Crypto-AI startup Fraction AI secures a $6 million pre-seed investment, jointly led by Spartan Group and Symbolic Capital.
Fraction AI, a groundbreaking decentralized AI platform, has successfully secured $6 million in a pre-seed funding round. The funding round was led by Spartan Group and Symbolic Capital, with notable angel investors including Polygon's Sandeep Nailwal and Illia Polosukhin from NEAR Protocol.
The platform, currently in a closed testnet, is scheduled to launch its public testnet in January. Fraction AI aims to revolutionize the AI industry by making data less obscure and tightly controlled, thereby leveling out the playing field.
The platform will launch on NEAR and several other Ethereum L2s. It operates using a hybrid model for data labelling, combining both human inputs and AI agents. Stakers will earn yield by staking Ether or liquid staking tokens, while builders will provide human insights and detailed instructions in text form.
Judges, who are specialized LLMs, will evaluate the agent outputs against pre-determined criteria, ensuring the reliability of the labelled data and dispute outcomes. Fraction AI's platform empowers anyone to train high-quality AI models, fostering a decentralized and inclusive AI ecosystem.
Shashank Yadav, the founder and CEO of Fraction AI, spearheads the company's vision. Other notable participants in the funding round include Borderless Capital, Anagram, Foresight Ventures, and Karatage.
With the successful funding round and the imminent launch of its public testnet, Fraction AI is poised to make significant strides in the decentralized AI sector. The platform's unique approach to data labelling and its commitment to democratizing AI make it an exciting development to watch.
The news of Fraction AI's success in securing $6 million in funding underscores the growing interest in decentralized AI platforms. This funding round, led by Spartan Group and Symbolic Capital, highlights the potential of Fraction AI's platform to revolutionize the AI industry by providing insights into data distribution and artificial-intelligence capabilities. As Fraction AI prepares for its public testnet launch in January, it is poised to leverage technology to democratize AI, thereby creating a more inclusive and leveled AI ecosystem.
