The two hottest trends of technology- Artificial Intelligence and blockchain are ruling the market today. The blockchain is revolutionary communication and transaction recordation that builds trust between strangers.
Blockchain enables increased transparency, privacy, and provenance. AI on the other hand has tremendous power to learn and compute the tasks to the perfection.
AI has an incredible take on taking up a complex task. Though AI and Blockchain are two different technologies with diverse approaches, the technologies have a lot to offer to each other.
The Merger of AI and BlockChain
Blockchain typically relies on a decentralized system that provides additional security. It essentially creates a new foundation technology that replaces the existing security protocol.
The huge fundamental difference in approach of the technologies creates a unique and powerful strategy.
How AI is Guiding in Cutting Cost and in Securing the Chain
Blockchain technology lacks behind due to the high operational cost. Thanks to the Proof of Work consensus mechanism still in place, energy has become the major factor for validating and sharing the transactions.
Actually, some countries have higher energy consumption in a year. A single transaction requires energy that may be used by an entire house for a week. Thus AI can help here.
The Developer of Matrix combines intelligent decentralization and centralized techniques to create a workable area. They use scalable and more environment-friendly Blockchain options backed by AI.
The AI controlled solution that uses Directed Acrylic graph may be used by removing the miners altogether.
Instead of using the traditional block chain structure, regardless of the eventual solution as projected by the Whisper Networks, Artificial Intelligence plays an incredible role in reducing the operational cost that is incurred in each Blockchain transaction.
AI asserts blockchain in terms of security as well. Security is an integral part of Blockchain as it is involved in the value proposition.
The biggest security threat to the Blockchain does not happen in the chain but the applications that are used in the chain.
The apps are vulnerable to hacking as they are centralized, for example, cryptoexchanges. AI helps in securing the applications as it is more capable than the human management. As AI is still developing, it requires human eyeing to carry out the security features.
Blockchain Raises Trust in AI and Between AI
In various movies, you might have found that AI cannot be trusted altogether. Well, developing a true super intelligent machine means creating a society of man vs machine.
Though, the reality it is quite different from the movies. Today Artificial Intelligence focuses on single user platform.
The facial recognition software instantly identifies a person among the crowd. This is due to the better accuracy and human observing aid. AI is capable of detecting critical medical issues and scans the human eye.
However, AI can only demonstrate its potential when the people are willing to buy and trust it. Here is when Blockchain interferes.
Decentralised Autonomous Organisations (DAO), as a blockchain concept can put some serious brakes on the AI.
DAO is immutable to the AI system. With public acceptance, AI can show incredible growth. However, it also needs to trust the data source. If the data is accurate then only AI can grow rapidly. So how can AI determine the worthiness of data?
The Blockchain has the answers to all problems related to AI. Blockchain creates terabytes of clean, usable data. The cleaner the data means faster is the teaching time for AI with fewer mistakes.
BlockChain and Artificial Intelligence at Work
Some companies have shown an incredible approach by accepting the stunning technology with AI Blockchain applications.
The apparently simple enterprise software brings efficiency to the enterprises. The Effect.AI uses the decentralized model to offer better and advanced AI programs.
It has found ways to master the skills and farm out repetitive programs. The Blockchain offers affordable rates so that both the parties can show trust in each other’s service and implement the contract instantly.
Conclusion – A Final Word
AI and Blockchain is an incredible combination. However, they both are subject to some risks as well.
The convergence is new and makes it impossible to find an expert help. This sometimes leads to scams and frauds as well.
There are no studies, no projects, or any proven cases that prove the uses. This makes it challenging to find a right partner who provides trustworthy data and well of course, it does not mean that you put the plans on hold.
The blockchain and AI combo may lead to a massive market turnaround. It is a significant approach to reduce the cost and disrupt the security.