Originally published on: October 15, 2024
AI and the emerging “NodeFi” market are poised to take the decentralized finance sector by storm, a recent report by Nansen and MetaStreet suggests. The report, released on Oct. 14, argues that cryptocurrency markets are shifting focus from ERC-20 tokens and DeFi to new, innovative technologies.
The report highlights the potential of blockchain-based verticals like distributed computing and GPU-as-a-service programs, projecting significant growth as the generative AI industry evolves. Specifically, decentralized physical infrastructure network (DePIN) projects, ranging from energy distribution to data storage, show the most promise for growth.
According to Fortune Business Insights, the market for GPUs-as-a-service is valued at $3.2 billion in 2023, indicating strong demand for training artificial intelligence models in the coming years.
While the generative AI sector attracts massive investments, the report emphasizes the long-term potential of AI and blockchain convergence. It suggests that the NodeFi vertical, an incentivization market for node operators, could also see growth, although its success will depend on individual project viability.
As we witness the rapid evolution of AI technologies and the blockchain landscape, opportunities for innovation and investment are abundant. Stay informed with our weekly Finance Redefined newsletter, delivering the latest DeFi developments, insightful analysis, and financial opportunities to help you navigate the dynamic world of decentralized finance with confidence. Subscribe today to stay ahead of the curve.
