After JP Morgan Asset Management said it was committed to $500 million on the project, it led to a surge in AI-focused digital assets on Wednesday, leading to the tokens of Numerai, a crypto hedge fund that uses artificial intelligence.
NMR has traded nearly $23, up over 100% in the last 24 hours, according to Coingecko, a data provider at Crypto Markets.
According to Coingecko, the AI token sector rose 5.8% in 24 hours to a market capitalization of $29.4 billion. The rally came even after Nvidia, whose hardware supports much of the artificial intelligence boom, reported second-quarter revenues that were weaker than expected.
Among 24-hour winners, the protocol is near (near) Climb 1.5% and artificial Super Intelligence Alliance tokens (Fett) 1.3% and an internet computer added (ICP) 1% increase.
Founded in 2015, Numerai CrowdSources made market forecasts from data scientists and rewarded top models with NMR tokens. It started with an encrypted online tournament where participants competed to predict stock prices.
In terms of hedge funds, “capacity” means that investors lock the option of allocating the amount set for the fund, ensuring access even if the fund restricts new investments later. It shows reserved allocations rather than immediate transfer of funds. Numerai has attracted many high-profile early supporters for many years, including Paul Tudor-Jones, Navy Ravicant and Howard Morgan, co-founder of Renaissance Technologies.
Numerai's contract is another pivot for JPMorgan, whose CEO, Jamie Dimon, has long been a vocal skeptic. Dimon once called Bitcoin a “fraud” and likened digital assets to a “decentralized Ponzi scheme.”
But Dimon softened his stance. On Investor's Day in May, Dimon doesn't personally support Bitcoin yet, but JP Morgan said it would allow clients to buy it. In June, the bank said it was seeking crypto-bound loans and offering backed loans to its client, Digital Asset Holdings.
JP Morgan Asset Management did not respond immediately to requests for comment Decryption.
