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AI Arena

AI Eye chatted with Framework Venture’s Vance Spencer recently and he raved about the possibilities offered by an upcoming game his fund invested in called AI Arena in which players train AI models how to battle each other in an arena.

Framework Ventures was an early investor in Chainlink and Synthetix and three years ahead of NBA Top Shots with a similar NFL platform, so when they get excited about the future prospects, it’s worth looking into.

Also backed by Paradigm, AI Arena is like a cross between Super Smash Brothers and Axie Infinity. The AI models are tokenized as NFTs, meaning players can train them up and flip them for profit or rent them to noobs. While this is a gamified version, there are endless possibilities involved with crowdsourcing user-trained models for specific purposes and then selling them as tokens in a blockchain-based marketplace.

AI Arena
Screenshot from AI Arena

“Probably some of the most valuable assets on-chain will be tokenized AI models; that’s my theory at least,” Spencer predicts.

AI Arena chief operating officer Wei Xi explains that his cofounders, Brandon Da Silva and Dylan Pereira, had been toying with creating games for years, and when NFTs and later AI came out, Da Silva had the brainwave to put all three elements together. 

“Part of the idea was, well, if we can tokenize an AI model, we can actually build a game around AI,” says Xi, who worked alongside Da Silva in TradFi. “The core loop of the game actually helps to reveal the process of AI research.”

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There are three elements to training a model in AI Arena. The first is demonstrating what needs to be done — like a parent showing a kid how to kick a ball. The second element is calibrating and providing context for the model — telling it when to pass and when to shoot for goal. The final element is seeing how the AI plays and diagnosing where the model needs improvement.   

“So the overall game loop is like iterating, iterating through those three steps, and you’re kind of progressively refining your AI to become this more and more well balanced and well rounded fighter.”

The game uses a custom-built feed forward neural network and the AIs are constrained and lightweight, meaning the winner won’t just be whoever’s able to throw the most computing resources at the model.

“We want to see ingenuity, creativity to be the discerning factor,” Xie says. 

Currently in closed beta testing, AI Arena is targeting the first quarter of next year for mainnet launch on Ethereum scaling solution Arbitrum. There are two versions of the game: One is a browser-based game that anyone can log into with a Google or Twitter account and start playing for fun, while the other is blockchain-based for competitive players, the “esports version of the game.”

Also read: Exclusive — 2 years after John McAfee’s death, widow Janice is broke and needs answers

This being crypto, there is a token of course, which will be distributed to players who compete in the launch tournament and later be used to pay entry fees for subsequent competitions. Xie envisages a big future for the tech, saying it can be used “in a first-person shooter game and a soccer game,” and expanded into a crowdsourced marketplace for AI models that are trained for specific business tasks.

“What somebody has to do is frame it into a problem and then we allow the best minds in the AI space to compete on it. It’s just a better model.”

Chatbots can’t be trusted

A new analysis from AI startup Vectara shows that the output from large language models like ChatGPT or Claude simply can’t be relied upon for accuracy.

Everyone knew that already, but until now there was no way to quantify the precise amount of bullshit each model is generating. It turns out that GPT-4 is the most accurate, inventing fake information around just 3% of the time. Meta’s Llama models make up nonsense 5% of the time while Anthropic’s Claude 2 system produced 8% bullshit.

Google’s PaLM hallucinated an astonishing 27% of its answers.

Palm 2 is one of the components incorporated into Google’s Search Generative Experience, which highlights useful snippets of information in response to common search queries. It’s also unreliable.

For months now, if you ask Google for an African country beginning with the letter K, it shows the following snippet of totally wrong information: 

“While there are 54 recognized countries in Africa, none of them begin with the letter ‘K’. The closest is Kenya, which starts with a ‘K’ sound, but is actually spelled with a ‘K’ sound.”

It turns out Google’s AI got this from a ChatGPT answer, which in turn traces back to a Reddit post, which was just a gag set up for this response:

“Kenya suck on deez nuts lmaooo.”

Deez nuts
Screenshot from r/teenagers subreddit (Spreekaway Twitter)

Google rolled out the experimental AI feature earlier this year, and recently users started reported it was shrinking and even disappearing from many searches.

Google may have just been refining it though, as this week the feature rolled out to 120 new countries and four new languages, with the ability to ask follow-up questions right on the page. 

AI images in the Israel-Gaza war

While journalists have done their best to hype up the issue, AI-generated images haven’t played a huge role in the war, as the real footage of Hamas atrocities and dead kids in Gaza is affecting enough.

There are examples, though: 67,000 people saw an AI-generated image of a toddler staring at a missile attack with the caption “This is what children in Gaza wake up to.”  Another pic of three dust-covered but grimly determined kids in the rubble of Gaza holding a Palestinian flag was shared by Tunisian journalist Muhammad al-Hachimi al-Hamidi.

And for some reason, a clearly AI-generated pic of an “Israeli refugee camp” with an enormous Star of David on the side of each tent was shared multiple times on Arabic news outlets in Yemen and Dubai.

Israeli refugees
AI-generated pic picked up by news sites (Twitter)

Aussie politics blog Crikey.com reported that Adobe is selling AI-generated images of the war through its stock image service, and an AI pic of a missile strike was run as if it were real by media outlets including Sky and the Daily Star.

But the real impact of AI-generated fakes is providing partisans with a convenient way to discredit real pics. There was a major controversy over a bunch of pics of Hamas’s leadership living it up in luxury, which users claimed were AI fakes. 

But the images date back to 2014 and were just poorly upscaled using AI. AI company Acrete also reports that social media accounts associated with Hamas have regularly claimed that genuine footage and pictures of atrocities are AI-generated to cast doubt on them.

In some good timing, Google has just announced it’s rolling out tools that can help users spot fakes. Click on the three dots on the top right of an image and select “About This Image” to see how old the image is, and where it’s been used. An upcoming feature will include fields showing whether the image is AI generated, with Google AI, Facebook, Microsoft, Nikon and Leica all adding symbols or watermarks to AI imagery.

OpenAI dev conference

ChatGPT this week unveiled GPT-4 Turbo, which is much faster and can accept long text inputs like books of up to 300 pages. The model has been trained on data up to April this year and can generate captions or descriptions of visual input. For devs, the new model will be one-third the cost to access.

OpenAI is also releasing its version of the App Store, called the GPT Store. Anyone can now dream up a custom GPT, define the parameters and upload some bespoke information to GPT-4, which can then build it for you and pop it on the store, with revenue split between creators and OpenAI.

CEO Sam Altman demonstrated this onstage by whipping up a program called Startup Mentor that gives advice to budding entrepreneurs. Users soon followed, dreaming up everything from an AI that does the commentary for sporting events to a “roast my website” GPT. ChatGPT went down for 90 minutes this week, possibly as a result of too many users trying out the new features. 

Not everyone was impressed, however. Abacus.ai CEO Bindu Reddy said it was disappointing that GPT-5 had not been announced, suggesting that OpenAI tried to train a new model earlier this year but found it “didn’t run as efficiently and therefore had to scrap it.” There are rumors that OpenAI is training a new candidate for GPT-5 called Gobi, Reddy said, but she suspects it won’t be unveiled until next year. 

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X unveils Grok

Elon Musk brought freedom back to Twitter — mainly by freeing lots of people from spending any time there — and he’s on a mission to do the same with AI.

The beta version of Grok AI was thrown together in just two months, and while it’s not nearly as good as GPT-4, it is up to date due to being trained on tweets, which means it can tell you what Joe Rogan was wearing on his last podcast. That’s the sort of information GPT-4 simply won’t tell you.

There are fewer guardrails on the answers than ChatGPT, although if you ask it how to make cocaine it will snarkily tell you to “Obtain a chemistry degree and a DEA license.”

“The threshold for what it will tell you, if pushed, is what is available on the internet via reasonable browser search, which is a lot …” says Musk.

Within a few days, more than 400 cryptocurrencies linked to GROK had been launched. One amassed a $10 million market cap, and at least ten others rugpulled. 

All Killer No Filler AI News

— Samsung has introduced a new generative artificial intelligence model called Gauss that it suggests will be added to its phones and devices soon.

YouTube has rolled out some new AI features to premium subscribers including a chatbot that summarizes videos and answers questions about them, and another that categorizes the comments to help creators understand the feedback. 

— Google DeepMind has released an AGI tier list that starts at the “No AI” level of Amazon’s Mechanical Turk and moves on to “Emerging AGI,” where ChatGPT, Bard and LLama2 are listed. The other tiers are Competent, Expert, Virtuoso and Artificial Superintelligence, none of which have been achieved yet. 

Amazon is investing millions in a new GPT-4 rival called Olympus that is twice the size at 2 trillion parameters. It has also been testing out its new humanoid robot called Digit at trade shows. This one fell over.

Pics of the week

An oldie but a goodie, Alvaro Cintas has spent his weekend coming up with AI pun pictures under the heading “Wonders of the World, Misspelled by AI”.

Andrew Fenton

Andrew Fenton

Based in Melbourne, Andrew Fenton is a journalist and editor covering cryptocurrency and blockchain. He has worked as a national entertainment writer for News Corp Australia, on SA Weekend as a film journalist, and at The Melbourne Weekly.

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Starmer and other leaders have fallen into line on Trump’s Gaza plan – now it must deliver

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Starmer and other leaders have fallen into line on Trump's Gaza plan - now it must deliver

I’ve been around a while and seen a lot of the insides of international summits over the years, but this one was truly extraordinary.

Over 20 leaders flew to Sharm el-Sheikh in Egypt from all over the world – Indonesia, Pakistan, Norway, Canada – to witness the signing of Donald Trump’s peace plan.

Gaza deal signed – as it happened

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‘We have peace in Middle East’

This historic day was pure theatre for Trump from start to finish. Flying in from Israel, where he had met hostage families and then addressed the Israeli parliament, he arrived a whopping three hours late, keeping a gaggle of world leaders waiting.

We stood around in corridors watching them move from one room to another to hold meetings with each other, presumably to talk about phase two of Trump’s peace deal.

Testimony to the power of Trump

At one point, Sir Keir Starmer’s meeting with his Turkish counterpart included France’s Emmanuel Macro. That then somehow morphed into a summit which also brought in the Germans, Italy’s Prime Minister Giorgia Meloni, and the leaders of Egypt and Qatar. More chairs kept coming into the room until there was the equivalent of a cabinet table of leaders and advisors sitting in a long line facing each other.

What they were talking about was how each country could help in phase two of the peace effort. Now Trump had, alongside fellow signatories of this deal – Egypt, Qatar, and Turkey – ended the war, could they maintain the peace?

As Starmer put it: “We can’t treat today as historic and let it drop tomorrow.”

But these mini summits in the margins happened by fault rather than design. This day really was designed to bear witness – and offer acknowledgement – to Trump. All of these leaders turned up pretty much in the dark as to what the day held, with his peace summit convened 48 hours earlier.

That they dropped plans to make their way to Egypt is testimony to the power Trump wields.

World leaders at the Gaza peace summit
Image:
World leaders at the Gaza peace summit

He was utterly omnipotent. First, there was the greeting ceremony, in which each leader filed in individually for a photo and handshake with him before all returning to the stage for the family photo.

Then, at the signing ceremony, Trump sat with his three fellow signatories as the world leaders stood behind him.

“This took 3,000 years to get to this point. Can you believe it?” Trump said as he signed that deal. “And it’s going to hold up, too. It’s going to hold up.”

Finally, in another giant hall, Trump gave a speech in which he ran through all the leaders who had turned up – praising them or fondly poking a bit of fun at them accordingly, as (most) of them stood behind him.

He teased Macron for sitting in the front row rather than joining the others on the stage, joking it wasn’t like him to be low-key. He described Meloni as a “beautiful young woman”.

“I’m not allowed to say it because usually it’s the end of your political career if you say it – she’s a beautiful young woman,” said Trump mid-speech. “You don’t mind being called beautiful, right? Because you are,” he turned to say to her – her reaction obscured from view.

Now for the ‘easy part’?

Soon after, the prime minister of Pakistan, invited to say a few remarks by Trump, renewed his call for the US president to be awarded the Nobel Peace Prize.

Having brokered the deal, Trump took the moment and made it into his summit on his terms, as fellow leaders fell into line, literally standing behind him. And in his characteristic bullishness, he told his audience in this final speech that the hard part – the ceasefire – had been done, and rebuilding Gaza was the easy part.

U.S. President Donald Trump talks to Prime Minister Sir Keir Starmer
Image:
U.S. President Donald Trump talks to Prime Minister Sir Keir Starmer

That isn’t really what the rest of them believe: 92% of Gazans have been displaced, the Gaza Strip is a wasteland. Organising a peacekeeping force, getting Hamas to disarm and Israel to withdraw from the strip, putting together a technocratic team and peace board to oversee the running of Gaza still needs to be done.

This was a largely celebratory day, but there are concerns whether this deal will hold up. Trump says Hamas needs to disarm and disband, and yet one of their most senior leaders told Sky News a few days ago, it won’t.

Meanwhile, there is a growing humanitarian crisis in Gaza. The UK has in short order sent in £20m of aid to try to help with sanitation.

On the British side, the prime minister said he had offered to help demilitarise the strip, saying the UK can take a role in “monitoring the ceasefire but also decommissioning the capability of Hamas and their weaponry, drawing on our experience in Northern Ireland”.

“It’s really important we keep that focus. We mustn’t have any missteps now,” he said.

Drone footage of Gaa
Image:
Drone footage of Gaa

Trump’s peace board is still in its infancy – Starmer told me he isn’t going to sit on it, with the make-up still being discussed, while Tony Blair’s participation is controversial.

Trump said on the way over to Egypt that he was going to canvass opinion to make sure everyone is happy with the former prime minister’s presence. It comes after Bassem Naim of Hamas told Sky News that Blair was not welcome in Gaza after his role in the invasion of Iraq.

When I asked Starmer if he thought Trump should be awarded the Nobel Peace Prize he said “there’ll be plenty of people, I’m sure, nominating him” – as he paid tribute to him for getting “leaders to this position”.

Now the task for them all is to implement what Trump has set in train. If his plan works, he would be sitting on an achievement that has eluded successive US presidents for decades.

Trump should rightly be lauded for ending the war, now he must bring the peace.

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California governor signs laws establishing safeguards over AI chatbots

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California governor signs laws establishing safeguards over AI chatbots

California governor signs laws establishing safeguards over AI chatbots

The laws will likely impact social media companies and websites offering services to California residents, including minors, using AI tools.

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UK played ‘vital role’ in Gaza peace deal, says Trump aide, after minister branded ‘delusional’

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UK played 'vital role' in Gaza peace deal, says Trump aide, after minister branded 'delusional'

Steve Witkoff, the US special envoy to the Middle East, has claimed the UK played a “vital role” in helping negotiate the Gaza peace deal, smoothing over a potential diplomatic row between London and Washington.

Witkoff took to X on Monday, ahead of meeting President Donald Trump in Israel, to praise the UK.

“I would like to acknowledge the vital role of the United Kingdom in assisting and coordinating efforts that have led us to this historic day in Israel,” Witkoff wrote.

“In particular, I want to recognise the incredible input and tireless efforts of National Security Advisor Jonathan Powell.”

His comments came 24 hours after education secretary Bridget Phillipson was branded “delusional” by Mike Huckabee, the US ambassador to Israel, for claiming that Sir Keir Starmer’s presence at a signing ceremony for today’s ceasefire deal in Egypt “demonstrates the key role that we [Britain] have played”.

The minister made her remarks on Sunday Morning With Trevor Phillips but did not say exactly what the UK’s role in the ceasefire, largely attributed to Donald Trump, is or was.

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More on Bridget Phillipson

Phillipson added: “We have played a key role behind the scenes in shaping this.

“It’s right that we do so because it’s in all of our interest, including our own national interest, that we move to a lasting peace in the region.

“These are complex matters of diplomacy that we are involved in. But we do welcome and recognise the critical role that the American government played in moving us to this point.”

Her comments prompted Mr Huckabee to repost the Sky News clip on social media, claiming: “I assure you she’s delusional.”

He added: “She can thank Donald Trump anytime just to set the record straight.”

Mr Huckabee was part of the negotiating team for the peace deal, with Mr Trump calling the former Arkansas governor “AMAZING” as he said he “worked so hard, and did so much, to bring about peace in the Middle East”.

In August, Mr Huckabee said the UK and other European nations that said they would declare a Palestinian state were “having the counterproductive effect that they probably think that they want”.

Israel: UK did not play key role in peace deal

Israel’s deputy foreign affairs minister, Sharren Haskell backed Huckabee, telling Sky News the UK played “the opposite” of a key role in the peace deal after recognising the Palestinian state.

“The message that the UK government has sent Hamas was the message that: the longer they continue this war, they will be rewarded.

“I mean, you must understand that when a terrorist organisation is thanking you. You are on the wrong side of history.”

It is understood the prime minister has underlined Mr Trump’s key role in securing this deal throughout the process. Publicly, he praised Mr Trump twice in his press conference in India on Thursday.

Read more:
Gaza latest: Hostages Square boos Netanyahu
Hamas official thanks Donald Trump for ceasefire deal

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Final preparations for hostages in Israeli hospital

Ms Phillipson stood by the September decision to declare a Palestinian state, saying it was “the right thing to do”.

Husam Zomlot, the Palestinian ambassador to the UK, told Sky News it was a “moment of leadership” for the UK to declare a Palestinian state, and a “responsibility to begin to correct a century of the gravest historic injustices committed against our people”.

He added: “That moment three weeks ago, when the UK did recognise, is a moment when we can say that the wheels of history are turning in a different direction.”

No plans for British troops on the ground

The education secretary also told Sky News the government has “no plans” to put British troops into Israel or Gaza as part of a stabilisation force after the ceasefire.

The US military will help establish a multinational force in Israel, known as a civil-military coordination centre, which is likely to include troops from Egypt, Qatar, Turkey and the UAE.

Tens of thousands of Palestinians have walked back to Khan Younis in southern Gaza. Pic: AP
Image:
Tens of thousands of Palestinians have walked back to Khan Younis in southern Gaza. Pic: AP

On Friday, US officials said up to 200 US troops already based in the Middle East will be moved to Israel to help monitor the ceasefire in Gaza.

The day before, President Trump announced Israel and Hamas had “signed off on the first phase” of a peace plan he unveiled last week.

Pic: Reuters
Image:
Pic: Reuters

Aid trucks have been gathering in Egypt to cross into Gaza after months of warnings by aid groups of famine in parts of the territory.

In Israel, the remaining hostages are due to be returned from Gaza by Hamas on Monday under the first phase of the peace plan. Twenty are believed to still be alive, 26 have been declared dead, while the fate of two is unknown.

The ceasefire agreement has been made two years after Hamas stormed Israel on 7 October 2023, killing 1,200 people and taking 251 hostages.

Israel’s military offensive has killed more than 67,000 Palestinians in Gaza, according to the Hamas-run health ministry, which the UN deems reliable.

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