Cryptocurrency
Exploring the future of AI: The power of decentralization
The field of artificial intelligence (AI) is taking the world by storm, but many people have found themselves looking up at the sky, wondering where all the rain came from.
Those who didn’t realize the place AI already has held in our everyday lives are having a hard time understanding what further advancements mean for society as a whole.
Wrapping your head around the technology itself is a challenge for most, but it gets even more complicated when broken down. No longer are people just using the umbrella term artificial intelligence — they are saying narrow AI, superintelligence and artificial general intelligence (AGI). Companies are using the terms machine learning and deep learning when explaining the technologies they have incorporated to streamline their business practices.
The push to advance AI started long before the conversation about it did, and those advancements have benefited businesses across industries. The potential for what the future holds with this technology has been particularly enthralling for those in the Web3 space.
Irina Jadallah, co-founder of Ticketmeta — a nonfungible token-based ticketing solution and decentralized streaming service for sports events — told Cointelegraph:
“AI is fast becoming the biggest news of the century. From ChatGPT to Siri to Alexa and a million other AI apps and tools, virtually everything around us is influenced by AI, including the metaverse […] It has the potential to revolutionize the way we engage with and enjoy virtual worlds by facilitating more natural and intuitive interactions between users and virtual surroundings.”
But the impact of AI does not stop with the metaverse; it has already been proven that AI has the potential to revolutionize various fields, from marketing to finance. As exciting as it may be, the popularity of this technology, as Jadallah pointed out, now poses a rather significant question.
As it becomes more advanced and more desired by the public, it also becomes more expensive, enhancing the risk of centralization. This collective concern has created a new buzzword — decentralized AI.
Centralization vs. decentralization
As with all things, centralization is not inherently a bad thing, but it does pose some issues where AI is concerned.
When only a small number of organizations can afford to use the technology, they would be able to control how the technology advances, risking it becoming everything many people fear it to be.
Recent: Chinese police vs. Web3, blockchain centralization continues: Asia Express
This concern of centralized AI is one that many in the space are already discussing and working against. Marcello Mari, founder of SingularityDAO — an asset management company that uses AI for trading strategies — told Cointelegraph:
“If we keep developing artificial intelligence behind closed doors — by corporations that use it for marketing, military or centralized finance, which basically means killing people more efficiently, selling you stuff you don’t need, and making the rich richer — then the next artificial intelligence will probably reflect those same kinds of values, right?”
In contrast, decentralized AI could allow individuals to have more of a say in the products they use while having a broader range of models to choose from.
“This is why we even founded our company back in 2017 because it’s very important that we start thinking now about what the next AGI or superhuman intelligence will look like,” said Mari. “In order to make it benevolent, you want to have a decentralized layer so that the community can actually influence and be comfortable with the development of AGI.”
Decentralized AI could incorporate blockchain technology, which already has a reputation for security and transparency.
“Blockchain technology is a safe and open system for monitoring information and ensuring it stays unaltered,” said Anna Ivanchenko, co-founder and CEO of Ticketmeta. “It’s used to create credibility and trust.”
People have a preference for public blockchains because they are often governed by the community and not a central authority. Code becomes law and adds a level of trustlessness that is not seen in other industries. According to CoinGecko, there are already more than 50 blockchain-based AI companies, with many people expecting this number to grow exponentially over the coming years. Companies such as Render, Fetch.ai and SingularityNET have led the charge in 2023.
Mari’s SingularityDAO is democratically governed by the community, who can have input into how their AI-DeFi model operates. People having a say is the main differentiating factor between centralized and decentralized AI. With centralized AI, the average user has negligible influence over how the AI models function.
Encouraging the community to take part in the development and direction of AI, allowing them to influence where it goes and what it does, will likely play a significant role in easing their concerns. Decentralized AI could very well make people more comfortable with AI as a whole, easing the transition of the technology into one that we use every day.
Of course, it’s never easy with new tech, and decentralized AI is no exception. It shares a common challenge with centralized AI, namely the “black box” problem, which involves a lack of transparency in how AI models operate and reach conclusions.
This opacity can understandably breed distrust. However, as Cointelegraph recently highlighted, there is hope: Explainable AI (XAI) and open-source models are emerging as promising avenues to address the black box issue in decentralized AI.
Benefits of decentralized AI
Decentralized AI enhances security in several ways. For example, by leveraging blockchain technology, it offers encryption and immutability, ensuring that data remains both secure and unchanged.
It can proactively detect anomalies or suspicious patterns in data, acting as an early warning system against potential breaches. The need for decentralization arises from its inherent design: Instead of having a single point of vulnerability, data is distributed across multiple nodes, making unauthorized access or tampering significantly more challenging.
Recent: AI can be a ‘creative amplifier’ — Grammy chief exec Harvey Mason Jr.
Decentralized AI is championing the cause of transparency and trust in a world that’s becoming more data-driven by the day. Traditional AI systems often suffer from opaque decision-making processes, raising trust and accountability issues. However, decentralized AI systems, like SingularityNET, stand out with their inherent transparency, recording every transaction and decision on the blockchain.
Despite still being in its infancy, decentralized AI provides hope of solving the aforementioned “black box” issue because of the inherent transparency that comes with blockchain technology.
TL;DR
- Analysts cite bullish chart patterns to envision potential price breakouts above $3 and even a new all-time high of over $4.
- A rising outflow of ADA from exchanges to self-custody wallets suggests strong holding behavior, while Grayscale’s proposed spot ETF (now awaiting SEC approval) could open the floodgates to mainstream investment if approved.
Time for Another Pump?
Cardano’s ADA has been underperforming over the past two weeks, with its price dropping by 5% during that period to the current $0.77 (according to CoinGecko’s data). Despite the downtrend, many market observers remain optimistic in their predictions.
Hardy, an X user with more than 70,000 followers, thinks ADA looks solid at its ongoing level. Furthermore, they argued that the asset’s “epic bull run” has not yet started.
$ADA looks solid here, hold above this purple box, we will continue higher.
If you’re in SPOT currently, you’re golden, the epic bull has not started for Cardano. pic.twitter.com/iqMe1aOzu8
— Hardy (@Degen_Hardy) July 31, 2025
X Finance Bull described ADA as “one of the biggest sleeper gains in crypto right now. The X user believes the valuation is poised to surpass $3, adding that a new all-time high is closer than some might think.
Smith also chipped in, spotting the formation of a “monstrous cup and handle” on ADA’s price chart. This is a bullish pattern that signals the potential for a major rally. Smith believes the valuation could explode above $4 once it exceeds the breakout target of $0.92.
Those interested in exploring additional price forecasts for Cardano’s native token can refer to our previous dedicated article here.
The Bullish Indicators
According to CoinGlass’s data, there has been a significant shift of ADA tokens from centralized exchanges toward self-custody methods in the past several months. This is considered bullish since it reduces the immediate selling pressure.
The potential launch of a spot ADA ETF can also positively impact the price. The leading digital asset manager, Grayscale, displayed its intentions to introduce such a product in the USA in February of this year. The decision is now in the hands of the US Securities and Exchange Commission (SEC).
Such an investment vehicle will give investors additional and simplified options to gain exposure to ADA. After all, buying a spot ETF is like purchasing regular stocks, all done via standard brokerage accounts. In the aftermath, Investors own shares, while the fund holds the actual cryptocurrency on their behalf.
According to Polymarket, the approval odds before the end of 2025 stand at 83%.
Binance Free $600 (CryptoPotato Exclusive): Use this link to register a new account and receive $600 exclusive welcome offer on Binance (full details).
LIMITED OFFER for CryptoPotato readers at Bybit: Use this link to register and open a $500 FREE position on any coin!
Ethereum’s ten-year milestone has been marked not just by reflection but by a steady rally that has investors bracing for what could be the cryptocurrency’s next big breakout.
With ETH trading at $3,800 at press time, still 24% below its all-time high, pseudonymous CryptoQuant analyst CoinCare says its subdued futures funding rates and deep-pocketed accumulation suggest the uptick is far from over.
The Funding Rate Divergence
According to CoinCare, Ethereum’s ongoing four-month rally is quite similar in magnitude to a previous surge that happened between the start of Q4 2023 and the end of Q1 2024. However, unlike that run, where funding rates became overheated, today’s futures funding levels remain near pre-rally lows.
“In the current rally, there has been no overheating in funding rates,” wrote CoinCare. “In fact, the current funding rates are closer to the levels seen before the October 2023 rally began.”
CoinCare believes this is a sign that “a cooldown after a short-term surge is essential,” following which ETH could “enter a full-fledged rally” driven by renewed speculative interest.
Beyond derivatives, fundamental and on-chain forces also support Ethereum’s potential breakout. For instance, heavyweight Ethereum investors recently acquired 220,000 ETH, worth an estimated $850 million, in just 48 hours. This boosted their holdings to 23.5% of the asset’s supply, a record high that should lessen market liquidity and amplify an upward push.
At the same time, spot ETH ETFs have attracted roughly $5 billion in just 17 days, adding steady demand from regulated investment vehicles. Meanwhile, exchange balances have plunged to a near-decade low of 19 million ETH, with more than 1 million coins withdrawn in the past month alone, potentially reducing immediate sell-side pressure.
Price Momentum
Looking at the market, ETH has gained 1.7% in the past 24 hours, 7.9% in the last week, and 57% across 30 days. It is currently trading within a tight $3,708 to $3,874 range, with $4,000 as the next key resistance level and $3,500 providing critical short-term support.
Analyst Ali Martinez believes going above $4,100 could trigger “the real breakout” for ETH, marking a major psychological shift and potentially opening the door for a run towards its 2021 all-time high.
Despite short-term warning signals, such as an overbought RSI and a potential pullback toward $3,300 highlighted in CryptoPotato’s latest analysis, the bigger on-chain picture remains decisively bullish. If CoinCare’s funding-rate thesis proves accurate and institutional demand continues to grow, ETH’s next chapter could be written not with caution but with new highs.
Binance Free $600 (CryptoPotato Exclusive): Use this link to register a new account and receive $600 exclusive welcome offer on Binance (full details).
LIMITED OFFER for CryptoPotato readers at Bybit: Use this link to register and open a $500 FREE position on any coin!
TL;DR
- FTX staked $79M ETH after withdrawing $75M, signaling renewed activity from major crypto players.
- BlackRock now holds 2.5% of all ETH, adding $375M more through its growing Ethereum ETF.
- Eleven new whale wallets added 722K ETH since July, with most already staked for the long term.
- Ethereum ETFs saw $5.41B in July inflows, beating combined gains from the last eleven months.
FTX Moves ETH From Bybit, Then Stakes It
On-chain data tracked by Lookonchain shows that FTX and Alameda Research staked 20,736 ETH, valued at around $79 million, within the past few hours. The move follows a previous withdrawal of 21,650 ETH from crypto exchange Bybit. That withdrawal, carried out between December 17, 2024, and January 9, 2025, totaled $75.3 million at an average price of $3,478 per ETH.
FTX/Alameda staked 20,736 $ETH($79M) an hour ago.
Between Dec 17, 2024, and Jan 9, 2025, FTX/Alameda withdrew 21,650 $ETH($75.3M) from #Bybit at an average price of $3,478.https://t.co/RBSW7DEx21 pic.twitter.com/5E0ku6WGni
— Lookonchain (@lookonchain) July 31, 2025
At the time of writing, ETH trades at $3,860. The price has increased 1% in the last 24 hours and 7% over the past seven days. These ETH transfers and staking actions add to a trend of growing market activity around the asset.
BlackRock and Other Firms Continue ETH Accumulation
BlackRock added $375 million in ETH to its holdings this week. The firm now controls about 2.5% of Ethereum’s total circulating supply, which translates to over $11.4 billion in ETH, based on current prices.
In addition, the iShares Ethereum ETF, launched in 2024, has now acquired more than 3 million ETH, according to Nate Geraci’s recent post. Since July 12 alone, it has added another 1 million ETH.
BLACKROCK BOUGHT $375M OF ETH THIS WEEK
THEY CURRENTLY HOLD 2.46% OF THE ETH SUPPLY WORTH $11.32B
THE LARGEST ASSET MANAGER IN THE WORLD IS BUYING $ETH pic.twitter.com/BksJOvUjdQ
— Arkham (@arkham) July 31, 2025
The Ether Machine, a company focused on ETH accumulation, bought 15,000 ETH this week for $56.9 million. This brings its total ETH holdings to over 334,000.
Meanwhile, it also confirmed that additional capital remains available for further ETH purchases. With this latest transaction, The Ether Machine now holds more ETH than the Ethereum Foundation.
SharpLink, a Nasdaq-listed company, made yet another purchase earlier today, adding 11,359 ETH, which brings its total to 449,276 (worth $1.73 billion). A significant portion of the newly acquired ETH has already been staked.
Whale Wallets Enter the Market With Billions in ETH
Eleven new wallets have acquired a total of 722,152 ETH, worth $2.77 billion, since July 9. Three of those wallets added 73,821 ETH, worth $283 million, in the past 24 hours. The data was tracked by Crypto Rover.
BREAKING:
WHALES KEEP BUYING MORE $ETH.
3 FRESH WALLETS JUST ACCUMULATED ANOTHER 73,821 $ETH ($283M).
SINCE JULY 9, A TOTAL OF 11 FRESH WALLETS HAVE ACCUMULATED 722,152 $ETH ($2.77B). pic.twitter.com/rnywoQdg07
— Crypto Rover (@rovercrc) July 31, 2025
Most of these new wallets are staking their ETH. This reduces the circulating supply and signals long-hold strategies. These new holders are joining a broader trend of long-term ETH accumulation by large entities.
ETF Inflows Surge in July
As we recently reported, Ethereum ETFs brought in $5.41 billion in net inflows during July. That figure is higher than the $4.21 billion combined inflows from the 11 previous months. Since their launch in July 2024, ETH ETFs have received $9.62 billion.
Earlier in the year, flows were more uneven. The first quarter of 2025 saw low inflows and a brief outflow in March. By contrast, November and December 2024 saw stronger interest, with inflows of $1.05 billion and $2.08 billion, respectively.
Binance Free $600 (CryptoPotato Exclusive): Use this link to register a new account and receive $600 exclusive welcome offer on Binance (full details).
LIMITED OFFER for CryptoPotato readers at Bybit: Use this link to register and open a $500 FREE position on any coin!
Forex3 years agoForex Today: the dollar is gaining strength amid gloomy sentiment at the start of the Fed’s week
- Forex3 years ago
Unbiased review of Pocket Option broker
- Forex3 years ago
Dollar to pound sterling exchange rate today: Pound plummeted to its lowest since 1985
- Forex3 years ago
How is the Australian dollar doing today?
- Cryptocurrency3 years ago
What happened in the crypto market – current events today
- World3 years ago
Why are modern video games an art form?
- Commodities3 years ago
Copper continues to fall in price on expectations of lower demand in China
- Economy3 years ago
Crude oil tankers double in price due to EU anti-Russian sanctions
