Crypto-AI startup GAIB has raised $5 million in a pre-seed funding round led by Hack VC, with co-leads Faction VC and Hashed, the company announced on Tuesday. Other notable participants included Spartan, Animoca Brands, MH Ventures, Aethir, Near Foundation, Chris Yin of Plume Network, and Lucas Kozinski of Renzo Protocol.

Founded in June 2023 by Kony Kwong, GAIB aims to revolutionize AI computing by tokenizing GPU assets, a crucial resource for training and running AI models. The platform’s goal is to make AI computing more accessible and to unlock liquidity for traditionally illiquid GPU assets. Kwong, who also serves as a venture partner at L2 Iterative Ventures, previously worked as an investment analyst on Huobi Global’s strategic M&A team.

Kwong explained that the inspiration for GAIB came from the growing demand for scalable AI compute resources. He said the startup seeks to lower barriers for investment in the GPU economy, allowing both individuals and institutions to participate without managing physical hardware or complex infrastructure.

GAIB plans to enable AI cloud companies to “stake” GPUs, which will then be tokenized into fungible assets. These tokenized GPUs will allow investors to earn yields, participate in DeFi applications, and explore financial products such as GPU-backed stablecoins and futures.

Kwong described GAIB’s mission as critical in the AI era, stating that the platform will integrate GPU, AI, and financialization to transform how computational resources are accessed and leveraged.

GAIB has already completed its prototype and plans to launch a pilot version later this month, with an alpha product launch within two months. The platform will deploy on multiple blockchains, including Ethereum, Base, BNB Chain, and Optimism.

The startup, based in Singapore, currently employs 19 people and plans to expand its team to support marketing, operations, and R&D as it scales. Kwong confirmed that the GAIB token will follow the product’s release.

The funding round was structured as a SAFE (Simple Agreement for Future Equity) with token warrants. While post-round valuation details remain undisclosed, the capital will be used to expand GAIB’s engineering team, enhance its global supply chain, and develop AI training servers to showcase its technology.

GAIB joins a growing list of companies seeking to democratize access to AI computing resources, and its progress will be closely watched as the platform evolves in the coming months.