About GAIB Part 3 — Financialization and Liquidity for AI Compute Future

As highlighted in Article 2, a liquid market for compute assets does not yet exist. Cloud / data centers face refinancing bottlenecks to scale faster and meet the exponentially growing demand, while average investors lack direct avenue to participate in the compute asset class. GAIB aims address these problems by building the first economic layer for AI compute, following a two-step approach:

1. Transforming GPUs and Their Yields into Financial Instruments
2. Fostering Liquidity and Building a Vibrant DeFi Ecosystem

In this article, we will dive into the product mechanism and market positioning of GAIB, unpacking how exactly GAIB merges real-world compute with on-chain markets, opening up new opportunities for investors, data centers, and liberating the trillion-dollar AI economy.

1. Financialization of Compute Assets

1.1 Off-Chain Yield Sources: GPU Financing

GAIB forms financing deals with reputable cloud operators and data centers worldwide. These deals come in three main forms:

• Debt Model: Operators pay interest on borrowed capital.
• Equity Model: Operators share a portion of GPU-generated revenue.
• Hybrid Model: Combines both interest and revenue sharing.

All agreements are backed by enterprise-grade GPUs (including NVIDIA H100s, H200s, GB200s, etc.) that are often reserved by clients for one to three years. Terms can be as short as three months (bridge financing) or up to three years, leveraging the high demand for GPUs to enable faster payback than typical debt or equity investments. Depending on the model, estimated gross yields range from 10–20% for debt deals to 60–80%+ for equity agreements.

Each financing arrangement undergoes strict due diligence using GAIB’s robust Credit Analysis framework. Loans are over-collateralized by physical GPUs and their service contracts, and in the event of default, GAIB and its underwriters can liquidate or continue operating these GPUs in partnership with strategic data center partners to protect investor capital.

GAIB also collaborates with decentralized compute platforms, such as Aethir, tokenizing on-chain revenue streams from compute providers. This partnership extends GAIB’s reach to both off-chain and on-chain sources of GPU yields.

1.2 Bridging Off-Chain and On-Chain: The Power of Tokenization

To unify these real-world yields with decentralized markets, GAIB will introduce an AI synthetic dollar named USDai (tentatively), which will be used as a currency in the AI era. USDai offers opportunities to capture the growth of AI infrastructure, which is critical to the AI growth and captures most of the values in the supply chain. Through constructing a diversified portfolio of tokenized GPUs and liquid assets like treasury bills, USDai offers great yield opportunities and liquidity, seamlessly linking the yield potential of physical compute assets with the efficiency of on-chain financial markets.

2. Unlocking Liquidity and DeFi Use Cases

GAIB’s commitment to building a dynamic DeFi ecosystem for tokenized GPUs sets it apart from other Real-World Asset (RWA) protocols. Beyond the high yields, relatively shorter terms, and robust liquidity of GPU-backed deals as the underlying assets, GAIB offers a wide spectrum of financial products and strategies via its own platform and integrations with major DeFi protocols. The potential utility of the token can be summarized as follow:

• Staking: Users can stake their tokens to earn native yields (e.g. staking USDai or tokenized GPU assets).
• Lending: The tokens can be deposited into lending pools, offering users the opportunity to generate additional returns.
• Options: Options contracts can be created on top, allowing users to hedge their positions or speculate on potential yield volatility.
• Futures: Similar to options, GAIB will also integrate with futures trading protocols, to allow users to hedge or trade with leverage.
• PT/YT Trading: Specialized principal and yield tokens (PT or YT) will be derived from sUSDai, enabling sophisticated yield strategies.
• Other Derivatives & Strategies: GAIB plans to integrate with various DeFi platforms, providing a wide range of derivative products and yield strategies for all kinds of risk-reward profiles.

Ultimately, GAIB aims to extend these innovations to other parts of the AI stack — agents, models, and data — enabling USDai to evolve into a base currency for the entire AI ecosystem. By weaving real-world compute assets into on-chain markets, GAIB facilitates broader access to AI’s economic benefits.

3. GAIB’s Positioning and Market Potential

3.1 Positioning GAIB as Financial Infrastructure for AI

In the expanding landscape of AI protocols, GAIB stands out by being the first to convert GPUs — traditionally illiquid hardware assets — into tradable and yield-generating financial instruments. While others focus on applications, utilities of AI and compute, GAIB sits squarely in the Asset-Infrastructure quadrant. This unique role welcomes all players in the AI x Crypto sector to build atop or alongside GAIB, creating innovative synergies that benefit the entire ecosystem.

3.2 Market Potential

GAIB operates at the intersection of multiple high-growth domains — AI, tokenized RWAs, and DeFi. The scope of these markets underscores GAIB’s long-term opportunity:

1. Tokenized GPUs & Yields — TAM: $2 Trillion

Cloud computing sales are expected to rise to $2 Trillion by 2030. By turning compute into financial instruments, GAIB targets the ever-growing demand for AI-driven computing.

2. GPU-Backed Stablecoins — TAM: $200 Billion

Total stablecoin market capitalization is roughly $200 Billion, and is constantly growing. USDai, as the first AI Synthetic Dollar, a yield-bearing alternative to conventional stablecoins, offers a secure, reliable, and low-barrier entry to AI yields without sacrificing liquidity, poised to capture a promising share of this market.(source: )

3. Lending & Borrowing — TAM: $600 Billion

Asset backed lending market size is $600 Billion. Within this market, GPUs act as robust collateral, enhancing liquidity and capital efficiency for cloud / data centers during their expansion.

4. Options & Futures — TAM: $54 Trillion

GPUs as commodities are akin to gold before the introduction of gold futures and ETFs, lacking a liquid, transparent, and efficient market. Currently gold futures has an annual trading volume of $54 Trillion, indicating the massive potential for tokenized GPU’s futures and options.

5. Structured Products & Other Derivatives — TAM: $700 Trillion

With global OTC derivatives notional outstanding at $700 trillion, the potential for derivatives on tokenized GPU assets is vast. Linking AI compute to established derivatives markets unlocks new hedging, speculation, and risk management products, fueling additional liquidity and innovation in the AI sector. (source)

3.3 Core Features of GAIB

• Unlocking On-Chain Liquidity & DeFi Integration: GAIB transforms traditionally illiquid assets like GPUs into tokenized, on-chain financial instruments. This unleashes their liquidity in decentralized markets and enables integration with DeFi protocols. By leveraging DeFi legos, GAIB offers a versatile suite of products tailored to diverse investment strategies, catering to both conservative and high-risk investors.
• Tailored Financing Models: Debt, equity, and hybrid like arrangements serve diverse financing needs of AI infrastructure companies.
• Focus on High-End Hardware: Targeting enterprise-grade GPUs, including NVIDIA H100, H200, GB200 and upcoming SOTA GPUs, ensures stable value and long-term sustainability.
• Risk Mitigation: Over-collateralization, stringent due diligence, and a blend of high-yield opportunities with liquid assets (like Treasury bills) reduce risks.
• Legal Protections: Financing deals secured by physical GPUs and their service contracts, protecting investors in the event of default.

Conclusion

GAIB’s two-step approach — financializing GPU assets and unlocking liquidity — revolutionizes how AI infrastructure is funded and how investors engage with the AI economy. By bridging the gap between real-world compute industry and on-chain markets, GAIB creates a fertile environment where anyone can participate in, and profit from, AI-driven innovations. As these financial primitives expand to agents, models, and data, GAIB aims to reshape AI and finance, giving everyone an equitable share of the AI dividends.

🟠 About GAIB (/ga-yeeb/) — The Economic Layer for AI & Compute

GAIB is the first economic layer for AI and compute future. We help anyone own a piece of AI. We create a new yield bearing asset that tokenizes GPUs and their yield. The name GAIB is inspired not only by the movie Dune, which means “the unseen or the future”, but also by the three things we focus on: GPU, AI & Financialization.

GPUs are the new assets and compute is the new currency in the AI era, akin to spice in Dune, GAIB is liberating a trillion-dollar AI & compute market.
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