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Fantom founder Andre Cronje has warned that the blockchain industry should not get too excited about AI.
Speaking to Kitco, the DeFi architect said that AI is not ready to be integrated with Blockchain technology in its current form, despite OpenAI's ChatGPT leading to an increase in AI-related cryptocurrency projects in 2023.
“There is no integration. An AI can’t live inside a blockchain,” Cronje explained
“AI’s are also black box and mutable, blockchains are transparent and immutable," he added.
Cronje also said that there could be a potential "vertical of integration", including using blockchains for a payment infrastructure to facilitate machine-to-machine access to or between AIs. However, he noted that the use of AI federation and communication protocols can "also be achieved without blockchains".
“The two aren't in an exclusive symbiotic relationship. The problem is less the intersection of AI and blockchain, and more the narrative chasing/hype/fomo system of the crypto industry," he explained.
CakeDefi Co-Founder and CTO U-Zyn Chua also told Blockhead that AI is limited for blockchain tech. "AI’s impact on blockchain specifically will be minimal simply due to the different nature of both technologies," he said.
"One of the core attributes of blockchain is that it has to be deterministic, but AI functions in a fuzzier way – you get a different answer each time you ask AI."
ChatGPT says otherwise
In typical Blockhead style, we asked ChatGPT if AI will be able to integrate with blockchain technology, and this is what the world's most popular AI had to say:
Yes, AI (Artificial Intelligence) can be used in a variety of ways to enhance and improve blockchain technology. Here are some potential use cases of AI in blockchain:
- Smart Contract Management: AI can be used to analyze and optimize smart contracts on the blockchain. This could involve identifying errors or inefficiencies in the code, or even suggesting improvements to the contract’s logic based on real-time data.
- Fraud Detection: AI can be used to detect fraudulent transactions on the blockchain. By analyzing patterns of activity and identifying anomalies, AI can help prevent fraud and improve the overall security of the blockchain.
- Predictive Analytics: AI can be used to make predictions about future blockchain trends and behaviors. For example, it could be used to forecast the price of cryptocurrencies or identify potential security risks before they occur.
- Mining Optimization: AI can be used to optimize the process of mining new blocks on the blockchain. By analyzing data about network activity, AI could suggest ways to improve the efficiency of mining operations.
- Identity Verification: AI can be used to verify the identity of users on the blockchain. By analyzing biometric data or other identifying information, AI could help prevent fraudulent activity and improve the overall security of the blockchain.
Overall, there are many potential use cases for AI in blockchain, and as the technology continues to evolve, we can expect to see more innovative applications of AI in this space.
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