Grayscale's AI Fund Now Open to More Investors

Grayscale's decentralized AI fund is no longer restricted to private placement. This fund, which includes top altcoins like Near Protocol (NEAR), Bittensor (TAO), Render (RNDR), and Filecoin (FIL), is now accessible to a broader range of investors. This move allows greater participation in the fusion of artificial intelligence and blockchain technology.

Previously, the Grayscale Decentralized AI Fund LLC was only available through private placement. Accredited investors can access a diversified basket of tokens from leading decentralized AI and blockchain projects.

Investors can gain exposure to top AI-powered protocols through securities. This approach avoids the complexities of directly purchasing, storing, and securing digital currencies. Instead, investors hold shares representing the value of the fund's underlying assets.

"Shares are intended to reflect the values of the Fund Components as determined by reference to their respective Digital Asset reference Rates and Weightings, less fees and expenses.

The fund's website states, "The Fund Components consist of the digital assets selected using the Fund Methodology as implemented by the manager, and the fund is rebalanced occasionally. "

Quarterly Rebalancing Focused on AI

The fund manager rebalances the fund quarterly, focusing on three key areas: decentralized AI services, solutions to AI-related challenges, and AI infrastructure.

These focus areas align with the fund's investment objectives, and holdings are distributed across five assets. Tokens are selected based on their functions and purposes in AI technology development and deployment.

As of September 27, the Grayscale Decentralized AI Fund LLC's net asset value (NAV) per share was $9.50, reflecting a 1.5% increase in one day.

The fund manages $1,462,249 in assets (AUM) and has 153,900 shares outstanding. BeInCrypto reported the fund's launch in mid-July, and its performance has fluctuated.

Over the last month, the NAV has dropped by 15.6%, and since its July 2, 2024 debut, it has fallen by 26.8%, reflecting broader market volatility.

High-Potential Tokens for 2024

Grayscale's investment manager has a vested interest in this space. Its recent research insight identified AI crypto coins as high-potential tokens for 2024.

Notable mentions include NEAR, RNDR, and Akash, highlighting their potential across various digital asset sectors.

"Blockchain technology can help increase developer access to AI, lowering the barrier for independent developers to build and monetize their work," said Grayscale's Research Associate Will Ogden Moore.

"We believe this could help improve overall AI innovation and competition and provide balance with the models developed by tech giants. Decentralized AI crypto assets are available to everyone, allowing all to own a part of an AI future."

Previous Trust Launches

Prior to the AI fund, the asset manager launched NEAR and Stacks (STX)- focused trusts. These trusts provided investors with diversified exposure to specific cryptocurrencies. This strategic move expanded Grayscale's offerings and aligned with the growing interest in AI and blockchain.

The launch of Grayscale's decentralized AI fund marks a significant step in the intersection of AI and blockchain. Grayscale fosters greater participation and innovation in this emerging field by opening up access to a broader range of investors.