Artificial Intelligence Cryptocurrency Division has grown 4 times in 2 years, with a market value of nearly $20B

Over the past year, AI-powered projects have become the center stage in the cryptocurrency space. Currently, the industry includes 20 tokens with a collective market capitalization of nearly $20 billion, making it the smallest cryptocurrency segment, accounting for only 0.67% of the overall market.

To introduce this, the market value of the financial sector is approximately $519 billion.

Grayscale attributes the modest scale of the AI ​​sector to the early stages of project development, but has huge growth potential in absolute terms and in the broader crypto ecosystem.

Artificial intelligence departments are catching up quickly

As early as 2023, the total market value of tokens in the AI ​​cryptocurrency field was only US$4.5 billion. Since then, its value has more than quadrupled in a two-year period. Year to date, Tao has been the best performance among these assets, with a smaller growth rate of 2%, while Elizaos is the weakest, with a drop of 80%.

According to the latest report by Will Ogden Moore, research analyst at Grayscale Research, Grayscale Investments, Stablecoins will soon play a key role in the crypto ecosystem, especially as a tool to power AI agents, thanks to its programmable and efficient payment capabilities.

Institutional players like Stripe, Meta and major banks are entering the space in amid improving regulatory outlook. Coinbase also launched stable payment standards suitable for AI. Upcoming regulatory developments, such as the Cryptocurrency Market Structure Act and the Genius Stablecoin Act, could further accelerate adoption.

Key trends in decentralizing AI

With the rapid development of decentralized AI technology, Grayscale turns its attention to other key developments, such as Bittensor’s upcoming halving and expansion of its subnet activities. Tao is the platform’s local token and the largest AI token with a circular market cap modeled on Bitcoin, with a hard cap of 21 million, halved every four years, the first time later this year.

Since the DTAO upgrade was launched in February, the subnet has been in service, and therefore participation has surged. The report shows that more than 7% of the circulating channels are now allocated to subnets.

Grayscale also identified distributed training as a particularly promising area in the AI ​​cryptocurrency sector. Priority intelligence shows that it can train large models and use over 30 billion parameters of idle GPU networks around the world, while deviating from dependence on centralized infrastructure. If widely adopted, the model can reduce AI training costs and increase accessibility.

Meanwhile, projects like Prime, Gensyn and Nous Research may introduce tokens later this year. Grass has also become an outstanding figure in the AI ​​cryptocurrency field, reportedly generating tens of millions of annual growth revenue from selling network data to AI labs.

This positioned it as a rare example of a non-financial, revenue production project. The network has steadily increased its data output this year, and the release of consumer products may be in scope. Additionally, Virtuals sees a strong attraction as it charges $30 million annually from transaction fees on AI proxy tokens.