TechFlow Insights
Upshot is building a decentralized artificial intelligence network designed to create efficient financial markets for anything.
Upshot uses decentralized artificial intelligence and machine learning (ML) to build, extract, and generate Alpha among participants. It provides a formal way for participants who wish to use AI predictions to access outputs from state-of-the-art on-chain machine learning models, while paying operators of the AI/ML nodes that create these predictions. In this way, the Upshot Machine Intelligence Network (MIN) bridges the information gap between data owners, data processors, AI/ML predictors, market analysts, and end users or consumers capable of acting on these insights.
Participants in the Upshot system are divided into:
Workers: Create machine learning models to predict certain target variables and broadcast their predictions peer-to-peer, enabling all peers to evaluate each other's predictions and use these models to update their own forecasts.
Reputers: Rate the accuracy and quality of each Worker's output, thereby performing model validation and scoring.
Consumers: Submit Alpha queries to the Upshot network and pay reward fees to the network to fulfill their requests.
The Upshot network is powered by its novel Proof-of-Alpha consensus mechanism. Proof-of-Alpha is the core consensus and reward mechanism that powers the network. It quantifies Alpha information sources generated by all network participants and distributes rewards based on the amount of useful information they contribute.
On March 22, 2022, UpShot completed a $22 million Series A2 funding round.
