Grayscale Investments, crypto’s equivalent of a Wall Street suit with a pierced ear, has just dropped its latest creation: the Grayscale Decentralized AI Fund. 

Related: OpenAI Updates: Flirting ChatGPT & Unexpectable Partnerships

Is it just me, or did they take the two hottest trends right now—AI and blockchain—and smash them up into a shiny new thing?

Anyway, let’s go into more details about the fund:

  • The fund tracks projects in the decentralized AI space
  • It includes a basket of five AI-related tokens
  • As of July 16, 2024, Near (NEAR) leads the pack at 32.99%
  • The fund is only available to accredited investors (sorry, average Joes)
  • It aims to capture the growth at the intersection of blockchain and AI

Grayscale's new fund's portfolio currently only has the names of the who's who in the decentralized AI industry.

It's like the Avengers of AI tokens, but with more acronyms and fewer explosions.

hodl-post-image
Source: AllEars

We've got Near (NEAR) leading the charge at 32.99%, followed closely by Filecoin (FIL) at 30.59%. 

Render (RNDR) takes the bronze at 24.86%, while Livepeer (LPT) and Bittensor (TAO) round out the lineup at 8.64% and 2.92% respectively.

But here's where it gets interesting. This fund isn't just throwing darts at a board labeled "AI" and "blockchain." It's focusing on three key areas:

  1. Protocols building decentralized AI services (because who doesn't want their AI with a side of decentralization?)
  2. Protocols addressing centralized AI-related problems (taking on the big guns, are we?)
  3. Infrastructure critical to AI technology development (because even digital brains need a place to live)

But let's be real for a second. Haven't we seen this movie before? Remember when everything was "blockchain this" and "crypto that"? Now it's all AI, all the time.

But to be fair, AI narrative in crypto has been the hottest narrative this cycle, leaping 22.4% over the past seven days according to DefiLlama. 

hodl-post-image
Source: DefiLlama

That's outpacing Bitcoin and Ethereum by more than 10%, and even leaving Solana in the dust by 6%.

And it's not just in crypto. Nvidia, the chip giant that's basically the arms dealer in the AI arms race, saw its shares hit an all-time high on June 14th. Meanwhile, AI-related startups, capturing a cool $33 billion in the first half of 2024 alone.

But before you mortgage your house to go all-in on AI tokens, this fund is not for the average crypto folks like you and I. For now, this fund is only available to accredited investors. So unless you're swimming in cash like Elon or Andrew Tate, you might have to watch this from the sidelines. 

But hey, who knows? Maybe that new coin on TON would be 1000x and turn in enough cash to throw into the fund.

More Info: 

So, is Grayscale's new AI fund the golden ticket for big investors to cash in on the crypto industry? Well, only time will tell. Let’s give it a few months and see what comes out of it. For those lucky enough to meet the "accredited" bar, it might be a good play, especially since AI is still a top narrative.

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