Finance Giant Grayscale is Preparing to Enter the AI-focused Crypto Sector! Here are the Details

Grayscale Research announced the creation of a new Artificial Intelligence Crypto Sector, indicating a significant update in the classification of digital assets with the increasing interest in decentralized artificial intelligence within the crypto ecosystem.

Grayscale Launches New Artificial Intelligence Crypto Sector Amid Growing Interest in Decentralized Artificial Intelligence

This move reflects the rapid rise of blockchain-based artificial intelligence projects and the increasing demand for diversified exposure in this emerging market.

The Artificial Intelligence Crypto Sector will be the sixth category within Grayscale's proprietary Crypto Sectors framework, which groups digital assets according to their primary use cases, just like the GICS system does for publicly traded stocks.

The new sector will include 20 crypto tokens, with a total market value reaching 21 billion dollars in the first quarter of 2023, which was only 4.5 billion dollars. The largest component by market value in the sector is Bittensor, a decentralized artificial intelligence development platform (TAO).

In the Grayscale announcement, it was written, "Artificial intelligence may be the most important technology of the 21st century. However, the central control over its development has raised critical questions regarding access, transparency, and trust."

While AI has traditionally been dominated by large technology companies, the emergence of blockchain infrastructure now offers a path towards open and decentralized AI development.

Projects in this area aim to democratize access to data, computing power, and model ownership by leveraging public blockchains to create transparent, censorship-resistant, and globally accessible ecosystems.

Grayscale's new sector includes three sub-sectors:

• Artificial Intelligence Platforms: Core blockchain networks designed to create and host artificial intelligence applications. Examples include Bittensor and Near, with the latter branding itself as "blockchain for artificial intelligence."
• AI Tools and Resources: Grass (data collection) and Akash(decentralized computing marketplace) such as artificial intelligence model development infrastructures.
• AI Applications and Intermediaries: Applications that interface directly with users or solve specific issues related to AI. These include Virtuals, ElizaOS, and Story Protocol, which addresses the impact of generative artificial intelligence on intellectual property.