Imperial College London Partners with FluidAI to Address Liquidity Issues in Crypto Markets
Imperial College London has teamed up with fintech startup FluidAI to tackle the fragmented liquidity problems in the digital asset market. The collaboration aims to leverage advanced artificial intelligence (AI) technologies to rectify inefficiencies and improve stability in the crypto sector.
Key Points:
- Liquidity issues in the crypto markets lead to high volatility, price slippage, susceptibility to market manipulation, and flash crashes.
- Traditional markets like equities have established infrastructures and settlement systems, while the decentralized nature of crypto lacks low-latency technology.
- FluidAI’s CEO, Ahmed Ismail, highlights the global financial challenge of liquidity aggregation in the crypto space.
- AI can help eliminate latency through prediction, ensuring optimal bid and ask prices in the market.
- Imperial College London’s AI lab, I-X, will collaborate with FluidAI to enhance the tokenized market for institutions, trading platforms, and retail investors.
This partnership, which is partially funded by cryptocurrency, is the world’s first-known AI collaboration at a globally recognized university. The UK government’s £100 million investment plan for AI chip development further emphasizes the commitment to advancing AI capabilities.
Hot Take:
The partnership between Imperial College London and FluidAI holds immense potential for improving the efficiency and stability of digital asset trading. By leveraging AI technologies and addressing liquidity issues, this collaboration could benefit a wide range of stakeholders in the cryptocurrency domain.