Small-cap cryptocurrencies dominate payments in this AI pay-per-use hub

NanoGPT is an artificial intelligence (AI) hub that exclusively uses cryptocurrencies for payments to pay for dozens of premium AI models via pay-per-use. Finbold covered the launch and growth of NanoGPT while also reporting on its competitors such as PayPerQ, a Bitcoin (BTC)-first platform.

On December 1st, NanoGPT published a data breakdown of all of its crypto payments as of November in the various cryptocurrencies accepted. The AI ​​hub examined the transaction count and transaction volume of each coin, revealing its users’ preferences and customer behavior.

What is NanoGPT’s AI Hub and pay-per-use model?

Essentially, users can fund their NanoGPT accounts with 15 cryptocurrencies to pay for more than 30 AI models (chat and image) per use. Each request or query generates a payment that is deducted from the pre-funded wallet.

Among the AI ​​models, customers can query o1, ChatGPT-4o and Dall-E 3 from OpenAI, Claude 3.5 Sonnet from Antrhopic, Gemini 1.5 Pro from Google, Llama 3.1 Large from Meta, Grok 2, Flux Pro from xAI and others.

The accepted cryptocurrencies and blockchains for payments are Nano (XNO), Monero (XMR), Base, Polygon (POL), Optimism (OP), Arbitrum (ARB), Litecoin (LTC), Bitcoin Cash (BCH), Solana (SOL) . , Circle USD (USDC), Dash (DASH), Dogecoin (DOGE), Banano (BAN), Bitcoin (BTC), Ethereum (ETH) and Tether USD (USDT).

NanoGPT’s AI Crypto Payments Breakdown

Notably, Nano leads the way in the number and volume of crypto payments with a dominance of 77.8% and 51.35%, respectively. The “OG” cryptocurrency is the AI ​​Hub’s favorite and offers a 5% discount when selected as a deposit method.

“With many other coins there are always fees and often waiting times” Milan de Reede, the inventor of NanoGPT, told Finbold exclusively. “With Nano, on the other hand, it just feels really good to send it and have it confirmed immediately without any fees.”

Monero is the second most used cryptocurrency for payments on the AI ​​platform, despite being the most recent addition. XMR has experienced remarkable growth, which NanoGPT says is due to its privacy experience that aligns with the platform’s values ​​and mission.

Then BTC is in third place by volume, while BCH occupies this position by number of payments and fourth by volume. Interestingly, this reflects a user’s behavior depending on the cryptocurrency used, preferring a higher or lower value for each payment made.

Why is Nano (XNO) a leader in AI pay-per-use crypto payments?

It is noteworthy that despite having a far lower market cap and overall penetration than the other cryptocurrencies, XNO dominates users’ spending preferences in the AI ​​pay-per-use platform.

Speaking to Finbold, de Reede explained that in addition to Nano’s payment efficiency, the small-cap cryptocurrency also has other notable qualities. “It’s probably a combination of the fact that (XNO) was the first coin we supported and therefore spread widely in the Nano community,” he added.

“The reason we like Nano so much, despite its small market cap, is that it is unrivaled as a medium of exchange with no fees and instant confirmations, but also that we believe it could fundamentally be the strongest store of value possible.” not factored into market cap at all, but Nano is a fixed offering and has game theory that actively incentivizes decentralization. We believe in this more than any other cryptocurrency.”

– Milan de Reede, to Finbold

Currently, Nano is trading at $1.45, up 33.5% year-to-date despite hitting a local high of $1.85 in March. Furthermore, XNO is up 97% from a local low of $0.736 in August, which is still under a capitalization of $200 million.

Moving forward, Finbold will continue to monitor crypto payment data from NanoGPT, competing AI pay-per-use platforms and other services. Analysts like Alex Becker believe that “utility altcoins” are the “easiest and safest” investment in what experts believe will be “the mother of all bull markets” or “the biggest crypto bull market of all time.”

Featured image from Shutterstock.