The merger of the three major AI projects presents several potential profit

Ritu77

On March 27th, three long-standing projects in the AI sector, Fetch.ai, SingularityNET, and Ocean Protocol, announced that they would create a decentralized artificial intelligence alliance and merge their tokens $FET, $AGIX, and $OCEAN into $ASI.

Prior to this, as three AI projects already listed on the Binance trading platform, $FET, $AGIX, and $OCEAN were important targets for investment in the AI sector. Following this news, SingularityNET ($AGIX) saw a short-term increase of 12.56%, Fetch.ai ($FET) rose by 14.7% in 24 hours, and Ocean Protocol ($OCEAN) experienced a maximum short-term increase of 35%.

Token conversion may present arbitrage opportunities. The community is particularly concerned about how investors' original tokens will be converted. According to reports, Fetch.ai's token $FET will be converted to $ASI at a 1:1 ratio, while SingularityNET's $AGIX and Ocean Protocol's $OCEAN will be converted to $ASI at approximately a 1:0.433 ratio.

$FET, as the base token of the alliance, will be renamed $ASI and an additional 1.48 billion tokens will be minted. Out of these, 867 million $ASI tokens will be allocated to $AGIX holders, and 611 million $ASI tokens will be allocated to $OCEAN token holders. The total supply of $ASI tokens will be 2.63 billion, with an estimated fully diluted valuation of $7.6 billion as of March 26th.

As the conversion ratio remains unchanged, there may be price discrepancies in the resulting $ASI token due to variations in the prices of the three tokens. Therefore, the community has noticed potential arbitrage opportunities. By multiplying the price of $FET by 0.433, if the prices of $AGIX and $OCEAN are lower than the resulting number, one may buy, and if higher, one may sell.

Currently, the three projects are collaborating with centralized exchanges, so users holding these three tokens on centralized exchanges do not need to take any action.

After the merger, the three projects will establish a team called the Superintelligence Collective, with SingularityNET founder Ben Goertzel serving as CEO. Fetch.ai, Ocean Protocol Foundation, and SingularityNET Foundation will continue to operate as independent entities but will closely collaborate within the shared $ASI token ecosystem and the operations of the Superintelligence Collective.

As of writing, Fetch.AI has a market capitalization of $3.246 billion, ranking third in the AI sector, only behind Render Network ($RNDR) and Bittensor ($TAO). SingularityNET has a market capitalization of $1.628 billion, and Ocean Protocol has a market capitalization of $804 million. If the merger is successful, the future market capitalization of $ASI will exceed $7 billion, propelling it into the top 25 projects in the cryptocurrency field by market capitalization and making it the highest-valued project in the AI sector.

Prior to this, Fetch.ai had already gained considerable experience in AI agents. On February 20th, Deutsche Telekom announced a partnership with the Fetch.ai Foundation, becoming Fetch.ai's first corporate ally, and Deutsche Telekom subsidiary MMS also became a Fetch.ai validator. Fetch also announced the launch of a $100 million infrastructure investment project called "Fetch Compute" earlier this month, deploying Nvidia H200, H100, and A100 GPUs to create a platform for developers and users to utilize computational power.

Ocean Protocol has built numerous modular services in decentralized data sharing, access control, and payments. Its Predictor product has generated sales exceeding $800 million within six months of its launch.

SingularityNET was the most explorative in the direction of AGI among these three projects before the merger. Its AGI team, in collaboration with partners TrueAGI and the OpenCog community, has been focused on developing the AGI framework OpenCog Hyperon since 2020. SingularityNET will also launch a decentralized artificial intelligence platform this year to create a suitable environment for running AGI systems.

It's worth noting that in the cryptocurrency space, mergers of strong projects are not unprecedented. In 2020, during DeFi Summer, Yearn.finance founder Andre Cronje (AC) initiated a series of acquisitions and mergers, but ultimately his DeFi empire failed to materialize as desired.

As one of the important sectors of the cryptocurrency market in 2024, the AI track has recently seen numerous new projects emerge. The three strong projects that have been deeply involved in the Web3xAI field for a long time have chosen to merge and embark on the narrative of "decentralized AGI." What story will unfold on the basis of a $7 billion market capitalization remains to be seen with time's testimony.

Sona59

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Samiksha

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