$SNS | SynesisOne | Published Nov 27, 2023
Website link: https://www.synesis.one/
Project: SynesisOne
Token: $SNS
FDV: Ranging between $3M - $10M
Overview: SynesisOne uses a train-to-earn model to crowdsource ontologies in natural language format and aggregate them immutably on Solana as a permissionless public data utility accessible by any AI system.
Users are rewarded in $SNS tokens for contributing to AI training datasets, for example, labeling images or rephrasing sentences.
In simpler terms, users train AI by completing simple tasks and in return are rewarded with $SNS tokens. AI companies can create campaigns funded with $SNS tokens to get their AI training needs met.
Documentation: https://synesis.gitbook.io/synesisone
Notes: The AI training platform is already live and works properly, including a native NFT marketplace for the exchange of their Kanon NFTs that allows users access to the train-to-earn features. The UX is good, but could be improved.
They have also already released an iOS and Android mobile app.
$SNS Token: There is a $1B Max supply with roughly 700M tokens circulating. There is an option for the DAO to vote to add 2% annual inflation once the rewards pool runs out. Liquidity is low, so as usual recommended to use the Jupiter DCA function to TWAP in over time. Consider providing liquidity on Orca for additional yield (accompanied by impermanent loss risk).
Thesis: This token is at the intersection of two major narratives, Solana and AI. As discussed, the Solana app layer is likely to be repriced to the upside so long as $SOL price remains elevated. Of course, we expect corrections and mean reversions in price along the way, which will likely equate to 50%+ corrections in micro caps tokens such as $SNS.
In addition to the Solana narrative, we are seeing large capital inflows into AI projects, with many receiving highly inflated valuations. SynesisOne is providing a solution for AI companies to train their data, which is a growing market:
According to YV Intelligence, the global AI training dataset market is expected to reach over 10 billion USD at a CAGR of 23.14%.
SynesisOne raised $9.5M back in December of 2021 from a variety of VC and Angel investors:
This may equate to some sell pressure from investor unlocks, however, a quick glance at the chart would indicate that a lot of the token distribution has likely already occurred:
Though in a different vertical, Stepn is an example of a Solana-based x-to-earn project that has seen high token values with $GMT reaching a fully-diluted valuation >$1.5B.
Notes:
- Obviously, if this bullish market rolls over, low cap tokens like $SNS will not fair well.
- Please note that micro cap tokens like $SNS can regularly experience 50% - 75% drawdowns in price.
- We’ve yet to see real demand come in for this specific product or token. This is a high risk, high reward micro-cap project that could take significant time to see success and might not see success at all.
$SNS can be purchased on jup.ag:
(token address: SNSNkV9zfG5ZKWQs6x4hxvBRV6s8SqMfSGCtECDvdMd)
Due to low liquidity, if you plan to buy more than $500 or so, consider using the DCA function on Jupiter to spread out your buys to lessen price impact and slippage.