Altcoins Fly Higher as Interest in AI Tokens Surges by 400%
Richard Salmond | Mar 07, 2024 05:07PM ET
The research European Union (EU) AI Act in December 2023.
In addition, the AI Act's enforcement and implementation are limited to the EU member states only. That means the development of artificial intelligence and its successful implementation in other countries remains limited.
Limited Use Cases
Another limitation to the advancement of AI crypto projects is their limited use cases. Many of these crypto projects lack real-world utility and thrive on the growth of the broader AI sector or social media hype.
As such, an unprecedented decline in the growth of AI projects may directly impact AI concept projects and tokens. Their high dependence on social media hype also makes them highly volatile assets.
The EU AI Act has paved the way for a comprehensive legal framework for the use of AI by prominent key players globally. However, the regulatory landscape for AI cryptocurrencies remains unclear.
The AI crypto sector calls for more straightforward regulatory frameworks - especially in pivotal countries like the United States — to boost investors' confidence further and make AI and Big Data assets the future of tech investing.
As the first few months of 2024 have shown, AI and Big Data tokens have recorded massive gains and garnered unforeseen interest from investors. From an analyst's perspective, AI cryptocurrencies will only grow in demand and interest as the year progresses. By Q3, we will likely see a massive transformation in financial investing through AI concept cryptocurrencies.
Overall, the AI sector is expected to maintain an upward trend driven by technological innovation, a friendlier regulatory landscape, increased market demand, and high speculation sentiment.
However, it's crucial to note that the AI coin market is just shaping up, making it highly volatile. That means investing in AI coins can be risky, and investors require adequate research to make informed decisions.
Get The News You Want
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.