Decentralized AI could be ‘bigger than Bitcoin’ — DNA Fund CEO Chris Miglino

Decentralized AI Poised to Outshine Bitcoin, Says DNA Fund CEO

Chris Miglino, CEO of DNA Fund, believes decentralized artificial intelligence (AI) could surpass Bitcoin’s transformative impact. In an interview with Cointelegraph at the Consensus conference in Toronto, Canada, Miglino highlighted ecosystems like Bittensor (TAO) as key drivers of this shift, redefining venture capital models and fostering innovation without centralized gatekeepers.

DNA Fund’s Deep Dive into Decentralized AI

Decentralized AI—systems developed and deployed across distributed networks rather than centralized authorities—is the cornerstone of DNA Fund’s strategy. Miglino emphasized that this paradigm is “consuming everything we’re doing” at DNA House, the firm’s innovation hub. DNA Fund, co-founded by Miglino alongside blockchain pioneers Brock Pierce and Scott Walker, manages five funds, including a high-yield fund, an algorithmic trading fund, a liquid token fund, a venture fund, and a flagship AI compute fund focused on decentralized AI infrastructure.

Miglino’s bold claim that decentralized AI could be “bigger than Bitcoin” reflects its potential to reshape industries. While Bitcoin’s $2.1 trillion market cap and status as the first decentralized monetary system set a high bar, Miglino argues that AI’s societal impact could be even greater, with projections suggesting it will become the most valuable tech sector by the 2030s.

Bittensor: A Catalyst for Innovation

DNA Fund is heavily invested in Bittensor, an open-source, decentralized machine learning network. Miglino highlighted the firm’s $50 million commitment to Bittensor’s ecosystem, particularly its AI compute fund, which supports the network’s subnets—specialized, incentive-driven marketplaces for AI and machine learning applications. These subnets allow developers to launch projects without relying on traditional venture capital, attracting community support through validators and miners. “Develop on the ecosystem, get validators who believe in your idea, and suddenly you’re in business,” Miglino said.

Bittensor’s model aligns with the broader vision of decentralized AI, enabling developers to bypass institutional funding and build directly on the network. This approach, Miglino argues, democratizes innovation, much like Bitcoin disrupted centralized finance.

A Paradigm Shift in Venture Capital

Decentralized AI platforms like Bittensor are challenging traditional venture capital by enabling organic growth through community-driven staking and liquidity. This shift empowers developers to launch businesses without navigating institutional barriers, fostering a merit-based ecosystem. Posts on X echo this sentiment, with users like

@EdGeraldX

 noting that Bittensor’s $TAO token is fueling a new growth engine for decentralized AI.

The idea isn’t new—AI pioneer Ben Goertzel recognized the need for decentralized AI in the 1990s, long before coding his first AI system. By decentralizing data and compute resources, platforms like Bittensor aim to counter Big Tech’s dominance, offering transparent, open-source alternatives to centralized AI models.

Challenges and Opportunities

Despite its promise, decentralized AI faces hurdles. Scalability, user accessibility, and regulatory uncertainties remain challenges, as seen in broader blockchain ecosystems like Bitcoin and Ethereum, where mining and staking have concentrated over time. Critics also question whether decentralized AI can compete with Big Tech’s resources, though innovations in open-source models and cost-effective compute suggest viability.

DNA Fund’s commitment, including its recent acquisition of Coral Capital to bolster Web3 and AI investments, underscores its belief in decentralized AI’s potential. Miglino’s vision aligns with industry leaders like DCG’s Barry Silbert, who called decentralized AI a “generational opportunity.”

The Road Ahead

Decentralized AI could redefine how technology and finance intersect, offering a transparent, inclusive alternative to centralized systems. As DNA Fund doubles down on ecosystems like Bittensor, the industry watches closely to see if this vision can indeed eclipse Bitcoin’s legacy. For now, Miglino’s bold prediction fuels optimism for a decentralized future where AI empowers innovation without gatekeepers.