The comparative impact of China and the United States on the crypto industry has created a complex landscape. As the U.S. emphasizes regulations and supervision, China continues to invest heavily in AI, shaping the future of AI-driven crypto projects.
Challenges in AI development in the US cryptocurrency sector
Since Donald Trump took office, the U.S. threat to AI research institutions has increased. His administration has selected several employees specifically for their AI expertise among several staff members at the National Science Foundation (NSF).
The layoffs of 170 NSF employees in February seriously affected the development of AI in the United States. Among the researchers Courtney Gibbons, a mathematics-based researcher, has let go. She could have played a role in building the next chatgpt.
In addition, NSF’s Bureau of Technology, Innovation and Partners is responsible for allocating grants to AI projects and is affected by these layoffs. Many review boards have been postponed or cancelled, stopping funding for various AI programs.
These actions pose significant risks to innovative companies in the industry and allow China to gain an advantage in AI technology. Trump’s decision has clearly had a negative impact on the development of this key technology.
Trump’s focus on strengthening our AI dominance through deregulation, which contradicts his administration’s layoffs at the NSF. Gregory Allen, director of the Wadhwani AI Center, stressed that the most qualified employees of American AI companies participated in NSF-funded research. He said the cuts “robbery future comes at a price for the present.”
Many AI experts, including Geoffrey Hinton, have criticized the decisions, believing they will harm American scientific organizations. Elon Musk’s response was a commitment to correcting these mistakes.
Read more: Donald Trump builds strategic Bitcoin reserves
China’s strategic leap in AI: a new era of technological leadership
In contrast to the United States, China has made significant progress in technology. Recently, following the global success of AI startup DeepSeek, a new AI model called Manus was launched. The report shows that Monica, a Chinese startup founded by former Google and Tencent employees under Xiao Hong, officially introduced Manus on March 6. Hong claims that Manus is not just a regular AI Chatbot.
Monica describes Manus as a universal AI agent connecting thoughts and actions. It not only thinks, but also brings results, completing various tasks of work and life while users are resting.
Important notices about suspension of MANUS X account
Our official X account (@manusai_hq) Unexpectedly suspended yesterday. We are actively working with X’s support team to resolve this issue. Preliminary observations suggest that the suspension may be related to third parties… pic.twitter.com/hknvxcfkjz
— Yichao ‘Peak’ Ji (@peakji) March 7, 2025
When Manus co-founder Ji Yichao Peak Ji Yichao shared a 4-minute video showing how the model works on X. This video demonstrates Manus’ ability to think, plan and complete tasks independently. It also illustrates Manus’ workflow, including interaction with the environment, web browsing, data collection, and perform tasks such as creating travel plans, performing inventory analysis, and assisting teachers by generating interactive school announcements.
Additionally, Manus can quickly review job applications from a human-like perspective. Monica confidently claims that Manus outperforms OpenAI’s in-depth research based on Gaia’s standards. However, MANUS is currently in the invitation-only trial stage and has encountered some server problems and errors, such as incomplete task execution and no official public release date settings.
What will happen to AI in the near future?
The future of cryptocurrency projects using artificial intelligence (AI) is expected to make significant progress in optimizing processes and enhancing performance in the technology sector. With the popularity of AI technology, these projects will help automate and simplify the cryptocurrency process. They will also create more accurate predictive models to help fraud detection and enhance transaction security.
In this case, the competition between the United States and China has become more obvious. While China continues to demonstrate significant advances in AI and cryptocurrency technology, the United States is also working to consolidate its dominance in this field. However, resource reduction policies at research institutions such as the NSF have raised concerns among experts about maintaining and developing domestic AI projects. This may be increasingly used in AI development and cryptocurrencies, which provides Chinese projects with the opportunity to dominate the global market. The future of crypto AI projects will depend on innovation capabilities, strategic investments and international collaborations to promote sustainable growth in the field.
Source: cointelegraph.com
Currently, the market is adjusting, with prices falling for several consecutive weeks. Along with Bitcoin, AI projects did not experience the impressive growth expected. However, low price range can be an opportunity for investors interested in the industry.
