AI tokens are seeing massive growth, fueled by the popularity of artificial intelligence. The surging market dynamics of Nvidia also have a significant impact on the growth of over 15%. Analysts warn, however, that in the long term the value of some AI tokens may be significantly overestimated.
Are AI tokens a bubble? Many say yes!
The topic of artificial intelligence appears everywhere today, including in the cryptocurrency community. The hype for AI also causes the number of cryptocurrency projects based on artificial intelligence to grow. AI tokens are growing like mushrooms after rain, and their rates are riding a green wave of growth. A perfect example of this would be WLD, FET or RNDR.
David Han (one of Coinbase's research analysts), says the rapid changes in AI are causing caution about the long-term stability of most AI tokens. One of the main challenges with cryptocurrency AI projects lies at the core of both technologies. While cryptocurrency projects mainly strive for decentralization, current AI offerings are based on centralized components and data sources. Han points out that:
The decentralized future of AI, as currently envisioned by many in the cryptocurrency industry, is not guaranteed – in fact, the future of the AI industry itself is still largely undetermined.
DePINs can cause a lot of disruption in the AI industry
Although AI Tokens may actually be currently driven mainly by interest in the artificial intelligence industry, DePIN tokens are in a completely different league. Although this topic is increasingly discussed among the cryptocurrency media, DePINs still remain in a niche. Well, DePINs are Decentralized Physical Infrastructure Networks, allowing the use of decentralized computing power for a specific purpose. DePins can revolutionize the AI industry, which, as we know, needs constantly increasing computing power.
For this reason, DePIN tokens may prove to be much more stable in the long term. Their usability will be high because DePINs will allow you to power LLMs, AI graphics and video generators. At the moment, however, Nvidia's gigantic charge makes AI tokens grow like crazy.
