Blockchain and Artificial Intelligence are two of the hottest technology trends right now. Even though the two technologies have highly different developing parties and applications, researchers have been discussing and exploring their combination
PwC predicts that by 2030 AI will add up to $15.7 trillion to the world economy, and as a result, global GDP will rise by 14%. According to Gartner’s prediction, business value added by blockchain technology will increase to $3.1 trillion by the same year.
By definition, a blockchain is a distributed, decentralized, immutable ledger used to store encrypted data. On the other hand, AI is the engine or the “brain” that will enable analytics and decision making from the data collected.
It goes without saying that each technology has its own individual degree of complexity, but both AI and blockchain are in situations where they can benefit from each other, and help one another.
With both these technologies able to effect and enact upon data in different ways, their coming together makes sense, and it can take the exploitation of data to new levels. At the same time, the integration of machine learning and AI into blockchain, and vice versa, can enhance blockchain’s underlying architecture and boost AI’s potential.
Additionally, blockchain can also make AI more coherent and understandable, and we can trace and determine why decisions are made in machine learning. Blockchain and its ledger can record all data and variables that go through a decision made under machine learning.
APPLICATIONS OF AI AND BLOCKCHAIN
Smart Computing Power
If you were to operate a blockchain, with all its encrypted data, on a computer you’d need large amounts of processing power. The hashing algorithms used to mine Bitcoin blocks, for example, take a “brute force” approach which consists in systematically enumerating all possible candidates for the solution and checking whether each candidate satisfies the problem’s statement before verifying a transaction.
Creating Diverse Data Sets
Unlike artificial intelligence based-projects, blockchain technology creates decentralized, transparent networks that can be accessed by anyone, around the world in public blockchain networks situation. While blockchain technology is the ledger that powers cryptocurrencies, blockchain networks are now being applied to a number of industries to create decentralization.
The progress of AI is completely dependent on the input of data — our data. Through data, AI receives information about the world and things happening on it. Basically, data feeds AI, and through it, AI will be able to continuously improve itself.
Another disruptive innovation that could be possible by combining the two technologies is the monetization of data. Monetizing collected data is a huge revenue source for large companies, such as Facebook and Google.
Having others decide how data is being sold in order to create profits for businesses demonstrates that data is being weaponized against us. Blockchain allows us to cryptographically protect our data and have it used in the ways we see fit.
Trusting AI Decision Making
As AI algorithms become smarter through learning, it will become increasingly difficult for data scientists to understand how these programs came to specific conclusions and decisions. This is because AI algorithms will be able to process incredibly large amounts of data and variables. However, we must continue to audit conclusions made by AI because we want to make sure they’re still reflecting reality.