Fetch.AI (FET) Sees 10.8% Drop After ASI Token Merger Delay Announcement

• The Artificial Superintelligence Alliance (ASI) has announced a delay in its anticipated token merger.
• This merger involves Fetch.AI (FET), SingularityNET (AGIX), and Ocean Protocol (OCEAN), which saw a significant drop due to the news.
• Notably, AI tokens have faced a collective drop following the announcement, highlighting the immediate market reaction.

ASI postpones its highly anticipated token merger, impacting major AI blockchain projects and market prices. Learn about the reasons behind the delay and its effects.

ASI Token Merger Delayed Until July

In March, Fetch.AI, SingularityNET, and Ocean Protocol, pioneers in AI blockchain integration, announced a plan to consolidate their tokens into a unified ASI token. This strategic move aims to decentralize AI development and broaden tech accessibility.

On Tuesday, the ASI alliance disclosed a postponement for the token merger, shifting the date from June 13 to July 15, 2024. The delay is attributed to logistical and technical dependencies that require additional time.

The intricate process of the ASI token merger necessitates meticulous handling of numerous integrations. To ensure smooth execution and stakeholder satisfaction, the alliance deemed the delay a “strategic decision.”

Humayun Sheikh, CEO of Fetch.AI and Chairman of ASI, reassured stakeholders that the delay does not hinder their progress towards creating a decentralized superintelligence network.

“This temporary delay does not impact the substantial progress we have made towards creating a decentralized superintelligence network. Our teams are actively working with centralized exchanges to finalize the remaining steps. We appreciate the continued support and patience of our community and stakeholders as we work through these final logistical steps,” Sheikh stated.

Ben Goertzel, CEO of SingularityNET Foundation, also commented on the progress and the significance of their ongoing integrations, highlighting his enthusiasm for the milestone they aim to achieve in July.

“The finalization of the 3-way tokenomic merger on July 15 will be a major milestone, and we anticipate a series of progressively more exciting milestones after that as we leverage our $ASI token-based network to move toward increasingly capable AI systems and in time actual superintelligence,” said Goertzel.

Market Reaction to Merger Delay: FET, AGIX, and OCEAN See Decline

Following the merger delay announcement, the market saw a swift negative response. SingularityNET’s AGIX token experienced an 8.9% drop, trading down from $0.7035 to $0.6404 on Tuesday, although it began to recover by early Wednesday, trading at $0.6819.

Ocean Protocol’s OCEAN token followed a similar trend, dropping by 8% from $0.7156 to $0.6576, before slightly rebounding to the $0.68 level. Meanwhile, Fetch.AI’s token, FET, underwent the steepest decline, plummeting 10.8% from $1.66 to $1.48. It later stabilized, trading above $1.62, which represents a 3.1% drop from Tuesday’s levels.

Crypto analyst Altcoin Sherpa remarked on FET’s performance, noting the sharp drop as a reminder of market volatility and suggesting that the dip may present a buying opportunity, although it remains uncertain if it represents the true bottom.

Despite the initial drop, the tokens have seen a rebound. FET is now trading above $1.70, a 6.7% increase over the past hour and a 4.4% recovery from the previous day. AGIX and OCEAN have also risen by 5.7% and 5.5%, respectively, over the last hour, marking a modest recovery following the merger delay news.

Conclusion

The postponement of the ASI token merger underscores the complexities involved in integrating leading AI blockchain projects. While the delay caused an immediate market reaction with notable value drops in FET, AGIX, and OCEAN tokens, subsequent recoveries indicate resilient market confidence. As the alliance prepares for the rescheduled merger, stakeholders and investors are advised to stay informed and patient, as significant milestones approach in the coming months.