he proposed merger of Fetch.ai, SingularityNET, and Ocean Protocol is set to cause a meaningful change to the decentralized AI landscape. Together, under the Artificial Superintelligence Alliance (ASI), they aim to achieve ambitious goals like developing beneficially aligned artificial general intelligence at scale.
While exciting for the progress of AI, this kind of significant network transition also brings questions. What will it mean for current token holders? How will the process work? What are the potential upsides and downsides to consider?
This in-depth article provides answers by examining the merger details, conversion methods for different holder types, implications, risks and the promising future that could emerge from a unified AI force.
Token Merger Details
The ASI merger proposes combining the native tokens of each network - FET, AGIX, and OCEAN - into a single ASI token. It has received approval from the respective communities and is scheduled to commence activation in May.
With an estimated $7.5 billion total value, ASI is projected to join the top 20 cryptocurrencies by market capitalization post-merger. This reflects the combined popularity and success of the founding networks individually as leaders in the decentralized AI sector.
Conversion will initiate with the precise start dependent on establishing stable technical integrations between the different networks involved. Extensive testing, security reviews, and fallback contingencies are being implemented behind the scenes to guarantee as frictionless an experience as possible for all participants when activation kicks in.
Token Conversion Process
Centralized Exchanges
The automated nature of centralized exchanges like Binance, Coinbase, and Kraken allows them to streamline conversions for customer accounts holding legacy FET, AGIX, or OCEAN tokens. Users require no action.
Once initiated by the founding teams, the exchanges will simply swap your balances—applying set exchange rates to issue equivalent amounts of fresh ASI tokens under your profiles. Transparent reporting tools enable verifying new ASI values match what was held previously.
Hardware and Software Wallets
A more involved manual process is necessary for people using hardware or software wallets like Ledger. Fortunately, clear step-by-step swap instructions will be published on all relevant project websites well beforehand, guiding users confidently through the transition.
The general method will involve preparing your wallet first by generating a new recovery seed as a backup precaution. Then, you’ll transfer any FET, AGIX or OCEAN assets to a temporary exchange account just until the conversion finishes. Official conversion clients or web interfaces will extract your deposited tokens and calculate new ASI amounts using fixed rates.
Post-validation, the ASI sum can then be deposited to its originating wallet address—concluding the swap procedure and commencing this new chapter under a unified ticker. Proper planning ensures no disruption to the decentralized storage of private keys.
Conversion Rates
Fairly converting balances required establishing fixed exchange rates between legacy tokens and new ASI. These are:
- FET to ASI will be a straightforward 1:1 swap, meaning your FET balance amounts directly translate to an equal amount of new ASI tokens.
- AGIX holders will receive 0.433350 ASI tokens for each AGIX token they own currently.
- Holders of OCEAN tokens will see their balance converted at a rate of 0.433226 OCEAN becoming 1 ASI token.
With ratios pinned in this way, every holder can be confident precise values will carry over—no tokens or value lost in the transition between epochs. The merged total supply of ASI post-conversion amounts to 44.126 billion.
Implications for Current Token Holders
Naturally, you'll want to understand how this mega-merger stands to impact you personally. Here are some of the biggest implications analysts and the projects themselves are pointing to:
- Instantly Increased Market Valuation: By uniting three top projects into one coordinated effort valued at around $7.5 billion total currently, the merged ASI token is primed to rank highly on lists like CoinMarketCap. Just by size, it gains more attention and investment interest.
- Shared Resources & Expertise: With their developer communities and innovation coming together, the exchange of ideas could yield exciting new applications no single group may have achieved alone so quickly. The collaborative potential is huge.
- Stronger Collective Vision: Under a single aligned vision of open and beneficial AI development, the merger amplifies each project's individual goals and chances of real-world impact. Together their shared values carry greater influence.
- Exposure to Multiple Capabilities: As an ASI holder, you'll effectively gain tokenized exposure and entitlement to the combined value produced by Fetch, Ocean and SingularityNET - things like patents, research advances, diverse product lines and more over time.
- Potential Future Rewards: Some speculate the merged entity's governing body may introduce new ways to incentivize and reward long-term holders beyond just token price appreciation alone - but that's down the line.
Potential Risks and Considerations
Of course, with any move of this magnitude come challenges and risks we can't ignore. Here are a few to be aware of as merger events play out:
- Integrating three large protocols demands immense coordination to avoid bugs or downtime disrupting networks.
- Speculation may cause temporary price swings before and during the conversion, not truly reflecting long-term value.
- Ensuring fair decentralized governance as the alliance expands challenges the initial decentralization visions of some projects joining.
- Unethical hackers may try phishing or scamming users during the confusion of conversion windows.
With three pioneering decentralized AI communities uniting, this merger represents an important milestone that could significantly impact the blockchain and machine intelligence industries. As a holder of their existing tokens, staying well-informed on key events like this will help you make the most of your investments.
