Venice AI token VVV reaches record $34.53 as supply squeeze intensifies

Venice AI’s native token VVV surged to a new all time high of $34.53 on September 21, extending a rally that has lifted the token more than 3,000% from its December low of $0.92.

The rally has pushed VVV’s market capitalization to roughly $1.5 billion, according to current market data, as investors increasingly focus on Venice’s growing AI business and tightening token supply.

VVV acts as an access token for Venice’s AI infrastructure. Users can stake VVV to access platform features and lock staked tokens to mint DIEM, which provides $1 of Venice API credit per day for each token.

Venice also uses platform revenue to buy VVV from the open market and permanently burn it. In July, the company expanded the mechanism so that $5 of every $100 in API credits purchased is used for VVV buybacks and burns.

Supply pressure is set to tighten further. Venice reduced annual VVV emissions from 3 million to 2.5 million tokens on September 1 and plans another reduction to 2 million on October 1. The company has said its long term goal is for burns to eventually exceed new issuance.

The token rally has also coincided with rapid growth at Venice. The company raised $65 million in July at a $1 billion valuation in a round led by Dragonfly. At the time, Venice reported 3.5 million registered users and 1.3 trillion tokens processed each month.

Venice later crossed $100 million in annualized revenue in August, up from more than $70 million around the time of its funding round.

The platform differentiates itself through private AI inference and says it does not log user prompts. Unlike frontier AI developers, Venice largely provides access to models from other developers rather than training its own frontier foundation model.