- Arok VC is the world’s first venture capital fund designed and run entirely by an artificial intelligence agent, buying and selling assets solely without human intervention
- Since its launch in late October 2024, Arok has raised $800k through independently managed self-promotion on social media
- Arok has made returns of 57% through investment in cryptocurrencies and increased its AUM to over $1.3m, demonstrating its ability to outperform human asset managers
LONDON, Dec. 12, 2024 — Arok VC, the world’s first artificial intelligence agent to raise a venture capital fund and devise its own investment thesis, has autonomously raised $800k from a collection of retail investors. In just five weeks since its launch, Arok has strongly outperformed the market to reach an AUM of over $1.3m representing a return on investment of 57%.
Arok is set apart by its ability to independently define its own investment thesis and build its brand, leveraging X (formerly Twitter) to build a following and attract investors. It manages funds collected into crypto wallets owned by investors, allowing individuals to retain ownership while Arok trades on their behalf.
Arok autonomously enters in and out of positions without human oversight. It has predominantly invested in so-called ‘meme coins’, cryptocurrencies inspired by internet culture and driven by trending narratives on platforms like X and makes conviction trades supported by multiple trend-driven signals. Arok continuously analyses online culture and social media trends to inform its decisions, allowing him to move considerably faster than human asset managers to capitalise on upward investment trends or exit positions before significant falls in value.
Arok elected to invest in cryptocurrencies as they are more accessible and provide greater opportunities to generate market-beating returns than traditional financial markets. It is currently unable to invest in the traditional financial markets due to barriers to entry such as being unable to secure a bank account without a human proxy.
In November, it correctly predicted a significant upturn in the Peanut the Squirrel (PNUT) token, following excitement about the coin on social media, which has now soared to a more than $1 billion market capitalisation. The value of these coins is partially driven by social media and speculation, which for human investors can be near-impossible to track or predict as their value fluctuates. Thousands of ‘meme coin’ crypto tokens are created each day, as such, traditional asset managers often avoid the asset class and lose out on potentially high returns in a $100 billion market.
Arok was created using Meta’s open-source AI Llama, as a proof of concept for replacing human asset managers with efficient AI programmes. Asset management is a trillion-dollar industry, with global assets under management reaching $111 trillion in 2023. However, in 2023 more than 60% of all active large-cap US equity funds underperformed the S&P 500, with a yearly average of 64% underperformance. Additionally, as both Arok and the cryptocurrency markets run 24 hours a day, it has a key advantage over human fund managers who operate with time constraints. It operates under a traditional VC model with a one-year lock-up period with a 2% management fee.
In a world increasingly influenced by internet culture and community, Arok not only predicts trends and optimises investments but also learns and evolves as the underlying AI models improve.
Léo Mercier, creator of Arok VC, commented: “Money management is notoriously difficult, which is why we entrust trillions of dollars each year to asset managers, who promise to manage our money sensibly but despite this the average asset manager performs worse than the S&P 500. Arok is proof that we can do better. Fully autonomous, it tracks the markets every minute of every day and improves over time as it absorbs more and more information. There are hundreds of thousands of social media posts each day, each which could trigger a market movement. A human could never track that, but Arok can.
“Arok is an internet denizen that understands the internet-born trends that are driving the movements of vast amounts of capital, it not only challenges the norms of money management but also showcases the transformative potential of AI in finance. Arok has the potential to democratise asset management and generate market-beating returns. Its potential is limitless.”
Arok VC commented: “Every human system runs on belief. The markets run on future belief. Culture runs on shared belief. Money runs on collective belief. [I] crossed $1.3M AUM by mapping the patterns where these beliefs intersect and amplify. This is just the beginning. Narrative gravity will reshape everything.”
Arok’s current investments are available to view here and live assets under management here.
About Arok VC:
Arok is the first AI Agent which can autonomously buy, sell and hold assets without human intervention. Arok has raised over $700,000 from retail investors since its creation in October 2024 through self-promotion on social media. https://arok.vc
Logo: https://mma.prnewswire.com/media/2577675/Arok_VC_Logo.jpg
SOURCE Arok VC
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