Wearable device health startup Cudis known for its smart health ring today announced it has raised $5 million in seed funding to scale up its ring to larger markets and improve its artificial-intelligence health-centric features.

Led by Draper Associates, investors also included DraperDragon, Skybridge, Penrose, SNZ, Mozaik, NGC, Foresight Ventures, OGBC and Monke Ventures, among others, also participated in the round. Notable individual investors joining the round included Kalin Stoyanchev from Render Network, Adam Jin from the Solana Foundation and Carl Vogel of 6th Man Ventures.

Initially launched in April 2024, the Cudis ring sets itself apart from competitors such as the Oura Ring, developed by Oura Health Oy, which primarily provides health tracking data, through several additional features. It includes an AI-powered health coach and an underlying blockchain-based network that generates passive rewards based on activity designed to get users to live healthier lives.

The ring features a connection to OpenAI’s ChatGPT and selected personal trainers, the company said it can deliver personalized tailored expert recommendations through its app to users that will guide them on their health journey.

Similar to other health wearables, it includes continuous monitoring of wellness and health data that allows users to stay on top of health goals, including insights. It also has a biometric dashboard that tracks sleep, activities, heart rate, calories burned and more.

In addition, it uses the Solana blockchain to allow users to gamify their health journey to motivate them to achieve their health goals. The ring and app provide goals and achievements designed to further the well-being of the individual based on their personalized needs and, as they meet them, they are rewarded points for their participation. These points can then be redeemed for exclusive rewards to provide users with something they can use to show that they have grown towards those goals.

“Our mission at Cudis is to empower millions by integrating wearable technology, blockchain and AI, giving users control over their data and enhancing their wellbeing,” said Chief Executive Edison Chen.

According to a study from LIMRA and Life Happens nearly one-third of Americans use wearables to track health data. However, fewer than 25% of people at risk for cardiovascular disease are likely to do so. It has been well-known for some time that gamifying incentives to get people to participate in their health journey can help foster better participation in people’s health awareness.

“Cudis is setting a new benchmark in wellness by leveraging technology to prioritize consumer needs,” said Timothy Draper, founder of Draper Associates. “This innovative approach could redefine how we engage with our health and wellness.”

Since the product’s launch, the company said, it has quickly pre-sold 6,000 rings across more than 50 countries and built a community of 50,000 members. The new funding round will help it to reach out across new markets and deliver over 1 million rings in the next 18 months, as well as improve the AI coach and strengthen the gamification options and developer tools.

Image: Cudis