Arbitrum, the highly anticipated partnership of the layer 2 network with Nvidia collapsed. This has sent undulations through crypto and technology communities
Everything was planned for an important step – joining the AI ignition accelerator program of Nvidia. With this partnership, the Pouthe-2 network would become the Go-to-Blockchain for AI projects developing as part of the NVIDIA program.
The AI of ignition accelerator program launched in May 2024 provided intermediary startups with high full support potential. Arbitrum wanted to entrust these startups to help them build a decentralized infrastructure.
However, according to the latest Arbitrum-Nvidia update, the partnership failed.
The partnership was initially considered a historical collaboration between the scalability of blockchain and AI. And now, the termination of the Alliance highlights the continuous divergence between the world of traditional technology and the rapidly evolving Web3 ecosystem.
Why did the Nvidia-Arbitrum partnership failed
Brandtalk Alaways aims to provide you with factual reports, so the fact is that there was no direct partnership between Nvidia and Arbitrum.
The collaboration was to occur between the Nvidia ignition program, the acceleration program and arbitrum.
In the press release On April 25, the program published a clarification declaration. He revealed that it was an arbitrum foundation that had asked to withdraw from it. He said it was not “Nvidia” or his sustained program that has snubbed the partnership.
It is important to note that the AI accelerator of ignition is a four -month program based on a cohort which selects up to 15 AI startups at high potential. Eligible candidates must demonstrate a clear vision of AI -focused products and a unique technology meeting the needs of the real world. Applications are open to founders of new AI startups or AI tracks of existing companies.
It clearly mentions in its eligibility criteria that certain types of projects are excluded from demand.
These are:
- Cryptocurrency / blockchain projects,
- consulting or outsourcing companies,
- Cloud service providers,
- Resellers or hardware / software distributors, and
- listed companies on the stock market.
Market reaction
Arbitrum (ARB) briefly fell 2.77% to negotiate $ 0.3,436, reflecting an initial investor decline in the Fall Out News partnership.
Despite this drop, some markets saw Arb Rallye about 5% in the next 24 hours. It oscillates nearly $ 0.34 while traders bet on the pivot of arbitrum to other partnerships and chain resilience.
For the broader impact of cryptography, Ethereum remained stable around $ 1,810. There is a possibility of an imminent crash while Ethereum whales pour the 63K parts.
In response to the rupture, several small cryptography projects focused on AI have also experienced a modest bump of the prices of tokens. These include Fetch.ai and Ocean Protocol, because investors turn to bet on native web 3 players to fill the void.
Do web companies 3 require a giant technology partnership
Arbitrum's reported decision to leave the partnership has not yet been revealed.
However, the arbitrum-nvidia rupture highlights the growing pain in the web industry3 while seeking to collaborate with the giants of established companies.
He recalls that the values of traditional societies can be in contradiction with the ethics of decentralization of web3.
In addition, the incident revives an ongoing debate: can decentralized AI infrastructure evolve effectively without worrying about the giants of centralized technology?
Many in the cryptographic community argue that decentralized AI must be built independently. It should take advantage of open source communities rather than corporate partnerships.
Warning: The content may include the personal opinion of the author and is subject to market conditions. Do your market studies before investing in cryptocurrencies. The author or publication does not hold any responsibility for your personal financial loss.
