Numeraire (NMR), a hedge fund and self learning artificial intelligence based on a cryptocurrency.

in cryptocurrency •  last year

Numeraire recently appeared on my radar, luckily introduced to me by someone familiar with AI so I was lucky to get a solid initial briefing on this new token and it sure is an interesting one.


First of all what it does, Numeraire is very unique in what it is trying to achieve, from what I understand it is an attempt to use the expertise of thousands of data scientists to use the token to make predictions on the behaviors of financial markets. The wider project aims to create a self learning artificial intelligence that is able, using the collective works of specialists around the globe, to search for patterns and make predictions on the direction that markets are likely to take. 


The initial tokens have been distributed to many data specialists around the world and these tokens are spend submitting predictions based on algorithms, the success and accuracy of these predictions is then judged and those deemed successful are rewarded and those that are not successful are burned and removed from circulation.
In this "proof of intelligence" those submitting predictions must hold the token in order to be paid out (in Ethereum) and those that are unsuccessful are destroyed creating an inflationary market for the currency right from the start. The successful predictions are incorporated into the AI which theoretically will become better and better at predicting markets and thus more profitable.
With a low coin supply ( 1.2 million with a max of 2.2 million) and a good incentive for the data scientists already holding to use the token it it's likely NMR will take a rocky road over the next few weeks.
The performance of these data specialists is recorded and can be observed here: https://numer.ai/leaderboard 

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Now, the most interesting thing about this coin is its founders, Numeraire is also the first cryptocurrency every to be launched by a hedge fund. Numeraire, based in San Francisco, is headed up by Richard Craib who has been listed as a 30 under 30 by Forbes Magazine. His vision for Numerai is to encourage collaboration over competition within financial and stock markets over pure competition. A lofty ambition for sure but when you create a common goal for a large number of experts to work together, individually towards it becomes suddenly more possible.

So, essentially we are talking about a cryptocurrency, built by and for people who are experts and making money, that aims to combine the skills and knowledge of a wider pool of experts on making money in order to create a self learning artificial intelligence designed to make money. Sounds like a no brainer to me!

Numeraire very recently hit the Bittrex exchange and has had a turbulent first 24 hours it seems so far, already halving and subsequently quadrupling in price in its first day alone while investors are figuring out its price.
Personally I've no idea what to value this one at right now, a self learning AI that also acts as a hedge fund with a low coin supply, deflationary model, high inventive to keep, founded by a hedge fund seems like a good opportunity.
Also I'm told by a reliable source that it's definitely not Skynet.

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Anyone have any predictions where this is going to go? Would love to hear some opinions on this one, its new and exciting!


http://www.coindesk.com/no-ico-hedge-fund-numerai-releases-blockchain-token-without-funding/

https://www.forbes.com/sites/laurashin/2017/02/21/this-is-the-worlds-first-cryptocurrency-issued-by-a-hedge-fund/#6f687d5560b6

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This sounds very cool! Thanks for posting, I'm going to look into this. Might wait for the price to find a normal level before jumping in though.

If you're into trading cryptocurrencies I just posted a framework I use to analyse my investment decisions, let me know what you think!

https://steemit.com/cryptocurrency/@jhcooper7/the-cryptfolio-matrix-a-matrix-for-analysing-crypto-investment-decisions

Definitely not skynet ;)

Very good blog. Same mindset here. We really need more insights in the (ICO) market and previous investment results (even though they don't deliver any guarantee for the future). I was wondering if anyone of you uses: https://www.coincheckup.com This site is really helpful in my coin research. I don't know any other sites with so much indepth analysis.