Original author: LD Capital, duoduo
With the strong breakthroughs of KAS and TAO, entering the top 50 in market value, new POW tokens have attracted market attention. Most POW tokens with good narratives, solid fundamentals, and low market capitalization have achieved good gains. These new POW tokens are often associated with concepts such as artificial intelligence, computing services, and the Internet of Things, emphasizing “Proof of Useful Work” (PoUW). This report introduces the POW+AI dual narrative computing power rental platform Clore.AI.
1. Basic information
Clore.AI is a platform based on POW that provides GPU computing power rental services. Currently, it has access to more than 5,500 GPUs. The team is located in Europe. The official website states that it complies with European laws and plans to disclose team information in December 2023.
The total number of tokens is 1.3 billion, the current number of circulating tokens is 222, 287, 324, and the market value is approximately US$55 million. The token started mining in December 2022. Since its listing on the exchange, the lowest price has been 0.0059. It has hit new highs in November 2023. The current highest price is 0.27, achieving a 10-fold increase in 30 days.
Over 80% of the tokens are traded on matcha and 10% on gate. Trading volume has continued to increase in the past month, from around US$1 million at the beginning of the month to more than US$10 million currently.
2. Computing industry background
With the development and maturity of Internet technology, humans need to seek new technological breakthroughs in order to obtain new economic growth points. Artificial intelligence has become the direction of the new round of scientific and technological revolution. With the phased success of ChatGPT and the continued development of intelligent driving, computing power has become a new infrastructure.
Nvidia CEO Jensen Huang once pointed out in an interview that 2023 is just the beginning of computing power construction, and the boom will continue until at least 2025. According to the 2023 Artificial Intelligence Status Report released by Air Street Capital, a venture capital firm in the AI field, large technology companies are building A100 cluster centers and are expected to make additional investments in 2024. Its top-tier H 100 artificial intelligence processor is expected to ship between 1.5 million and 2 million units in 2024, at least twice as much as the 500,000 expected this year. For small and medium-sized technology companies, third-party computing power service platforms are also one of the options.
In this context, the POW+AI computing power service project has attracted attention. It uses the blockchain model to bring together more computing power resources and provide them to individuals and institutions in need of computing power services.
3. Products and Services
Clore.AI is a GPU computing power rental platform. In its business model, people who own NVIDIA GPU computers can connect their GPUs to the network and receive CLORE token incentives. People who need computing power services can rent computing power.
Business scope includes: artificial intelligence training, movie rendering, VPN, cryptocurrency mining, etc. When there is a demand for specific computing power services, the tasks assigned by the network are completed; if there is no demand for computing power services, the network finds the cryptocurrency with the highest mining yield at that time and participates in mining.
You can check the specific GPU model, configuration, rental price, etc. on the official website. The party that provides computing power can obtain CLORE tokens as a reward; the better the performance of the server, the more rewards it will receive. The party using computing power can pay in CLORE, BTC or USD.
The main chips in this market are the RTX 30 and RTX 40 series. This is a new generation of high-performance graphics card with ray tracing function launched by NVIDIA in 2018. It is in the mid-to-high-end series of the entire NVIDIA chip system. Mainly used in gaming, creation, rendering and other activities, the RTX 40 series is called the ultimate platform for gamers and creators. If large-scale artificial intelligence training is to be carried out, the latest H 100 and A 100 chips are more used. Therefore, according to Clore.AIs current computing power configuration, movie rendering and mining may be easier to perform, while artificial intelligence training and large-scale computing are weaker than large computing power centers.
Users can view specific models, configurations, and prices on the official website.
As can be seen from the official website, the total number of GPUs in the network exceeds 5,500, of which approximately 5,000 are leased, and nearly 30,000 orders have been realized. Access to GPUs is on the rise. The lowest number in July was about 2,000, and the number more than doubled in half a year.
As prices rise, miners profits increase, and the proportion of GPU computing power has increased rapidly in the past week. This increased to 3% from around 1.6% previously.
4. Token Economics
CLORE is a POW token that uses the kawpow algorithm, which is the same as Raven Coin and is resistant to ASIC mining. There is no pre-mining or ICO for the tokens, and 50% of each block is allocated to miners, 40% to lessors, and 10% to the team.
The total number of tokens is 1.3 billion. Mining will begin in December 2022 and will basically enter full circulation by 2042. The current circulation is approximately 220 million. The circulation volume at the end of 2023 will be approximately 250 million coins, accounting for 20% of the total token supply; at the end of 2024 it will be 460 million coins, accounting for 35% of the total token supply; at the end of 2025 it will be 620 million coins, accounting for 48% of the total token supply .
The token release looks like this:
Proof of Holding System (POH)
The project proposes the concept of a proof-of-holding system (POH) to incentivize users holding CLORE tokens. When currency holders participate in the system, CLORE tokens are always stored in their own wallets, with no lock-in period and free deposits and withdrawals. The more CLORE tokens you hold, the more rewards you get when renting out equipment; you can get up to 50% off fees when renting out equipment. There are currently approximately 56 million tokens participating in POH, accounting for about 25% of the current circulating supply.
Token holdings distribution
The top 100 addresses hold a total of 130 million tokens, accounting for 59.32% of the current circulation. Since the browser is not marked, the specific distribution of currency holders cannot be identified.
5. Future development
According to the team’s roadmap, major issues in the coming year include:
In December 2023, it will mainly focus on marketing, promoting the listing of tokens, and finding new partners.
In the first quarter of 2024, Clore Storage will be launched to rent storage space, collaboration and efficiency in data management.
In the second quarter of 2024, Clore VPN will be launched to provide VPN services; CLORE OS will be launched to load server monitoring functions and closely monitor GPU performance indicators.
In the third quarter of 2024, a unified market will be established based on Clore OS to better dynamically adjust and allocate computing resources. Whether it is heavy computing tasks or optimal mining strategies, better resource allocation can be obtained.
From a fundamental point of view, Clore.AI belongs to the dual narrative of POW + AI. Its GPU computing power platform has been initially built, forming a mid-to-high-end GPU cluster, with a complete business model and clear business. The team has a relatively clear development route and delivery capabilities, and the previous plan was basically delivered on time.
From a financial perspective, due to the recent popularity of POW and AI, funds have poured into this track, looking for low market value targets. Clore has gained 10x in 30 days, with larger short-term gains.
Follow-up attention will be paid to the continued development of the project, including whether GPUs continue to grow, whether the proportion of computing power remains stable or increases, whether the project obtains cooperation or orders from large companies, etc.