Nosana (NOS): Powering AI Revolution Through GPU Computing

As the global AI phenomenon continues to spread, demand for AI inference is exploding as many projects seek to train and test their AI models. Consequently, there’s a serious shortage of GPUs to execute this significant part of any AI project, which could drive up the costs of AI inference. Moreover, costs will only skyrocket as AI models become increasingly sophisticated.

Nosana is a web3 project working to change the way users access the necessary computing power for AI projects by interlinking blockchain technology with AI inferencing via the Solana network. Users can conveniently and cheaply rent computing power for AI inferencing by creating a decentralized GPU grid.

Let’s learn more.

Key Takeaways:

• Nosana has created a decentralized GPU grid so that AI users can plug in to access cheap computing power provided by GPU owners with idle computing hardware.

• The NOS token is used to purchase computing power from the grid, and to reward GPU owners who run nodes on Nosana.

• You can also stake NOS to receive Nosana rewards.

What Is Nosana?

Nosana’s web3 project operates a distributed GPU grid that provides AI users with the computational resources needed by metaverse projects for AI inference. It aims to merge AI with blockchain technology in order to meet the ever-rising demand for GPU units needed for AI inference.

In 2023, the Nosana platform pivoted from offering decentralized CI/CD services to AI inference because it identified a large gap in the availability of scalable computational resources, specifically GPUs needed by AI projects.

With funding from the Solana Foundation, Nosana launched an incentivized test grid in December 2023 on which users could deploy and run AI inference workloads.

Over 100 GPUs from developers and AI enthusiasts were connected to the test grid, giving the Nosana team perspective on how to proceed with this ambitious venture. Its native token, NOS, is used to provide incentives to testers, run nodes and for staking to earn rewards.

Based on its road map, Nosana will release its main grid in H1/H2 2024, which the Solana blockchain will power since it has the necessary foundational technology to meet the heavy computing requirements of AI.

How Does Nosana Work?

Nosana’s vision is for a decentralized GPU grid on which AI users and enthusiasts can rent computing power for their AI inference needs. With such a grid, users won’t incur costs like overhead and lock-in fees when building their AI solutions. Therefore, they can rent out GPUs from the grid transparently and cheaply, making it affordable and efficient to build AI solutions. Additionally, as an AI user on Nosana, you’ll be provided with a user-friendly suite of tools to help maximize GPU resources.

Furthermore, Nosana utilizes idle computing power on gaming PCs, mining units and MacBooks so that owners can generate income by renting out their devices to AI builders. As such, Nosana will gradually shift AI building from centralized corporations to smaller AI projects with limited resources — but innovative AI ideas.

The Nosana platform works in two ways.

AI Inference Workloads

As an AI user, you can deploy your AI inference workloads on Nosana. At the moment, Nosana is looking to support Llama 2 and Stable Diffusion AI inference workloads, and has invited interested parties to participate in testing them out.

To run an AI inference workload on Nosana, you’ll need to have NOS tokens that give you access to the computing power required on the Nosana GPU grid for all your development projects.

Nosana Nodes

As a GPU owner, you can run a node on Nosana and earn NOS tokens as rewards, and rent out idle computing power to AI builders. By installing the Nosana Nodes software on your device, you make your hardware compatible with the Nosana grid and can receive rewards for renting it out.

Nosana Nodes are still in pre-release and are only compatible with NVIDIA GPUs. To run a node, you’ll need an internet connection, a RAM of 4GB+ and a Solana address with some SOL tokens in it. You can run the node on Windows or Ubuntu operating systems.

What Is the Nosana Token (NOS)?

NOS is the native utility token for the Nosana ecosystem. It's an SPL-compliant token that’s used to power the Solana GPU grid.

You can use Nosana tokens to pay for services on the Nosana marketplace and to buy computing resources on Nosana. You’ll also need to have NOS tokens to deploy an AI inference workload on Nosana. In addition, NOS is used to reward those who participate in the Nosana GPU Test Grid, and to reward node operators on the platform.

Nosana has a total supply of 100 million NOS tokens, distributed as follows:

• Public sale — 3% unlocked at token distribution

• Airdrop — 5% unlocked at token distribution

• Mining — 20% released linearly over 24 months after token distribution

• Team — 20% released linearly over 48 months after token distribution

• Liquidity — 10% unlocked at token distribution

• Company — 25% released linearly over 36 months, with an initial release of 10% of the pool occurring at token distribution

• Backers — 17% released linearly over nine months, with 10% of the pool released at token distribution

The token release schedule is as shown below:

Nosana Staking

You can stake NOS tokens using your Solana wallet to earn rewards. Of the fees generated by the Nosana network, 2% are set aside to reward NOS stakers. A safe and audited smart contract powers NOS token staking on Nosana. The APY for Nosana staking varies: as the amount of NOS staked increases, the generated APY decreases, and vice versa. 

Staking NOS tokens on Nosana comes with a minimum unstake period of 14 days and a maximum unstake period of 365 days. Once you've staked Nosana tokens, you'll receive two values — the staked NOS to signify the amount you can unstake, and an xNOS score, which represents your rank for daily NOS rewards, such as giveaways and voting.

Nosana Crypto Price Prediction

As of Feb 27, 2024, NOS hit its all-time high of $6.92, reflecting an increase of over 60,000% from its all-time low price of $0.01047 on Oct 23, 2024.

Price prediction experts are highly bullish on the future price of NOS. According to experts at DigitalCoinPrice, the NOS token’s price could hit $15.40 in 2025 and rise to a maximum of $44.32 by 2030.

Price analysts at CoinCodex seem to hold a relatively more conservative stance for NOS’s growth, forecasting a price of $7.80 in 2025 and a yearly high of $19.04 in 2030.

Closing Thoughts

The AI scene is exploding, and projects such as Nosana that seek to merge AI with blockchain are poised to do well. Having identified a gap in the availability of GPUs to meet the high demand from AI users looking to test their AI models, Nosana has moved in fast and pivoted to AI inference. This swift action seems to have paid off, since Nosana’s price has risen by over 60,000% in six months.

As developers and AI users continue to test the Nosana platform’s decentralized GPU grid, the project will experience incredible growth once the main grid goes live, since there’s a high demand for AI services.

Nosana’s model — letting GPU owners rent out their idle computing devices for reward, and providing AI users with affordable computing power at almost 85% less than market price — is the right value accrual template that the tech space needs to make the AI dream a reality.

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