Neural AI ($Neural) - 3D AI Rendering

Generative AI for crafting 3D assets for video games

Author

Kyle Barnoff
June 10, 2024

When I first saw Neural AI, I immediately thought, “greaaaaat, another recycled AI crypto….” NOPE! The project creates 3D models of objects and landscapes from text prompts. While geared towards gaming, this project can save any 3D gen developer hundreds of thousands of dollars, and open up development to smaller teams. Theoretically, this will also speed up development of projects in need of 3D renderings.

Age: 2 months (launched March 25th 2024)

  • Recently incorporated as Primed Labs LTD in UAE (crypto friendly)

Current Market Cap: $28,000,000

Circulating Supply: 8,423,000 (84%)

Total Supply: 10,000,000

Whale Holdings (> 5%): 0

What is Neural AI?

  • 3D rendering from text

    • A specialized LLM that creates 3D environments for various needs

    • Spits out 3 samples which you can choose to create a full model out of

    • Partnership with Bitensor (will have their own official subnet for rendering 3D environments)

  • 2D image → 3D rendering

    • Have an image you want to extract to 3D? Just upload the image!

Products & Revenue

  • 3D rendering

    • Free Tier

      • 5 models a day

    • Creator Plan (750 $Neural)

      • 50 models per day

    • Studio Plan (~5,000 Neural)

      • unlimited models each day

  • 3D game assets marketplace

    • Basically, an app store for 3D assets for developers to purchase

  • GPU streaming (future product)

    • Allow individuals with minimal graphics cards to stream on their computer

  • 400 Bittensor tokens

    • Owning shares of Bittensor is great

3D Rendering Sample:

My prompt: “Create a tesla car in the form of optimums prime”

You weren’t expecting graphics-designer quality rendering, were you?

This rending is from “Free Tier”. Reminds me of graphics from 007 on N64 for some reason. I think the original Crazy Taxi had better graphics. Project is still young, but hopefully the paid tiers are better.

They do appear to have a classification system to make organizing objects easy for game development. It is nice to see them providing solutions for a target customer.

Tokenomics

  • Low total supply -10 million tokens

    • Favorable holders distribution

  • Lock-ups

    • 10% allocated to KOLs

      • Half has been paid out as of 6/7 on a 3 month vesting schedule

  • This project has mild contract concerns (is not renounced)

    • Whitelisted wallets - may be begin, but can be used to prevent certain wallets from transacting on a chain

    • Tax changes can be made, this can be beneficial, allowing the taxes to be decreased, or abused to lock investor’s equity (aka increase taxes to 100% to prevent sellers from extracting their equity) - join the community to make sure you trust the team before investing

Clear and transparent launch Tokenomics

Team & Community

  • Team appears undoxxed from my research, but they do claim to have significant experience in AI (LLMs, etc) and in tech start-ups

Financial Partners

  • None known

Catalyst

  • Multiple partnerships

    • Bittensor sub-net in progress (GPU rental)

      • Holds Bittensor

    • Akash (GPU rental)

    • BonsAI3 (no-code Web 3)

  • Token used for transactions on the network

  • Gaming was a late market bull last cycle

    • Gaming Studio market is $1.3 billion today, projected $4.5 billion by 2030

Downsides

  • Team not doxxed

  • Some contract concerns

    • Whitelisting

    • Tax editing possible

  • Limited TAM (aka limited money looking for solutions compared to other niches)

Scores, Market Cap & Conclusion

Team is not doxxed, which hurts it’s reputation score. There is a lot of upside from solving a market need here, but because of the limited TAM, Speculative Potential also takes a hit.

I could see this project hitting $250 million this cycle, but place a higher market cap as unlikely.

I think this project is solving an absolute need in the market, but there is a lot of Web 2 competition out there. That said, there is a strong Web 3 gaming community that would be interested in using a decentralized approach. Traditional gaming studios get a 1x - 10x multiple on their revenue, which I could see reaching 25x for a crypto project in a bull cycle. That in combination with their ability to secure partnerships and build a good community, shows some significant promise for this project.

Therefore, I think this project can offer a good return this cycle, although a $1.5 billion market cap is probably an absolute ceiling for them and unlikely. I am not going to invest in the project yet, because I know there is some competition out there and I’d like to understand the competition’s product quality is first.

Also keep in mind that because this is a micro cap, has a couple audit risks and an undoxxed team, this project is risky to get into. As always, this is educative and not personalized investment advice for you. 

*This content is not intended to be personalized financial advice for the reader