Grayscale Research has announced the creation of a new AI Crypto Sector, marking a major update to digital asset classification as decentralized AI begins to gain traction in the crypto ecosystem. Grayscale Launches New AI Crypto Segment Amid Growing Interest in Decentralized AI The move reflects the rapid rise of blockchain-based AI projects and the growing demand for diversified exposure in this emerging market. The AI Crypto Sector will be the sixth category in Grayscale’s proprietary Crypto Sectors framework, which groups digital assets by their primary use case, much like the GICS system does for public equities. The new sector will include 20 crypto tokens with a total market value of $21 billion, up from just $4.5 billion in the first quarter of 2023. The largest component of the sector by market value is Bittensor (TAO), a decentralized AI development platform. “AI may be the most important technology of the 21st century. However, centralized control over its development has raised critical questions about access, transparency, and trust,” Grayscale wrote in its announcement. While AI has traditionally been dominated by large tech companies, the emergence of blockchain infrastructure now offers a path toward open and decentralized AI development. Projects in this space aim to democratize access to data, computing power, and model ownership by leveraging public blockchains, creating transparent, censorship-resistant, and globally accessible ecosystems. Grayscale's new sector includes three sub-sectors: AI Platforms: Basic blockchain networks designed to build and host AI applications. Examples include Bittensor and Near, the latter of which brands itself as “the blockchain for AI.” AI Tools and Resources: AI model development frameworks such as Grass (data collection) and Akash (decentralized computing marketplace). AI Applications and Agents: Applications that interface directly with users or solve specific AI-related problems. These include Virtuals, ElizaOS, and Story Protocol, which addresses the impact of generative AI on intellectual property. *This is not investment advice. Continue Reading: Financial Giant Grayscale Prepares to Enter the AI-Focused Crypto Sector! Here Are the Details
