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Commodification of Compute

Author

Listed:
  • Jesper Kristensen
  • David Wender
  • Carl Anthony

Abstract

The rapid advancements in artificial intelligence, big data analytics, and cloud computing have precipitated an unprecedented demand for computational resources. However, the current landscape of computational resource allocation is characterized by significant inefficiencies, including underutilization and price volatility. This paper addresses these challenges by introducing a novel global platform for the commodification of compute hours, termed the Global Compute Exchange (GCX) (Patent Pending). The GCX leverages blockchain technology and smart contracts to create a secure, transparent, and efficient marketplace for buying and selling computational power. The GCX is built in a layered fashion, comprising Market, App, Clearing, Risk Management, Exchange (Offchain), and Blockchain (Onchain) layers, each ensuring a robust and efficient operation. This platform aims to revolutionize the computational resource market by fostering a decentralized, efficient, and transparent ecosystem that ensures equitable access to computing power, stimulates innovation, and supports diverse user needs on a global scale. By transforming compute hours into a tradable commodity, the GCX seeks to optimize resource utilization, stabilize pricing, and democratize access to computational resources. This paper explores the technological infrastructure, market potential, and societal impact of the GCX, positioning it as a pioneering solution poised to drive the next wave of innovation in commodities and compute.

Suggested Citation

  • Jesper Kristensen & David Wender & Carl Anthony, 2024. "Commodification of Compute," Papers 2406.19261, arXiv.org, revised Jul 2024.
    • Handle: RePEc:arx:papers:2406.19261
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    References listed on IDEAS

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    1. Mendicino, Luca & Menniti, Daniele & Pinnarelli, Anna & Sorrentino, Nicola, 2019. "Corporate power purchase agreement: Formulation of the related levelized cost of energy and its application to a real life case study," Applied Energy, Elsevier, vol. 253(C), pages 1-1.
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