IlluMyFi

"Spicy" AI chatbot Grok hasn't been seen by the public yet, but it'll be worth plenty after this securities issue. Elon Musk's X-linked AI modeler xAI has an agreement for the private sale of $865.3 million in unregistered equity securities, according to a filing with the United States Securities and Exchange Commission (SEC) made on Dec. 5. xAI filed the SEC's Form D to allow it to engage in the private sale of securities without registration. The form is used to comply with Regulation D of the Securities Act of 1933, which provides exemptions to the standard rules. On the form, Musk is listed as the executive officer and director of the business. The xAI Form D further clarifies that the securities will be sold to accredited investors with restrictions on their resale under Rule 506(b). The form also indicated that $134.7 million in such securities have already been sold, with the first sale taking place on Nov. 29. Thus, the company is seeking to raise $1 billion. Related: Elon Musk AI project-inspired memecoin 'Grok' falls 74% on creator scam claim XAI's product, a chatbot called Grok, has not yet made its public debut, although there is a waitlist to use the prototype. Its website described Grok in a post dated Nov. 4 as "a very early beta product" and added: "A unique and fundamental advantage of Grok is that it has real-time knowledge of the world via the X [formerly Twitter] platform. It will also answer spicy questions that are rejected by most other AI systems." Musk announced the launch of xAI in July and claimed its goal was to "understand the universe." He claimed Grok would perform better than ChatGPT and in November got into an online squabble over it with ChatGPT co-founder and CEO at the time Sam Altman. Musk was also a co-founder of ChatGPT, but left the company.

Sentiment

Bearish/Bullish

18.12.23 07:48

by cointelegraph.com

Revolut Business reportedly cuts crypto services ahead of new rules

The neobank will halt crypto purchases by businesses while it sorts out new ad requirements. Neobank Revolut will temporarily halt cryptocurrency purchases on its business platform in the United Kingdom at the beginning of the new year, according to a media report. An email informing customers of the decision mentioned only purchasing, implying holding crypto and selling it could go on uninterrupted. Revolut said the pause was needed to give it more time to comply with new Financial Conduct Authority (FCA) rules on promoting crypto that come into force on Jan. 8, 2024. Revolut Business will halt crypto purchases on Jan. 3, it said. In a message reproduced in an X (formerly Twitter) post, Revolut Business told customers: "We'll need to adjust our current Business crypto offering to make sure all of the new requirements are met." Revolut is the latest of several firms that have been impacted by the FCA rules, which the regulator itself described as "tough." The rules were announced in June and were intended to bring crypto advertising into line with other high-risk investment products. Among the new requirements were customer warnings of the risky nature of crypto investments, a ban on bonuses for referring new customers and a "cooling-off period" delaying the placing of orders from first-time investors. Related: Binance, OKX to comply with new financial promotions rules in UK The Jan. 8 deadline is an extension from Oct. 8 provided after it became apparent that there would be hitches with compliance. The FCA was already noticing in September that engagement from many crypto firms had been low. By Oct. 25, the FCA had recorded over 200 breaches of the rules and it issued additional guidance on the rules in November. In September, Bybit announced it was leaving the U.K. market and Solana-based NMarinade Finance began blocking U.K. users. Binance halted customer onboarding in the country in October after its compliance partner, Rebuildoingsociety.com, ran afoul of the rules.