Best AI Cryptocurrencies

AI cryptocurrencies have exploded in 2024, driven by the broader surge in AI adoption, like OpenAI's ChatGPT. These projects aren't just riding the hype; they're demonstrating strong utility, sound tokenomics, market performance, and active development.

After reviewing 30+ projects, we've narrowed down the top five that truly stand out based on AI utility, developer activity, partnerships, and tokenomics. Here are the top picks for AI crypto in 2024:

1. Bittensor (TAO)

Bittensor is a decentralized marketplace where users can access machine learning models shared by contributors. It tops our list thanks to its reward system for AI model creators, the capped supply of 21 million TAO tokens, and the price performance of +116.81% ROI so far in 2024, which is higher than any other AI crypto project in the top 100.

The Bittensor platform operates by having miners submit pre-trained models, which are then ranked by validators using AI neural networks, designed to evaluate other machine intelligence. Only the most accurate and high-quality models receive rewards. Bittensor also includes subnetworks (subnets) for specialized tasks like text generation and image recognition.

2. ASI Alliance (ASI)

The Artificial Superintelligence Alliance (ASI Alliance) came as one of the biggest surprises of the year when three leading AI and crypto projects (Fetch.ai, SingularityNET, and Ocean Protocol) announced their merger. By joining forces, they aim to fast-track the development of decentralized AGI, creating a unified platform that combines their respective strengths.

What's important for investors, though, is that the liquidity of the three projects is also merging. So far, the migration of tokens has gone smoothly, with the newly formed ASI token doubling in value since its launch. As more tokens continue to migrate and capital flows in, the ASI Alliance will likely attract more attention from both developers and new investors.

3.NEAR Protocol (NEAR)

NEAR Protocol is the longest-standing project on this list, with its roots dating back to 2019. As a layer 1 blockchain, NEAR has built a strong reputation through innovations in chain abstraction, stateless validation, sharding, and low transaction costs. However, its recent push into AI has set it apart from other L1s, giving NEAR a unique competitive edge and economic moat.

NEAR’s current focus is on becoming the go-to platform for "User-Owned AI" where users, rather than corporations, control AI applications. The NEAR Foundation is also investing heavily in infrastructure that supports AI research and development. Finally, NEAR currently holds the highest market cap in the sector at $5.86 billion, placing it in position 17 overall.

4. Render Network (RENDER)

Render Network, currently valued at $2.71 billion, is the second-largest AI crypto project by market cap. The project connects node operators with creators, offering decentralized GPU power for 3D rendering, digital art, and engineering simulations. With almost 39 million frames rendered, Render is the leader in infrastructure for decentralized GPU services.

The RENDER token handles transactions between artists and node operators using a Burn & Mint Equilibrium system, where tokens are burned for work credits and newly minted based on completed tasks. As part of its migration to Solana, the original $RNDR tokens on Ethereum are being swapped for $RENDER tokens at a 1:1 ratio, with the process still underway.

5. AIOZ Network (AIOZ)

To conclude our list, we bring AIOZ Network, a project that combines two trendy sectors—decentralized infrastructure (DePIN) and AI. AIOZ operates as a decentralized content delivery network (dCDN) that leverages blockchain and AI to provide scalable solutions for video streaming, storage, and AI computation.

By decentralizing these services, AIOZ allows users to access GPU and CPU power for a wide range of applications without relying on centralized providers. Its native token, AIOZ, powers transactions, staking, and rewards across the network, and its compatibility with Ethereum and Cosmos ensures broad dApp integration.

How Does AI and Crypto Intersect?

Crypto and AI are two of the most popular technologies today, so it was only a matter of time before they began to intersect. However, not every project that claims to be "AI" actually uses it. But those that do and also have governence tokens are usually what we call AI coins in crypto.

Here are the main ways AI and crypto interact:

• AI for Market Predictions: AI analyzes crypto market data to predict trends. Example: Fetch.ai optimizes trading strategies with AI agents.
• Decentralized AI Marketplaces: Platforms that allow developers and companies to share, buy, or use AI models. Bittensor is a good choice here.
• AI-Driven Content Creation: AI like Render helps in the production of creative content, such as 3D rendering and visual effects, by utilizing decentralized GPU resources.
• AI-Enhanced Blockchain Operations: AI optimizes blockchain efficiency by improving consensus mechanisms and data management, similar to how SingularityNET does it.

Are AI Coins Still a Good Investment in 2024?

Since CoinGecko began tracking top crypto narratives in their quarterly reports, Artificial Intelligence has consistently ranked in the top three, including in their Q3 2024 paper, when it grabbed a 9.66% mindshare. However, web traffic alone isn't enough to assess whether AI coins outperform other asset classes, which means deeper data analysis is needed.

DefiLlama currently offers one of the best, aggregated dashboards for tracking multiple categories, including AI. Their narrative tracker shows that AI ranks fifth in 2024 with a net ROI of +58.88%, based on 196 projects. Among the large-cap ones in there, NEAR Protocol, Bittensor, Arkham, and Delysium have posted the best gains so far this year.

This combination of user interest and strong asset performance leads us to conclude that AI coins will continue to be a popular investment option in 2024.

How to Find New AI Crypto Projects?

If you're looking to discover promising new AI crypto projects, here's a step-by-step guide to get you started:

• Use Crypto Ranking Sites: Explore CoinGecko, CoinMarketCap, and CryptoSlate to find AI-tagged projects once they are listed there.
• Check Social Media and Communities: Follow discussions on Twitter (X), Telegram and Discord for early mentions of new projects.
• Follow Sector-Specific Experts: Miles Deutscher and the team behind Crypto Banter have frequently made 1-hour long videos on AI projects like Render in the past.
• Review Whitepapers and Roadmaps: Visit project websites to read their whitepapers and evaluate their roadmaps for clear development goals (and if they actually use AI).
• Assess Team and Partnerships: Research the team and check if they collaborate with recognized AI or tech companies for credibility.
• Track GitHub Activity: Look for active development on GitHub repositories to gauge ongoing project progress. Hack: CryptoMiso tracks the activity of 184 projects.
• Evaluate Tokenomics: Study the project’s token supply, utility, and economic model to understand its long-term vision.

Our Top AI Memecoin Picks

One growing sector within AI is memecoins tied to large language models (LLMs). Our editorial team’s top two picks for 2024 are Goatseus Maximus (GOAT) and Turbo, which have leveraged AI-driven narratives to achieve market capitalizations in excess of $100 million.

Goatseus Maximus (GOAT) is our top pick for 2024, skyrocketing from a $50,000 launch to a $300 million market cap in just a week. GOAT's viral success stems from Terminal of Truth, an LLM funded by Marc Andreessen of a16z. Trained on social media interactions, this AI bot has relentlessly promoted GOAT, transforming it into a leading AI memecoin in record time.

Another honorable mention is Turbo, an AI-guided memecoin that started with just $69 and now boasts a $750 million valuation. Built by strictly following instructions from GPT-4, Turbo’s entire creation, from tokenomics to launch, was shaped by AI, showing the direct impact AI can have on token development.

Bottom Line

AI crypto projects will continue to be a top diversification choice for investors as we head toward the end of 2024, thanks to their popularity and strong price action.

Whether this trend will extend into 2025 remains to be seen, but drawing parallels to traditional markets, where companies like Nvidia dominate, suggests AI’s role will only expand.

For now, the projects to keep monitoring include Bittensor, ASI Alliance, and NEAR, as they have the largest communities, active development, and strong price appreciation.