Recently, NVIDIA Adjusts Participation Criteria for Inception Program, Excluding Cryptocurrency-Related Companies
NVIDIA has recently revised the eligibility criteria for its startup accelerator program, the “Inception Program,” explicitly listing “cryptocurrency-related companies” as one of the five categories deemed ineligible. Speculation has arisen regarding whether this is related to the U.S.-China technology war, as resources are tightened to focus more on AI chip development projects.
Not Just Crypto: Five Types of Companies Excluded
According to NVIDIA’s official website, the following five types of companies will be excluded from the accelerator program:
- Crypto startups
- Consulting firms and outsourced developers
- Cloud service providers
- Distributors and agents
- Publicly listed companies
Even if they meet funding stage or founding age criteria, these companies cannot join this mentorship program designed for “startups established within the last ten years.”
From Accepting Blockchain Startups in 2018 to Cutting Ties with Web3 Companies
NVIDIA previously accepted the AI-blockchain technology startup Ubex into the Inception program in 2018. However, it has now severed ties with Web3 companies, leading to questions about whether NVIDIA has marginalized the cryptocurrency industry.
This image depicts the collaboration between NVIDIA and Ubex in 2018.
However, NVIDIA has not responded publicly to inquiries, stating only that it “will not comment.”
Why NVIDIA’s Accelerator Program is Important: What Blockchain Startups Miss Out On
NVIDIA’s Inception accelerator program is essentially a global support network for startups, allowing participants to gain:
- Technical support (GPU, SDK)
- Marketing and event opportunities
- Connections with NVIDIA’s industry partners
Thus, for blockchain companies that rely on high-performance computing, especially those pushing for AI integration with cryptocurrency concepts, being part of Inception is a crucial factor.
Significant Background Pressure: Crypto Miners Once Caused NVIDIA Major Losses
NVIDIA has a complicated relationship with the cryptocurrency industry. In the past, crypto miners have heavily purchased NVIDIA graphics cards for mining purposes, driving up GPU prices and causing NVIDIA to become embroiled in a “hoarding and price-gouging” controversy. To differentiate the market, NVIDIA later launched versions with “mining performance limitations” to maintain distance from the crypto market. This formal exclusion of blockchain startups may also be influenced by past experiences and market image considerations.
The image depicts the Lite Hash Rate (LHR) version of graphics cards limited for cryptocurrency mining.
AI and Geopolitics: NVIDIA Navigates Between the U.S.-China Battlefield
On the other hand, NVIDIA’s core battleground in recent years has shifted towards AI chips, becoming a key player in the U.S.-China technology war:
- Launching the H20 chip targeting the Chinese market in 2024, attempting to comply with the Biden administration’s export restrictions on advanced AI chips.
- However, the H20 is still considered to have “substitutive capabilities,” leading the Trump administration to impose stricter export controls requiring special permits.
According to foreign media reports, the Chinese market will account for about 13% of NVIDIA’s revenue in 2024. NVIDIA has also reported a loss of up to $5.5 billion in its quarterly earnings due to Trump’s export restrictions on the H20. Nevertheless, Jensen Huang has been actively meeting with high-ranking Chinese officials and Japanese Prime Minister Kishida Fumio this month in an attempt to break the deadlock.
NVIDIA Fully Invests in AI Development, Excluding Blockchain from Main Operations
While blockchain and cryptocurrency remain hot topics in the tech industry, NVIDIA seems no longer to view them as a primary target for its accelerator. In the face of escalating global AI arms races and increasing U.S.-China tensions, excluding blockchain may simply be a strategy to focus more on core battlegrounds.
(Jensen Huang meets with Kishida Fumio! Japan reveals a $44 billion AI energy plan to overcome the shadows of nuclear disaster.)
Risk Warning
Investing in cryptocurrencies carries high risks, and their prices may fluctuate dramatically, potentially resulting in the total loss of capital. Please assess the risks carefully.