USD. AI’s CHIP token market cap reaches $135.7 million

The market capitalization of USD. AI’s CHIP token rose significantly in October, reaching approximately $135.7 million by October 11. This represents a substantial increase from its $85.2 million valuation at the start of the month.

Trading activity for the token accelerated, with daily volume hitting $52.7 million on October 11. The price saw a 24-hour increase of over 34% during certain intraday readings. USD. AI operates as a permissionless lending protocol designed to finance artificial intelligence infrastructure using GPU hardware as collateral.

David Choi, CEO of USD. AI, has proposed a ‘commit-and-compound’ model for the ecosystem. Unlike the common ‘buyback-and-burn’ approach used by many crypto protocols, this model suggests that an operating company could buy and hold CHIP to increase its share. CHIP serves as the protocol’s governance and utility token, allowing holders to vote on matters such as interest rates, collateral standards, and protocol upgrades.