Smart Money Bets Big on AI-Powered Hedge Fund

Big things are happening in the world of finance. A hedge fund called Numerai just raised a lot of money. They got $30 million from some serious investors. This includes big university endowments. Now, the company is worth $500 million. That's a huge jump from just a few years ago. Numerai is not your typical hedge fund. They use AI and machine learning to make money in the stock market. They also have a unique way of working. Data scientists from all over the world compete in a tournament. They create models to predict stock market trends. The best models are used to make real trades. This isn't just any old fund. It's growing fast. In just three years, they went from managing $60 million to $550 million. Last year was their best yet. They made a 25. 45% return. That's pretty impressive. So, what's next for Numerai? With this new cash, they plan to hire more people. They want to grow their AI team and research. They also want to get more data scientists involved in their tournament. Plus, they're looking to expand their institutional products. Numerai uses a special cryptocurrency called Numeraire (NMR). It's part of their tournament. Data scientists stake NMR on their models. They can earn more or lose it based on how well their models perform. This ties the whole system together. It's a unique way to connect finance and blockchain.