Nvidia (NASDAQ: NVDA) has emerged as the stock that cryptocurrency investors should keep an eye on for information regarding the trajectory of artificial intelligence (AI) tokens in the future. AI cryptocurrency tokens are in line with the performance of Nvidia’s shares.
Thus, as a result of Nvidia’s stock rising following a stellar earnings report in February, AI cryptocurrency tokens are also rising. There has been a surge in enthusiasm for the AI sector, as evidenced by certain stocks rising by 300% in the last month. Can one truly purchase any of these AI cryptocurrency tokens?
Fetch.ai: What is it?
Although artificial intelligence is still in its very early stages, Fetch.ai (CRYPTO: FET), an AI cryptocurrency token that has increased in value by about 400% in the last 30 days and by nearly 300% year to date, is the one that has my attention at the moment. With a $2.2 billion market capitalization as of March 7, Fetch.ai was ranked 51st out of all cryptocurrencies in terms of total market capitalization.
The token’s objective is to provide an open network for AI agents to develop, implement, and commercialize AI. While that sounds fancy, it simply indicates that Fetch.ai intends to provide a marketplace for artificial intelligence services that are paid for.
Theoretically, you could go to the Fetch.ai marketplace and choose the appropriate AI bot to complete any activity you need to complete. After that, you would pay for the service with the Fetch cryptocurrency token.
ChatGPT vs. Fetch.ai
The intriguing thing about Fetch.ai is that it sounds a lot like the idea behind the recently launched ChatGPT Store, where you can now hire personalized AI bots to complete certain chores for you. You can see why some investors are enthused about ChatGPT’s long-term potential, even though I’m not persuaded the cryptocurrency should be worth $2.2 billion given that a lot more people are aware of it than Fetch.ai.
The fascinating part will come if Fetch.ai can convince large organizations (i.e., enterprises) to adopt the idea of these AI bots. Deutsche Telekom is one new partner that is investigating the possible applications of AI bots.
This connects back to the original purpose of purchasing Nvidia and has the potential to become a wonderful example of AI bots offering utility on a large scale. Ultimately, it will be large corporations like Deutsche Telekom that purchase Nvidia’s semiconductors and utilize its data centers.
Warnings to investors
If you want to profit from the long-term convergence of AI and crypto, you must unquestionably be conducting your due research in this field. If not, you can find yourself in a similar predicament to what happened with metaverse cryptocurrency tokens in 2021–2022.
Once investors realized there was a massive market opportunity in the metaverse, a few significant metaverse cryptocurrency tokens finally achieved a market capitalization of $1 billion. However, no one purchases metaverse cryptocurrency tokens these days.
This is a result of metaverse cryptocurrency tokens’ failure to reach a wider audience than adolescent gamers and early adopters of technology. Large companies opened shops in the metaverse in an attempt to expand their clientele and revenue streams, but things never really went according to plan.
And that’s one Fetch. ai-related worry I have. Though it sounds fantastic, will the general public ever find a use for paid AI bots? More real-world examples of Fetch.ai bots being utilized in daily life would be fantastic.
Or should you simply purchase Nvidia?
Fetch.ai would be my choice if I had to choose just one AI cryptocurrency token at this time. In theory, you can potentially access almost infinite potential for slightly over $2 per token if the enterprise market’s use case for autonomous AI agents materializes as anticipated.
That being said, risk-averse investors could be better off concentrating on well-known brands in the AI space, like Nvidia, as opposed to attempting to place speculative bets on unknown AI crypto tokens. Since picking winners in a developing tech sector is never easy, I’m staying with Nvidia as the best investment for the future for the time being. The company has increased by more than 80% this year.
