Artificial Intelligence and Blockchain
Blockchain and AI have the potential to be much more revolutionary when combined. Both can augment each other’s capabilities as well as improve levels of transparency, trust, and communication.
When AI and blockchain converge, the latter can benefit from AI’s ability to accelerate the analysis of an enormous amount of data. In fact, putting the two together can potentially create a totally new paradigm. AI can help blockchains in four ways:
Scalability — AI can perform collaborative learning without a centralized dataset.
Security — AI can detect blockchain application layer intrusion issues.
Privacy — AI can improve the performance of hash functions.
Efficiency — AI can predict the likelihood of a node to fulfill certain mining tasks.
From increased scalability, enhanced security/privacy, and greater efficiency, AI will make it cheaper, safer, and easier to operate blockchains in general.
When paired with blockchains, AI is able to be better understood by humans, operate more efficiently, and make blockchains in general more efficient.
There is a significant role of AI and blockchain in the wave of the fourth Industrial Revolution (4IR): the former is integrated into 4IR’s DNA and the latter could revolutionize economic system’s infrastructure Using AI helps in reducing considerably the computer usage energy bills towards mining of cryptocurrencies
Example: For instance, there is a payment to be made by a customer. Blockchain will make the payment channel smooth and transparent, thus improving the speed. AI will define which gateway needs to be used, and how the customer aims to complete the payment. This way both the technologies will speed up the payment page, thus increasing the checkout experience.
However, presently available blockchain infrastructure is too slow for large scale AI applications that would run directly on it. The reason we haven’t yet seen many examples of joint adoption of blockchain, and AI is that implementation at scale is challenging. Many businesses are still in the early stages of implementing blockchain and AI in isolation. Companies are still figuring out how to structure their organizations and modify business processes for blockchain and AI. Blockchain enables secure storage and sharing of data or anything of value. AI can analyze and generate insights from data to generate value.