Impact of Integrating Artificial Intelligence (AI) and Blockchain Technologies

Today, the artificial intelligence market is growing rapidly in a wide variety of industries, from business to government and military. A number of companies have successfully mastered the first pilot applications. According to estimates of analytical company Tractica, the global AI market now exceeds $8 billion, and in 2022, the figure will approach $77.6 billion.

Integrating Artificial Intelligence (AI) and Blockchain Technologies

The process of artificial intelligence (AI) development implies continuous training of machines. In order to become "smart", a computer needs a large amount of data to process, a lot of memory, and powerful processors for learning in significant quantities. The speed of such processors already exceeds the speed of a single human neuron by several orders of magnitude, and their number on a global scale is comparable to the number of neurons in the human brain. Behavioral modeling algorithms are constantly being improved, and the memory capacity of processors has already exceeded human potential.

There is still the problem of the data itself, which is necessary for AI training. And this is where blockchain technology comes to the fore, namely the capabilities of peer-to-peer networks to collect and accumulate data for learning at the scale of countries and even the planet.

How Artificial Intelligence Can Impact Blockchain?

The process of mining requires a lot of computing power and electricity. Distributed registries have to sacrifice their efficiency for features such as immutability and resistance to censorship. In this situation, AI can be a tool to help optimize power consumption. Another benefit of using AI would be to improve the mining algorithms themselves.

Consumption of large amounts of energy is one of the main problems of blockchain-based systems. Energy requires computational processes, which, in turn, are key to an important characteristic of a blockchain system, such as security. But if blockchain acts in conjunction with AI, it will optimize the power consumption of blockchain systems that operate on the principle of Proof of Work. In the long run, it will have a positive impact on the entire industry, helping businesses adapt to new technologies.

Another area in which the "collaboration" between AI and blockchain could be successful is data storage. Transaction history in blockchain systems is stored on all nodes. As a result, the size of distributed registries is constantly increasing in size. When the requirements for the storage itself are high and getting in there as a node is difficult for those wishing to do so, it can reduce the decentralization of the network itself by limiting the number of participants. In this case, AI can introduce new methods to distribute databases with and help reduce the size of the blockchain to better manage data storage.

How Blockchain will Boost Artificial Intelligence's Power?

In addition to the constant flow of blockchain-validated data, SYPWAI proves that artificial intelligence also requires a large amount of computing power to develop. Often algorithms use ANNs, artificial neural networks, for this purpose. ANNs are trained to perform tasks by looking at many examples, and therefore require large amounts of power to process millions of values quickly.

If a blockchain can transmit data over a network, it is theoretically possible to use its processing power for other purposes. Some variations of blockchain allow users to lend the processing power of their machines in a peer-to-peer (P2P) market to those who need to do complex computational work. Users would be rewarded for providing power in the form of tokens.

The AI itself would be able to learn on such computing platforms with greater efficiency. This symbiosis will also reduce the cost of training algorithms.

How Do You Test Artificial Intelligence Decisions?

Artificial intelligence makes decisions that can be difficult for human perception. Algorithms have to process a huge amount of data to make decisions, and analyzing it, auditing it, or repeating the process itself is an impossible task for one person.

Once again, blockchain can help in this situation. When information about decisions made is recorded based on each data point, there is a clear audit trail. This will increase the level of trust in the decisions that artificial intelligence algorithms make.

The global prospects of using blockchain in conjunction with AI are still difficult to assess, but it is already clear that it will change many aspects of the modern economy.

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TechGlobeX: Impact of Integrating Artificial Intelligence (AI) and Blockchain Technologies
Impact of Integrating Artificial Intelligence (AI) and Blockchain Technologies
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