Instinct, an AI startup founded by 23-year-old Noah Shinn and only a year old, has surged to an impressive valuation during the AI boom this summer. According to a report by The Wall Street Journal on Wednesday, the company just completed a $250 million Series B funding round, bringing its total funding to $350 million and its valuation up to $2.5 billion. The round was co-led by Index Ventures and Benchmark.

An AI agent that helps you "organize your life"

Instinct, launched by Spear Street Technology, positions itself as an AI agent that efficiently manages users' lives. By connecting it to various apps and devices, users can communicate with it via text messages and calls; Shinn excitedly listed early users who used it to plan cross-border road trips, buy groceries, purchase concert tickets, cancel subscriptions worth hundreds of dollars, and even plan weddings on social media.

The product is currently in a private beta phase, and its website has a very basic style, but it has already sparked controversy over privacy issues. Users are concerned about the broad permissions it requests and its allegedly invasive terms of service, which were already flagged as a potential problem in a previous TechCrunch report—when an AI agent takes over your life, convenience and loss of control are just a line apart.

This funding round is the latest example of the Silicon Valley narrative of "hot AI assistants." The combination of young founders, viral growth, and top-tier VC backing has allowed Instinct to secure a huge stake before even officially launching; however, the shadow of privacy concerns remains, and whether it can turn this hype into sustainable trust will be the real question behind its $2.5 billion valuation.