Grok token saw a dramatic surge of 82% on Sunday following Elon Musk’s confirmation that the Grok 3 AI chatbot will officially launch on Monday.
At the time of writing, the token was priced at approximately $0.005579, with a market capitalization nearing $35.5 million.
Grok 3, developed under Musk’s tech startup xAI, is set to debut at 8:00 PM Pacific on Monday. Musk, who leads xAI in addition to his roles at Tesla, SpaceX, the Boring Company, and DOGE (Department of Government Efficiency), took to X (formerly Twitter) to promote the upcoming release. He proudly declared that Grok 3 is “the smartest AI on Earth.”
Entering a Competitive Arena
The launch of Grok 3 places it in direct competition with established players in the AI chatbot space, including OpenAI’s ChatGPT and Google’s Gemini. It also faces a growing challenge from China’s DeepSeek, a cost-effective AI startup that caused a significant stir in the tech sector just weeks ago.
Despite the pressure, Grok 3’s debut has the backing of Musk’s xAI, which has attracted substantial investment, including $6 billion from major backers such as Nvidia, AMD, and state funds from Saudi Arabia and Qatar. However, it remains an underdog compared to OpenAI, which recently turned down Musk’s $97.4 billion buyout offer.
The Grok Token Phenomenon
Musk’s influence also carries certain risks. In November 2023, several GROK-copycat tokens appeared shortly after Musk’s announcement that xAI would unveil its first AI model. These tokens saw an astronomical spike, soaring by over 30,000% in a short period, though many were deemed speculative.
Musk’s controversial public comments, along with political endorsements that resonate with some groups, have polarized opinions. Despite this, xAI continues to make waves in the tech world. According to Bloomberg, the company is valued at $75 billion and is currently seeking an additional $10 billion in venture capital.
As Grok 3 gears up for its launch, it will be closely watched not only for its technological capabilities but also for the impact it may have on both the cryptocurrency market and the AI industry at large.
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