TLDR: Alpaca Network has officially launched Modelz, the first decentralized exchange designed for AI models. This platform enables open-source AI developers to tokenize their models through Initial Model Offerings (IMOs), allowing for usage-based revenue distribution to token holders and providing investors with direct exposure to the AI economy. Modelz aims to revolutionize how AI creators are compensated and how AI innovation is funded.
GRAND CAYMAN, CAYMAN ISLANDS – July 10, 2025 – Alpaca Network, a leading decentralized infrastructure provider for AI Model tokenization, today announced the highly anticipated launch of Modelz. Touted as the first decentralized exchange for AI models, Modelz is set to transform the landscape of open-source artificial intelligence by serving as an on-chain marketplace and tokenization layer.
Modelz empowers AI developers to wrap any open-source model into a unique ‘Model token’ by conducting an Initial Model Offering (IMO). This innovative mechanism ensures that usage-based revenue is automatically distributed to token holders, creating a direct financial incentive for creators and investors alike. Joaquim Miro, a Core Contributor at Alpaca Network, emphasized the platform’s disruptive potential, stating, ‘Open-source AI drives billions in value every year, yet the creators rarely capture their share. Modelz changes the game: every model becomes a community-owned startup with its own treasury, governance, and revenue-sharing mechanisms.’
The platform is designed to direct usage fees to model creators and PACA stakers, moving away from the traditional centralized cloud provider model. Through IMOs, researchers can secure funding for their projects without relinquishing intellectual property or imposing paywalls. For investors, Modelz offers a liquid and targeted exposure to AI adoption across various categories, including vision transformers, speech engines, and large language models, without requiring specialized hardware or deep technical expertise.
Modelz operates through a two-stage process. It begins with an Initial Model Offering (IMO), where a creator selects an open-source model and mints [MODEL] tokens. A portion of these tokens is then sold in exchange for PACA, Alpaca Network’s native token, to seed the model’s treasury. Once a model is live and funded, AI agents and decentralized applications can access it via API through Modelz’s inference partners, with revenue flowing directly to [MODEL] token holders.
The Alpaca Network ecosystem is built on a robust three-layer architecture. The foundation is the PACA Foundation, which provides governance and gas for the entire ecosystem. Above this is the MODELS Infrastructure, the decentralized exchange itself, where tokenized AI models can be published, traded, and composed. Finally, AGENTZ forms the application layer, enabling AI agents and decentralized applications to seamlessly access and utilize inference-ready models. This integrated structure creates a continuous pipeline for distributed intelligence, from governance to model deployment and real-world AI utility.
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Staking the $PACA token offers additional benefits, including access to Model token airdrops, participation in protocol governance, and early access to new model launches. Notably, 3.14% (One Ï€) of every token that reaches ‘singularity’ on Modelz is allocated to $PACA stakers, further aligning incentives within the ecosystem. Alpaca Network, through Modelz, aims to address the current centralization and un-monetized nature of underlying AI models, empowering creators to monetize their open-source innovations and providing investors with direct exposure to the burgeoning AI economy.
