Two technologies that are redefining today’s digital era are Artificial Intelligence and Blockchain. Though these technologies have distinct applications, and use cases, off late much has been written about the potential of combining both.
By definition, blockchain is a digital, decentralized, distributed and immutable ledger used for storing encrypted data. AI, on the other hand, is an area of computer science that focuses on the creation of machines that work and react like humans.
As you can see, both these technologies are completely distinct from each other. In this article we will explore how AI and blockchain can converge and benefit each other.
AI & Blockchain
The convergence of AI and blockchain can spell out many advantages to both the technologies. While AI can boost the underlying architecture of blockchain, blockchain can enable AI to be more coherent and easier to understand.
With blockchain’s digital ledger, every data and variable that influences a decision made by the machine learning model would be recorded and this will enable users to trace and determine why certain decision has been made by the machine learning model. Blockchain on the other hand can be made more efficient with AI. In fact, the level of efficiency achieved by AI is far better than that can be achieved by humans, or even standard computing.
Now, let us delve deeper into the advantages of the coming together of both these technologies.
Convergence Of AI & Blockchain – Main Advantages
Tracking, Explaining & Understanding AI Decision
With blockchain it will be possible to decode the decisions made by AI, which are sometimes difficult for layman to understand. This is because blockchain technology is capable of evaluating a large number of variables independent of each other to learn which ones are relevant to the task it is trying to complete.
Despite how advantageous AI decisions are, it will be of limited value if it is not trusted by the public. Through blockchain, it will be possible to get insights and achieve a level of transparency and thus gain public trust by recording the decision making process.
Handling Blockchain More Efficiently
It is not possible for computers to perform a task without explicit programming. Due to blockchain’s encrypted nature, computers need a lot of processing power to operate on the blockchain data. For instance,the hashing algorithms that are used for the purpose of mining blocks on the Bitcoin blockchain, employ a “brute force” approach that is virtual trying each and every character combination until they find the one that can be used for verifying a transaction.
With AI . it is possible to avoid this approach and pave the way to handling the process more intelligently. Just like how a coder improves their skills by cracking more and more codes, an ML powered mining algorithm will enhance its skills when as it is fed more training data, though in this case more faster than humans.
Eliminating The Risk Potential Of AI
An AI model that is coded in a DAO with certain smart contracts will be able to carry out only have a limited action space and will not be able to perform anything more.
Enhancing The Security Of Blockchain
Though blockchain itself is resistant to hacking, its further applications and layers are not very secure (Bitfinex, Mt Goz, the DAO etc). With AI’s incredible progress in recent years, it can become the perfect ally of blockchain to ensure a secure applications particularly considering the fixed system structure.
AI & Blockchain Use Cases
Following is an infographic showing few remarkable AI – Blockchain projects:
As you can see, Artificial Intelligence and Blockchain are two technological marvels that while remarkable individually itself, has the potential to be ground-breaking when they converge. Both can not only enhance the capabilities of each other, but also offer better accountability and oversight.