- SingularityDAO unites with Cogito Finance and SelfKey to create Singularity Finance.
- The new platform intends to tokenize AI assets to enhance decentralized finance.
In a unique move for the blockchain ecosystem, three notable projects SingularityDAO, Cogito Finance, and SelfKey have joined forces to announce Singularity Finance, a new Ethereum Virtual Machine (EVM) layer 2 platform focused on tokenizing real-world assets in the developing AI economy. This collaboration will streamline the development of Web3 applications, leveraging the unique strengths of each project. As a result, it will enhance the potential for decentralized finance (DeFi) applications within the AI industry.
This strategic collaboration will merge the tokens from each project (SDAO, CGV, and KEY) into a single unified token called SFI. This consolidation aims to streamline operations and enhance the overall value proposition for users. This consolidation aims to streamline operations and enhance the overall value proposition for users. According to SingularityDAO’s news release, the conversion percentages for the token merger are as follows: 1 SDAO converts to 80.353 SFI, 1 CGV to 10.890 SFI, and 1 KEY to 1 SFI. These rates are derived using the 200-day moving average as of August 20, 2024.
The effort aims to increase funding prospects for AI-driven innovations by tokenizing and integrating AI assets into decentralized finance systems. Cloris Chen, CEO of Cogito Finance, stressed the significance of this solution, claiming that it might assist bridge the gap between AI’s enormous promise and its existing adoption limits. The rapid growth of the AI field presents considerable prospects for both institutions and retail participants. However, constraints remain on both the demand and supply sides, preventing broader involvement in the AI economy, Chen stated.
Bridging AI and Blockchain with Singularity Finance
Chen continued on to explain that by establishing their own Layer-2 solution, they hope to democratize access to AI financing (AI-Fi) while remaining adaptable in the face of an ever-changing regulatory landscape. Singularity Finance intends to use Cogito’s tokenization framework to transfer real-world assets onto the blockchain, and SelfKey will provide compliant identification solutions to support this project. This cooperation aims to establish decentralized marketplaces that encourage participation and use AI to improve financial instruments and risk management measures.
Following the merger announcement, a governance vote will be held from October 21 to 31, allowing community members to influence the future course of the newly created business. Notably, SingularityNET, which gave rise to SingularityDAO, previously collaborated with other AI-focused projects such as Fetch.ai and Ocean Protocol to create the Artificial Superintelligence Alliance token (ASI). This alliance is also planning to include CUDOS, a decentralized cloud computing platform, among its ranks.
