Sokipiriye Dokubo
The merger of three AI-driven cryptocurrencies has been postponed by the Artificial Superintelligence Alliance, leading to ripples in the cryptocurrency market. Initially scheduled for June 13, the consolidation of FET, AGIX, and OCEAN into the new ASI token has been rescheduled for July 15. This shift comes amidst a significant decrease in the prices of the involved tokens, reflecting larger trends in the crypto space.
Announcement of Delay
The Artificial Superintelligence Alliance, formed by AI-focused blockchain developers SingularityNET, Fetch AI, and Ocean Protocol, first revealed plans for the merger in April, with the original date set for June 13. However, the alliance disclosed on Tuesday that the merger would be delayed by a month. Fetch AI CEO Humayun Sheikh cited technical limitations and regulatory hurdles as contributing factors to the postponement. Sheikh, also serving as the chairman of the Artificial Superintelligence Alliance, stressed the importance of adhering to strict processes for the benefit of token holders.
Causes of the Postponement
“Due to technical limitations and the challenging regulatory landscape, we have recently realized the necessity to postpone the merger to ensure full compliance with the meticulous processes required for our token holders,” noted Sheikh in a statement. The alliance is collaborating closely with centralized exchanges to complete the remaining necessary steps for the merger to proceed.
Future Outlook
SingularityNET founder and alliance CEO Ben Goertzel conveyed positivity regarding the potential impact of the merger. Goertzel stated, “The finalization of the three-way tokenomic merger on July 15 will mark a significant milestone. We anticipate a series of increasingly promising milestones as we utilize our $ASI token-based network to advance towards more sophisticated AI systems and, eventually, true superintelligence.”
Market Response
The postponement has coincided with a general decline in the prices of AI-associated tokens. According to CoinGecko, the market capitalization of AI tokens collectively fell by 8.7% today. The individual tokens involved in the merger also experienced notable losses, with SingularityNET (AGIX) at $0.67, down 6.6%, Fetch AI (FET) at $1.58, down 7.4%, and Ocean Protocol (OCEAN) at $0.69, down 5.5%. Over the past week, these tokens saw even steeper declines, with FET down 25.8%, AGIX down 24.0%, and OCEAN down 23.5%.
Historical Context and Future Potential
This downturn contrasts with the surge in March when the initial merger announcement propelled a notable increase in the prices of the alliance members’ tokens. If the merger proceeds as planned, the Artificial Superintelligence Alliance will possess a combined market capitalization of $5.5 billion based on current token values. The delay and current market conditions highlight the volatility and regulatory intricacies inherent in the crypto and AI fields, yet the alliance remains hopeful about the long-term advantages of the merger.