Stargate cryptocurrency experiences 13% surge after OpenAI reveals $500 billion AI project

Stargate Finance’s token experienced a 13% surge after OpenGate revealed an AI mega-project named “Stargate” involving SoftBank, Nvidia, and Oracle.

Stargate Finance’s token (STG) has surged by up to 13% in the last 24 hours, as reported by data from crypto.news. The token is currently trading at $0.38. However, the token has seen a decline of 6% in the past week and more than 13% in the last two weeks.

This sudden increase occurred shortly after OpenAI, SoftBank, MGX, and Oracle announced their plan to establish an AI-focused venture named “Stargate.” The Stargate Project is an initiative to invest $500 billion in developing AI infrastructure primarily in the U.S., according to a joint statement by OpenAI and SoftBank.

Despite no direct connection to OpenAI’s project, Stargate Finance’s trading volume increased by 53.10% to $54 million in the last 24 hours, indicating a substantial rise in market activity. Stargate Finance currently has a market cap exceeding $75 million and a fully diluted valuation of $370 million.

Stargate Finance operates as a liquidity transport protocol within the omnichain DeFi. The platform enables users and dApps to conduct crypto transfers across different blockchains, functioning as a cross-chain bridge. The STG token of Stargate Finance was launched in March 2022 and is listed on Binance, MEXC, and WhiteBIT.

OpenAI to launch Stargate Project with major industry players

According to the official statement by OpenAI and SoftBank, the project’s partners will kick off the $500 billion Stargate initiative by deploying an initial $100 billion immediately.

While SoftBank will oversee the project’s financial aspects with its CEO serving as Stargate’s Chairman, OpenAI will handle operational responsibilities, utilizing the funds to develop AI infrastructure integrated into the system.

OpenAI and SoftBank wrote in a joint statement, “This project will not only support the re-industrialization of the United States but also provide a strategic capability to protect the national security of America and its allies.”

Other companies involved in the project include Microsoft, NVIDIA, Oracle, and MGX. The initial site for the project will be in Texas, with considerations for future campuses across America.

Oracle, NVIDIA, and OpenAI will collaborate to build and operate AI infrastructure within the Stargate Project. OpenAI also plans to involve Microsoft’s Azure for training AI models and other services as part of their ongoing partnership.