Spectral (SPEC): Expanding the Capabilities of Blockchain With AI
Many niches within the blockchain industry, particularly the decentralized finance (DeFi) sector, make extensive use of oracles β software that feeds data into smart contracts and web3 applications to update and track prices, verify off-chain data and enable a variety of cross-app communication activities. So far, the use of blockchain oracles has been limited to supplying only raw data.
Spectral is an innovative decentralized project. It champions the idea of oracles that provide not just data, but insights and inferences from artificial intelligence (AI) and machine learning (ML) models. Read on to learn about Spectral's innovative combination of AI and blockchain.
Key Takeaways:
Spectral is a decentralized platform whose flagship product, Spectral Nova, provides access to inferences from AI and ML model computations.
The Spectral platform also features a generative AI tool, Spectral Syntax, that produces smart contract programming code in the Solidity language based on textual prompts.
Spectral's native token, SPEC, powers its ecosystem and gives its holders governance capability. SPEC can be bought on Bybit as a Spot pair or USDT Perpetual contract.
What Is Spectral Crypto?
Spectral (SPEC) is a decentralized platform that offers two core products β Spectral Nova, a network of AI and ML models that can feed inferences and insights from their computations into blockchain smart contracts and apps, and Spectral Syntax, a generative AI tool that lets you easily create smart contract programming code based on textual prompts.
Thanks to the Spectral Nova platform, blockchain smart contracts can accept not only data but also inferences β i.e., results and solutions of AI and ML algorithm computations. These AI and ML algorithms are contributed by data scientists who receive crypto rewards for their contributions. The models are stored and shared in a decentralized way, and their integrity and quality are ensured through the work of special Validator and Creator nodes on the network.
Spectral Syntax allows you to generate production-ready code in the Solidity programming language for smart contracts that automate various activities, such as token creation and distribution, asset transfers and other common web3 operations.
How Does Spectral Work?
Spectral Nova (Machine Intelligence Network)
Spectral Nova's concept is somewhat similar to a decentralized marketplace that brings together creators and consumers of AI and ML models. However, the network's setup is a tad more intricate than the simple dualistic provider-consumer relationship. There are four different actors on Spectral Nova, each with its own unique role.
Creators:These entities are web3 companies that establish AI/ML benchmarks, create competitive challenges and determine reward levels and quality standards for model solvers. They earn a share of revenues from the consumption of AI/ML model inferences to the challenges they set.
Solvers:These actors computationally solve the challenges set by Creators to generate final model inferences, i.e., finalized insights or solutions that model consumers can utilize in their applications and smart contracts. They earn the main share of revenues from the consumption of AI/ML solutions.
Validators:The job of the Validator nodes is to verify that models and the inferences generated from them work as intended, without fraud or inconsistencies. A key function of Validators is to ensure that the models submitted by Solvers meet the benchmarks set by Creators. Spectral Nova Validators utilize machine-learning zero-knowledge (zk) proofs, called zkML proofs, submitted by Solvers to validate AI/ML models without revealing their actual code. This protects the intellectual property (IP) rights of model Solvers, an important consideration given that the Solvers compete on a publicly accessible network to earn revenues from their solutions.
Consumers:This is the end-user group, the actual consumers of finalized model inferences. Typically, these actors are web3 operators who utilize model inferences within their apps and smart contracts. They pay for access to the inferences, and the revenues generated from their payments are distributed to the other three actor groups.
Spectral Syntax
Spectral Syntax is a generative AI tool that lets you easily create smart contract programming code using textual prompts. The Syntax tool has been optimized based on a range of large language models (LLMs). In some ways, Spectral Syntax is quite similar to the ubiquitously popular ChatGPT.
The key difference is that ChatGPT is a general-purpose tool, whereas Spectral Syntax has been optimized to assist developers by generating high-quality code in the Solidity programming language β the default language used for smart contract development on Ethereum (ETH) and a number of other Ethereum virtual machine (EVM)-compatible blockchains. Developers can test and edit the code before directly deploying it on-chain via Spectral Syntax.
The Spectral Syntax tool is primarily intended to help create AI-based, autonomous on-chain agents, software modules that automate some functionality or process within a web3 app or even a blockchain wallet. Thanks to the use of AI algorithms, these agents can incorporate functional details that ordinary smart contracts might not be capable of β e.g., learning and adapting based on experience or user input, or utilizing predictive analytics and forecasts.
AI agents created using Spectral Syntax are envisioned to be hosted on a dedicated decentralized network, InferChain, slated for initial release in Q4 2024 with mainnet launch planned for 2025.
Spectral's Web3 Vision
While Spectral's AI/ML models and inferences can be applied in various areas and industries, there's one specific area of focus for the project team: DeFi β or, more specifically, DeFi-oriented credit risk assessment. Spectral envisions a future web3 world where all actors (e.g., individuals, borrowing and lending protocols, and other entities involved in crypto financing operations) have credit scores based on their on-chain activities.
Naturally, such a decentralized credit score is unlikely to be reliably computed the way it's done in traditional finance. Spectral proposes a credit scoring system for web3 that will help derive on-chain scores of creditworthiness. Using this system, all on-chain actors will have an equivalent of the traditional FICO score. The scoring will be based on variables such as on-chain transactional activity, verifiable ML computations and zkML proofs, decentralized credit modeling and so on.Β
By proposing an on-chain equivalent of the credit risk infrastructure that traditional finance institutions have used for decades, Spectral hopes to improve capital efficiency and the flow of digital assets in the DeFi industry and to introduce safer lending and borrowing practices.
Spectral's interest in creating such a programmable creditworthiness ecosystem isn't unusual β predictive analytics based on AI and ML algorithms are already widely used in the finance industry for credit risk analysis β and the project hopes to leverage its focus on AI and ML inferences in this area.
What Is the SPEC Token?
Spectral's native cryptocurrency is SPEC, an ERC-20 token extensively used throughout the platform's ecosystem for a variety of functions, including the following:
Governance: Certain holders of the SPEC token are entitled to participate in on-platform governance processes. These include users building AI agents on Spectral Syntax, as well as Creators and Solvers on the Spectral Nova network.
Staking: By staking SPEC, users of Spectral Syntax can access elevated agent creation and monetization rights. On Spectral Nova, Validators are required to stake a certain amount of SPEC in order to participate in the network, and consumers of model inferences can also stake SPEC to unlock fee discounts.
Payments to access services offered by Spectral: For example, using AI agents on Spectral Syntax requires payment in SPEC tokens.
SPEC's total and maximum supply are 100 million. As of May 14, 2024, itβs trading at $9.54.
Where to Buy the Spectral Crypto Token (SPEC)
You can trade the SPEC token on Bybit as a Spot pair (SPEC/USDT). If you donβt have a Bybit account, you can easily register for one to access a vast range of crypto products and assets.
You can also take advantage of Bybit's campaign (running from May 6 to May 17, 2024 at 9AM UTC) dedicated to the SPEC token to grab a share of the 150,000 USDT prize pool. The campaign is split into two parts: the first is a 100,000 USDT prize pool Deposit to Earn event thatβs exclusive to new users, while the second lets you earn from a prize pool of 50,000 USDT by trading SPEC.
Closing Thoughts
To say that AI models are taking the world by storm is probably an understatement. Spectral, with its specialization in AI and ML inferences and their practical applications, stands to greatly benefit from this development. The platform's Nova product is essentially the first web3 oracle that feeds ready-to-use AI inferences, not just raw data, into decentralized apps (DApps) and smart contracts. This can potentially take smart contract functionality to a new level β from rule-based computations to AI-powered smart decisions. Thanks to Spectral Nova, we might soon think of blockchain smart contracts as intelligent and self-learning agents.
Spectral Syntax is also a unique product β the first AI-based tool specifically trained to generate production-quality Solidity code for AI agent development. With its duo of novel products, the Spectral platform is a worthy addition to the emerging industry sector at the intersection of AI and blockchain.Β
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