As the world continues to focus on developing AI technology, the market capitalization of the AI cryptocurrency sector has more than doubled in less than a month to $25.1 billion, according to CryptoSlate data.
Overall, the market is up about 150% from $9.64 billion on February 16.
The sector has also seen short-term growth, with gains of 5.42% in the last 24 hours and 23.88% in 7 days.
The six largest AI-related tokens by market capitalization are Internet Computer (ICP), Bittensor (TAO), The Graph (GRT), Fetch (FET), SingularityNet (AGIX), and WorldCoin (WLD).
Internet Computer (ICP)
Internet Computer has announced several AI-related initiatives in recent months focused on creating decentralized AI by running large-scale language models (LLMs) as on-chain smart contracts.
ICP rose 13.2% last week, reaching a market capitalization of $6.9 billion.
Bit Tensor (TAO)
Bittensor aims to create a decentralized machine learning network and has been one of the best-performing projects over the past few months. Despite being in the early stages of development, the project was approved by Ethereum founder Vitalik Buterin in February.
Bittensor’s native token TAO has risen 19.91% over the past week and has a market capitalization of $4.7 billion.
Graph (GRT)
The Graph (GRT) is a project that indexes blockchain data for use in a variety of applications. The project isn’t just about AI, but the developers outlined the project’s intended use for AI in March 2023, including automating decision-making and minimizing barriers to entry to data access.
GRT is up 20.42% over the past week and has a market capitalization of $3.3 billion.
Fetch.AI(FET)
Fetch.AI is a blockchain project that provides various AI apps and services, including AI agents. Fetch recently announced a $100 million infrastructure investment, which will see new graphics processing units (GPUs) deployed for the project. We also plan to provide rewards to FET token holders.
FET is up 78.96% over the past week and has a market capitalization of $2.2 billion.
SingularityNet (AGIX)
SingularityNET is a blockchain-based decentralized marketplace for AI services. The project hasn’t made much progress recently, but founder Ben Goertzel made headlines at the Beneficial AGI Summit in Panama in late February. This may have helped with the project’s recent growth.
AGIX is up 63.95% over the past week and has a market capitalization of $1.5 billion.
World Coin (WLD)
Worldcoin is a biometric ID project that offers cryptocurrency rewards to users. Spain temporarily banned WorldCoin data collection on March 6, which could result in a 24-hour loss of WLD tokens.
Additionally, Elon Musk sued Sam Altman’s OpenAI, which was developed simultaneously with the WLD price drop, on March 1. These losses occurred despite there being no formal relationship between OpenAI and Worldcoin beyond Altman’s leadership role at both companies.
WLD is down 6.19% over the past week and has a market capitalization of $1.1 billion.
Broad AI trends
The above market growth comes alongside various industry-wide developments in the AI industry, all of which may have created broader hype and indirectly benefited AI token prices.
Anthropic AI launched Claude AI version 3 on March 4, generating a lot of buzz for its advanced recognition. Meanwhile, OpenAI recently launched Sora, a text-to-video service, and continues to gain traction with new video samples released in the coming days.
AI spending continues to increase globally, with the U.S. government recently announcing an allocation of $30 million for AI chip manufacturing, and India allocating $1.2 billion to invest in AI development.
AI tokens have benefited from the overall growth in the cryptocurrency market, with Bitcoin (BTC) returning to price levels last seen during the 2021 bull market. The flagship cryptocurrency briefly hit an all-time high just weeks before the March 5 halving, marking the first time this has happened in history.