DWF Labs, a market maker with an emphasis on Asian markets, has announced a $10 million strategic investment in CryptoGPT, an Ethereum-based layer 2 that uses zkRollup technology to facilitate scaling.
The GPT token, which is currently trading at $0.07478 due to this news, increased by 11% as a result. With this disclosure, the company is valued at $250 million.
The money will go toward developing Web3 AI technologies, especially for Asian markets. By utilizing zkRollup technology, CryptoGPT seeks to target retail consumers by enabling them to profit from sharing their data. The firm aims to end the domination of big tech while enabling "you own the monetization of your AI data." The business believes that data will become even more valuable in the future as AI spreads.
A party proving something to another party's satisfaction is the basis of the off-chain technique known as zkRollup. There is no extra information supplied besides the statement of truth. The claims of truth are batch-posted as opposed to individually posted, which reduces load capacity and compresses the data. The technology, as stated by the business, will fundamentally alter how people engage with AI and data.
With the recent shift in Hong Kong's policy regarding digital assets, the company claims that the timing for a strategic expansion into Asia is right. For the rise of cryptocurrency liquidity, Hong Kong is increasingly serving as a gateway to the Chinese market. A spate of pro-crypto declarations have recently been made by the city-state. To support Web3 development in the area, the local government has invested $50 million and implemented a Virtual Asset Service Provider (VASP) license system. Thus, CryptoGPT has determined that Asia is a key market for their technology and will be increasing their presence there.