than Dogecoin and Safemoon, so it would not be the worst investment. But you can probably find a safer investment than Ocean Protocol if you look hard enough.
Market Cap: $211 million
All Time High Price: $101.83 on June 24, 2017
All Time High Market Cap: $445 million on April 17, 2021
Total Supply: 10,971,942
Circulating Supply: 5,528,915.32
Max Supply: 11,000,000
Consensus Model: Proof of Work (PoW)
Year Founded: 2015
Numeraire is another cryptocurrency project that uses some form of AI in it. In the case of Numeraire, it is more of an Ethereum blockchain based hedge fund that uses AI and machine learning to maximize profits.
Basically, data scientists can develop and submit their own market models on Numeraire. Subsequently, Numeraire holds a contest every week to determine the most profitable model over a span of three weeks. The most profitable model will earn the NMR tokens that have been staked to different submissions (submissions require the staking of NMR).
The AI and machine learning aspect of Numeraire comes from data scientists using that to create their economic models.
However, the interesting part about Numeraire is that the company collects all the data to create its own model for its hedge fund. In a way, Numeraire is outsourcing its data modeling to the blockchain. And for added benefit, an AI conducts the trades of the Numeraire hedge fund.
Is Numeraire a Good Investment?
The problem we have with Numeraire is that it is essentially a utility token for a hedge fund. In a sense, it is almost like investing in Wall Street.
In our opinion, this goes against a lot of what Ethereum and decentralized finance as a whole is about. Further complicating matters is that the value of Numeraire token does not seem to have any relation to the value of the Numeraire hedge fund.
We will put it this way – the hedge fund does much better than the utility token for the hedge fund. But you can probably find a better (and more accessible) place for your money than a hedge fund.
Market Cap: $291 million
All Time High Price: $0.82 on March 29, 2021
All Time High Market Cap: $612 million on March 29, 2021
Total Supply: 1,151,441,226
Circulating Supply: 746,113,681.00
Max Supply: 1,152,997,575
Consensus Model: Proof of Stake with unpermissioned Delegation (PoS-uD)
Year Founded: 2019
Fetch is a blockchain project that has recently garnered some attention due to some major announcements and a great PR team. Anyway, they fall into a blockchain project that is attempting to create an AI supercomputer that uses a decentralized, distributed ledger to perform tasks.
The tasks it performs would likely be some type of market trading, a database for the gig economy, smart grids, and pretty much anything that involves analyzing a massive data set in real time (logistics, public transportation, traffic monitoring, etc.)
Is Fetch a Good Investment?
Fetch appears to be one of those long shot cryptocurrency investments. None of the projects it is working on are really unique, which is both a good and bad thing. That is good because projects with a lot of competition usually have a lot of upside if they are successful. And it’s bad because, well, there is a lot of competition to deal with to become successful.
As for Fetch, we hate to say it, but It’s basically a standard blockchain with an interesting Proof of Stake model (unpermissioned delegation). For those curious, Fetch has finally launched their mainnet and is no longer on the Ethereum blockchain.
In our opinion, the viability of PoS-uD as a scaling solution will determine whether or not Fetch is actually successful. That is how important scaling is for projects not named Bitcoin or Ethereum.
To summarize, if you believe in the viability of PoS-uD, then Fetch is probably a good investment. On the other hand, if you believe that Ethereum can fix itself or that PoS-uD is an inferior system, then Fetch probably is not a very good investment.
Market Cap: ~$243 million
All Time High Price: $69.75 on April 29, 2021
All Time High Market Cap: $758 million on May 6, 2021
Total Supply: 19,250,000
Circulating Supply: 16,450,000
Max Supply: Infinite
Consensus Model: Proof of Reputation (PoR) and Proof of Computing Work (PoCW)
Year Founded: 2019
Prometheus is an interesting project that has some relation to AI, which is why we have included it on our list. The rundown on Prometheus is that it allows companies to upload data to any blockchain (Ethereum, Bitcoin, Cardano, etc.).
That’s about it.
Now, it is an ERC-20 token, so that makes it somewhat easy to find and does provide some level of technical safety because of that.
Is Prometheus ($PROM) a Good Investment?
No, PROM is not really a good investment. The price of it has risen quite sharply in 2021, which is a good sign at first glance. However, there is one problem with this sudden price increase.
No one seems to have any idea why the price has increased so much.
To further complicate matters, the project itself does not offer much in the way of unique value.
Overall, this is one project that we would avoid. There are better blockchain projects out there if you want some exposure to AI in cryptocurrency.
Is AI in Blockchain Real or a Marketing Gimmick?
This is a bit of a loaded question. AI and machine learning does have some use on the blockchain.
Sadly, a large amount of blockchain projects that throw around buzzwords like AI and machine learning are simply using words that will appeal to investors. Some companies even program what are essentially a pre-programmed bot that mimics AI.
That said, there are some projects using legitimate AI and machine learning to improve their blockchain. These projects still face some challenges related to AI and machine learning simply because the technology is not quite there at the moment.
The fact that the technology is not there does not make these projects a bad investment. It actually makes these projects pretty decent investments since the technology is so far off the radar of the masses.
How Long Until AI and Machine Learning Blockchains Are Normal?
We do not have a crystal ball to see the future. But we do know that the future of AI and machine learning is growing extremely fast with lots of advancements made every year.
The generally expected timeline for major advancements in AI and machine learning is within the next decade, so we would expect AI and machine learning to become a mainstay on the blockchain sooner because technology tends to move much faster on the blockchain than other sectors.
That covers it for AI being the future of crypto and a brief overview of the eight best AI cryptocurrencies. We know that these projects are not on the level of Ethereum or some other popular altcoins that have big names attached to them (ie. Polkadot), which is actually a good thing because it makes the potential for outsized gains possible.
The only problem is that a lot of projects will fail or the best parts of projects will be absorbed into other cryptocurrencies. That is why the best investment strategy in extremely speculative coins like this is a sort of machine gun approach that involves investing a relatively small amount of money in a lot of different projects.