Grass Aims to Monetize Idle Bandwidth for AI Data with $4.5M Funding

Grass is a decentralized Layer 2 network built on Solana, aiming to leverage unused internet bandwidth from node operators to scrape and structure public web data for AI training. The platform operates via a browser extension that runs in the background, allowing users to earn Grass points passively by contributing their idle internet bandwidth. These points are distributed through an incentivized beta phase and are traded on platforms such as Whales Market, with an average bid and ask price of $0.00266 and $0.00258, respectively [1].

The platform, which positions itself as the "data layer for AI," employs an in-house AI tool called Socrates to process raw data into structured datasets. Grass also integrates a ZK processor for verifying data integrity and a Data Ledger to store datasets permanently, ensuring transparency and trust in the data’s origins [1]. The Grass extension prioritizes user privacy by not collecting or storing any personal data, including browsing history, search terms, or files [1]. Independent cybersecurity audits further reinforce the platform’s security measures [1].

Grass raised $3.5 million in a seed funding round led by Polychain Capital and Tribe Capital in December 2023, bringing its total funding to $4.5 million after a pre-seed round led by No Limit Holdings. The project has been downloaded in 190 countries and currently collects over 1 TB of data daily. However, it still trails behind similar platforms like Honeygain, which has a user base of approximately 12 million [1].

Users can participate in the Grass network by downloading the browser extension and registering on Grass.io. While wallet connectivity is not required, users must use a referral code to sign up. A referral system is in place, offering a 20% perpetual bonus on the Grass points earned by referred users [1]. As the global big data market is projected to grow significantly by 2027, Grass is positioned to benefit from the increasing demand for AI training data [1].

Although no Grass token has been officially announced, the protocol has hinted at future rewards, potentially including cryptocurrencies, gift cards, and PayPal. The eligibility for potential airdrops can be checked via the Grass airdrop checker, which currently reflects allocations for the Closed Alpha and Epochs 1–7 [1].

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[1] https://www.coingecko.com/learn/what-is-grass-io-potential-airdrop