After months of being everything people, media, and experts could talk about, the AI hype cycle seems to be finally cooling down. While billions of dollars are still being invested in the space, experts like OpenAI’s CEO Sam Altman believe that the era of giant AI models has come to an end. Now, just like crypto and the metaverse before it, it is time for generative AI to truly unlock its potential.
With ethical concerns, media sensationalism, and the greed cycle decreasing significantly over the past, most industries now have a better idea of what AI can truly do for them. Of all of those exploring potential aplications, the crypto industry is one of those leading the carge. This is not surprising, given that one of the primary challenges faced by the cryptocurrency industry being its complexity, which has prevented it from reaching mass adoption. For crypto, AI could be a game changer.
Over its almost 70 years of history, AI has proven to be one of the most powerful tools when it comes to automating complex processes that require some level of decision-making or data analysis. These capabilities would make AI the perfect complement to cryptocurrency if applied correctly, revolutionizing areas ranging from user experience to rethinking consensus mechanisms.
So far, most applications of AI in the crypto space seem to have focused on helping users in navigating the intricacies of digital wallets, exchanges, and blockchain technology. making it easier for them to manage their crypto assets. This user-focused approach could help the technology become more accessible to new users, facilitating the transition from fiat and centralized currencies to crypto.
Making cryptocurrency easier to use could also translate into the technology being easier to understand for regulators. So far, regulators and lawmakers worldwide have struggled to develop a regulatory framework for cryptocurrency and other decentralized financial services. This has been in part due to an unwillingness to do so by claiming that such a framework already exists, to a complete lack of understanding of what crypto is or how it works.
In addition to making Crypto easier to interact with and, therefore, to understand, AI could also play a crucial role in streamlining regulatory compliance. By automating the monitoring and reporting of transactions, AI could help crypto projects identify and address potential issues more efficiently, facilitating compliance and easing regulators’ concerns.
The “AI: Crypto’s Spoiler or Bulwark” panel, which took place as part of this year’s edition of Grit Daily House at Consensus, discussed these and other benefits of bringing AI technology to the crypto space. AI Business’s Editor Deborah Yao sat with CircleClick’s Co-Founder & CEO, Anne Ahola Ward and Daily.ai’s Founder & CEO Joe Stolte to learn more thoughts, insights, and experiences with attendees.
To hear what the panel of experts had to say about AI’s “electricity moment”, what it can do for DeFi and Crypto, and how it is being used to create rich and meaningful experiences, make sure to watch the video below or in Grit Daily’s official YouTube Channel.