YZi Labs announced a strategic investment in USD.AI, a protocol that aims to address one of the most critical issues facing the AI industry: funding the infrastructure required to support exponential global compute demand.
The AI sector is set to need over $6.7 trillion of infrastructure investment between now and five years’ time. Whilst a few large players command massive rounds of funding, a large portion of the market is underserved. USD.AI fills this void with new model loans fully secured by physical AI hardware.
Unlike conventional financing, which takes months of cashflow-based analysis, USD.AI has the ability to close loans in less than seven days, providing critical speed for capital-hungry builders.
USD.AI has already achieved numerous milestones, exceeding $62 million in Total Value Locked (TVL) and collaborating with institutions like K3 Capital, Concrete, Euler, and Pendle to create new, innovative AutoVaults.
These vaults enable frictionless financing of AI hardware, a testament to the need for real-world asset-backed solutions within decentralized finance (DeFi).
The new funding from YZi Labs will speed up USD.AI’s ambition to scale a new generation of stablecoin to grow in tandem with global compute demand essentially making every operator a hyperscaler.
At YZi Labs, we support builders who bring Web3 rails to the demands of the real world,” stated Dana Hou, YZi Labs Investment Partner. “USD.AI turns AI hardware financing into a DeFi-native yield asset.”
David Choi, co-founder of USD.AI, added: “This is a dollar that scales for Wall Street outsiders. With YZi Labs’ support, we’re excited to expand access for a new generation of AI builders.”
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