Numerai has given 12,000 tokens of its cryptocurrency, Numeraire, to its one million data scientist contributors to encourage them collaborate on creating and running an artificial-intelligence hedge fund. The currency is linked to the value generated by the fund, and its use is expected to produce a network effect of more collaboration and participation. Previously scientists were paid in bitcoin, which turned out to discourage collaboration as individuals had no incentive to bring others in to work on the system for fear of increasing competition for a finite pool of rewards.
Numerai has given one million tokens of its cryptocurrency, Numeraire, to its 12,000 data scientist contributors to encourage them collaborate on creating and running an artificial-intelligence hedge fund. The currency is linked to the value generated by the fund, and its use is expected to produce a network effect of more collaboration and participation. Previously scientists were paid in bitcoin, which turned out to discourage collaboration as individuals had no incentive to bring others in to work on the system for fear of increasing competition for a finite pool of rewards.