Blockchain and Artificial Intelligence are perhaps the two most discussed trends in the technology world today. Just imagine what can blockchain and AI do together? Udoubtfully, something great. Today we’ll talk about how these two technologies can work together and discuss some popular AI crypto projects.
What is AI?
Artificial Intelligence is older than you may think. Its history begins in the 16th century with one and only Leonardo da Vinci, who tried to create a calculating machine. Then, at the beginning of the 17th century, the German mathematician and astronomer Wilhelm Schickard finished that idea. His invention was a counting clock that contained summators, multipliers and a mechanism for storing results.
Another important step towards AI technology was made by Ada Lovelace. She is known as a creator of the world's first computer program for calculation of Bernoulli numbers. She came up with it long before the introduction of the first computer. And only then Alan Turing invented his famous test. It was created in order to identify a machine's ability to show intelligent behavior equivalent to a human.
In simple terms, AI is a “brain”, which is able to make decisions, based on the available information. AI can be defined as "a mechanical system that can receive, process and apply knowledge and skills in order to facilitate human life.
What is blockchain?
If AI is a brain that makes decisions, then blockchain is memory, where tons of information is stored. It consists of anonymous nodes that add data to a log (blockchain). It is impossible to remove information from this log. Usually blockchain programming is used for: creation of smart contracts; security audit; issue of cryptocurrency; creation of cryptocurrency exchanges and holding ICO/IEO.
AI and crypto
Blockchain and Artificial Intelligence can give each other many benefits. Especially when it comes to Big Data. Big Data is a huge amount of information. It is automatically processed in order to use it for statistics, analysis, forecasts and decision making. The main advantage of the blockchain is its cryptographic security. The main advantage of Big Data is the ability to identify patterns among incredible amounts of information.
So how can Big Data be useful for the crypto industry? Any companies that use blockchain technology will be able to disclose interaction patterns within the network. This also applies to the crypto industry, but not only. Today Big Data is used by banks and other financial institutions to identify patterns that indicate violations. Big Data allows not only to find traces of committed crimes, but also to predict future problems and prevent them.
Moreover, blockchain can support any type of digitized data. This will help to keep fantastic amounts of information safely without loss of quality. Thus, hospital staff will have quick access to a single source of information like the medical history of all patients of the clinic.
AI crypto projects
Let’s take a look at some of the popular AI crypto projects.
- Ocean Protocol (OCEAN)
An Artificial Intelligence-based cryptocurrency created to exchange data between developers. Allows participants to sell or buy necessary information via Ocean Protocol's native cryptocurrency called OCEAN. Tokens are stored in a cryptocurrency wallet and guarantee access to the data, which is stored on the Ocean Protocol blockchain. The project was created in 2017.
- Numeraire (NMR)
Ethereum-based platform with Artificial Intelligence. It is a hedge fund from San Francisco, which is not managed by analysts, but relies on the owners of the NMR coin. The goal of the project is to create forecast models for various companies and funds. It’s some kind of a social network or software for hedge funds. The Numeraire Token (NMR) is a reward for experts who make correct predictions.
- Velas (VLX)
Blockchain paired with Artificial Intelligence. This Solana-based project is able to process up to 75,000 operations per second. Thanks to AI, it includes a transaction verification system. The ecosystem includes different decentralized products, and the platform itself is built on open source code. Velas became “home” for decentralized AI-based applications and Web 3.0 programs. VLX tokens support the PoS system and are used for fees and transactions.
- SingularityNET (AGIX)
It is a decentralized platform that allows any developer to create and monetize various functions based on Artificial Intelligence. The startup became famous for its work on the popular Sophia robot. SingularityNET is an Artificial Intelligence marketplace based on blockchain technology. It is used for developing, testing and sharing ideas and technologies in the field of AI.
AI is a non-biological system with intelligence. It is able to collect, analyze and communicate information, and the more it does this, the more it learns. Blockchain and AI can be used together and it's a powerful combination. Especially when it comes to Big Data. People can conveniently and quickly use huge amounts of information. The field of Artificial Intelligence is a fast-growing area that has potential and opens up more opportunities for the blockchain.
If you want to learn more interesting facts about crypto then don’t forget to check out our blog! You might like our articles “Can Blockchain Work Without Cryptocurrency?” and “The Layers Of Blockchain”.