KIP Protocol

"Concentrated power isn’t just a problem for markets. Relying on a few unaccountable corporate actors for core infrastructure is a problem for democracy, culture, and individual and collective agency. Without significant intervention, the AI market will only end up rewarding and entrenching the very same companies that reaped the profits of the invasive surveillance business model that has powered the commercial internet, often at the expense of the public."


Unlike other technologies, AI operates on complex networks and data patterns that are often inscrutable, even to their creators. This inherent unpredictability and lack of transparency make monopolistic or oligopolistic control of AI, uniquely dangerous, with more profound and far-reaching implications than monopolies in other technological domains.

1. Pervasive & Potent Influence: AI algorithms, especially those driven by machine learning, have the capability to shape opinions, behavior, and decisions on a massive scale. This influence extends to areas such as social media, where personalized content recommendations can amplify echo chambers and polarize societies.
2. Autonomous Self Improvement: AI systems designed with the ability to learn and adapt autonomously is predicted to quickly surpass human capabilities in unforeseen ways. The danger emerges when AIs prioritize a narrow set of corporate interests over those of everyone else. The risk of unintended consequences and the difficulty in predicting AI behavior become particularly pronounced as these systems evolve independently.
3. Irreversible Data Assimilation: As AI systems continuously assimilate and process personal and sensitive data, this information and data becomes inseparable from AI models and algorithms. This poses privacy concerns, as data breaches or misuse of integrated information can have far-reaching consequences for individuals. Moreover, the permanence of data integration may lead to a loss of control over one's personal information and intellectual labour.
4. Regulatory Capture: Powerful tech companies with vast AI capabilities are already exerting undue influence over regulatory bodies and policymaking. These companies can shape regulations in their favor, potentially stifling competition and innovation, at a time when the industry is still nascent.

While many look to government regulation as the logical response to monopolistic practices, it comes with its own set of challenges.
The risk of regulatory capture is extremely high, as powerful AI entities gain undue influence over policy-making, prioritizing their interests over public welfare and that of smaller players.
Indeed the most likely result is that regulations will really only affect smaller entities who cannot navigate the complex regulatory landscape as efficiently as larger companies, further stifling competition.

Whether the specific interface of a given AI app makes this clear or not, AI works on a pay-per-query model, with monthly subscriptions being a reflection of the average monthly queries per user (usually API subscriptions make this clear, while web-client users pay a standard monthly fee).
As users make queries to an AI app, credits are spent as the the app interacts with AI models and Knowledge Assets to fulfill the query. These credits are an economic representation of used GPU computing power, plus the other costs and margins of the model developer/provider. Compute providers, model designers, and shareholders all get a share of these revenues, but the providers of the data upon which the entire edifice is built do not.
We are building a Web3 protocol in which all AI stakeholders and value creators like Knowledge Asset owners can interact and exchange fair economic value when serving AI users.


KIP Protocol is an open source Web3 framework designed to facilitate the creation, management and monetization of decentralized Knowledge Assets for AI applications, to kickstart KnowledgeFi.
KIP Protocol empowers AI value-creators to connect up their expertise - whether this lies in data production, model training, app design or elsewhere - and enjoy transparent accounting and revenue shares.
Under this system, each component is wrapped in a ERC-3525 Semi-Fungible Token (SFT), allowing for easy, low-gas transfers of economic value between the components in real time, users interact with them.
The $KIP token serves as an accounting unit as well as the core transaction currency of the protocol.

source : https://blog.kip.pro/
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