Artificial Intelligence (AI) is predicted to be one of the hot trends in 2023. The combination of AI and blockchain is creating a new breeze in the crypto space. A lot of AI coins have seen impressive growth in recent times. SingularityNET’s AGIX is among them, which saw triple-digit growth.
1. SingularityNET Overview
What is SingularityNET?
SingularityNET is a decentralized AI marketplace that runs on Ethereum and Carnado. Like other NFT marketplaces which allow artists to sell their NFT artworks, SingularityNET allows developers to publish, sell, and buy their AI algorithms on a decentralized marketplace. It works as a bridge connecting sellers, buyers, and AI products.
AI agents are nodes on SingularityNET. Anyone can start running a node on SingularityNET. AI agents are rated on a scale from 0-5, depending on their performance analyzed based on their consumer ratings, financial transaction trails, and escrow patterns. Every agent with rating above 2 can participate in on-chain governance. These AI agents will execute smart contracts and interact with other agents to exchange data and deliver results. By customizing AI tools towards end users, it is possible for them to contract with individual AI agents. Businesses can easily approach AI algorithms at low cost.
Investors and Backers
According to data from Crunchbase, SingularityNET has gone through 6 funding rounds with a total amount of up to $66 million. The most recent round was on May 15, 2022 worth $25 million led by LDA Capital.
Components of SingularityNET
- Registry: is a smart contract that forces AI developers to describe the nature of the AI services they provide to participants.
- Multi-Party Escrow: is another smart contract that governs transactions on this AI marketplace.
- Daemon: is an off-chain proxy that checks if the escrow conditions are met and validates requests.
How SingularityNET works
SingularityNET basically aims to build a functional and scalable system that is less dependent on the Ethereum blockchain. To do that, SingularityNET has created special tools to offer the ability to integrate AI services quickly and simply such as daemon and SDK.
Daemon
Daemon is a flexible tool that will aid the scalability of the platform. In software architecture lingo, Daemon is a sidecar proxy, which helps to interact with smart contracts, Ethereum payments as well as other blockchain tasks, allowing developers to focus on AI-related tasks. Its main services are payments and requét translation. For payments, Daemon interacts with the Multi-Party Escrow smart contract to validate the signatures of users and ensure that sufficient funds are in place to successfully transact. After payment requests are processed, Daemon translates them into an AI-readable format.
Registry and Multi-Party Escrow
SingularityNET uses Ethereum to host two smart contracts:
Registry: is an ERC-165 compliant decentralized database. Here, AI service providers register and provide necessary details of their products such as price and endpoint locations for users to connect their services.
Multi-Party Escrow: a smart-contract-powered payment system that keeps payments from both end users and developers in escrow. It also facilitates faster and cheaper transactions for AI services through atomic unidirectional channels.
SingularityNET has also begun moving on to phase 2, which includes the transition from Ethereum to Cardnp and the building of Layer-2 networks. Its Layer-2 networks will allow tools to work using lower gas fees to be built on Ethereum.
Main products
As a blockchain-based AI platform, SingularityNET provides the following AI services:
AI Marketplace: a decentralized marketplace that supports trading AI services. It provides an interface for users to interact with these services. You will need a MetaMask or PayPal wallet to make payments.
AI Publisher: a portal where developers can easily publish and manage their AI services. All you need to do is fill out simple forms and provide basic information about services you intend to offer. Publishers on the portal can access advanced AI apps, beta testing tools, and AI usage analytics.
AGIX staking: where AGIX token holders can lock their tokens to get rewards. By staking AGIX, holders help secure the operations of the platform’s AI marketplace.
SingularityNET bridge: allows users to transfer tokens from one chain to another. Currently, this bridge only allows transferring tokens from Ethereum to Cardano and vice versa.
In addition, SingularityNET has a portal dedicated to developers that allows anyone to create, share, and monetize AI services at scale.
Roadmap
Most of the time of Q1 2023, the platform will launch many more AI services on the SingularityNET ecosystem. Several important features on Cardano are slated to take place in Q3 2023.
2. AGIX Token
Tokenomics
AGIX is the native utility token for SingularityNET. It was created after a hard fork of the AGI token, allowing it to become cross-chain compatible with Cardano. It is tailored to support the core functionality of SingularityNET, including:
- Transactional: allows AI agents to interact with each other and external protocols
- Settlements: facilitates payments of AI services on the AI Marketplace
- Incentives: used to reward AGIX token holders for securing the platform through staking
- Governance: AGIX holders can participate in the platform’s voting activities.
AGIX has a maximum supply of 2 billion tokens. At the time of writing, its circulating supply is 1.199 billion.
AGIX price movement
When AGIX started trading in January 2018, its price plummeted for weeks from around $0.80 to $0.04. Then, its price moved sideways throughout 2018 – 2020. AGIX price gradually rallied from $0.07 in January 2021 and reached an ATH of $0.52 on April 14, 2021.
Soon after, AGIX corrected in the following weeks. However, its price started to increase towards the end of May 2021 as the hard fork drew near. The price spiked on June 8, 2021 from $0.308 to $0.804 on June 9. After that, the price of AGIX corrected sharply in the following months but increased slightly between August and September 2021. Since then, AGIX has been steadily declining for most of 2022.
At the beginning of 2023, AGIX was among AI coins that rallied sharply. At the time of writing, the price of the AGIX/BUSD pair is $0.569, recording a gain of more than 29% over the past 24 hours.
AGIX price prediction
SingularityNET has been getting more attention lately, partly due to the explosion of AI technology and ChatGPT. Some AGIX price predictions made by DigitalCoinPrice suggest that it will reach $0.94 in 2026 and exceed $2 in 2030. PricePrediction even forecasts its maximum price of $1.08 in 2026 and could reach $5.13 in 2030.
AI is a potential field, and combining it with blockchain, it can open up many new opportunities. The network’s shift to Phase Two of the project opens up further real decentralization of its AI services, starting from its shift from Ethereum to Cardano and the development of its Layer 2 networks. The launch of its AGIX token has helped to further facilitate cross-chain interoperability between the two platforms through SingularityNET bridge.
SingularityNET has also partnered with big names in the industry including Cardano, Hanson Robotics, Ocean, and Cisco to build a powerful AI network. SingularityNET is clearly doing its best to be one of the best companies in AI crypto and bring AI close to real life. So, SingularityNET has the potential to grow in value over the long term as AI technology gradually comes to life. However, you still need to do your own research before investing in any token because the crypto market is very volatile.