Numerai Project Cuts Down On Ethereum’s Most Used Token
Numerai is an AI-run, crowd-sourced hedge fund based in San Francisco. Now, with the final upgrade of the company’s smart contract on Ethereum, the maximum supply of tokens will drop from 21 million to 11 million, CoinDesk reports.
Richard Craib, founder of Numerai introduce Erasure, stated: «We’ve created one of the best tokens on Ethereum. And now we’re cutting the supply by ~50% and giving up control. Introducing NMR 2.0.»
In his interview to CoinDesk, Craib argued this had always been the plan, but the move dovetailed nicely with comments by U.S. regulators suggesting widely-used tokens that no one company controls were viewed more favorably.
However, he refused to answer whether or not the company has been in touch with the U.S. Securities and Exchange Commission about its business model. Numerai never had an ICO and NMR tokens were distributed via airdrops and as payments to users of its platform.
As a reminder, Numerai dates back to 2015. It was founded as a hedge fund that wanted to give data analysts a better way to sell good data analysis. To date, Numerai has been using its software to let data scientists crunch numbers for Numerai’s own benefit, but Erasure will let anyone making predictions prove their track record. According to the company, today, even with only one customer, there are 25,000 stakes of NMR making it ethereum’s most-used token.
There are currently about 7 million NMR in existence, the company says but CoinMarketCap states that number at 2.3 million. Craib says the difference is largely explained by the fact that the company locked up 3 million tokens for a decade in May, but that still leaves 1.7 million unaccounted for.