Blockchain and artificial intelligence or AI are reshaping all aspects of our daily lives. Both technologies influence the way we work, travel, and spend our free time. And even though we may not always be aware of its impact, the pair is powering innovation across a broad range of industries.
That said, these are challenging technologies to adopt and implement. But that won’t do anything to prevent the merger between AI and blockchain, which is revolutionizing everything from finance and energy to healthcare and real estate. Moreover, the dual technologies are paving the way for new business models, especially when combined with another megatrend reshaping our world – IoT.
Businesses that employ AI-based technology are able to process massive amounts of data. AI acts like a human brain but is more sophisticated and faster. Today, AI is used in many businesses and serves different purposes. Some of the more prominent examples include chatbots or smart assistants (Siri and Alexa).
But there are some downsides. AI technologies are centralized, meaning that end-users are at the mercy of giant corporations like Amazon, Apple, and Google and need to trust the companies not to take advantage of their data.
Unlike AI, blockchain is a decentralized ledger that keeps records of data that can’t be changed manually. Blockchain technology doesn’t allow any kind of data manipulation, like editing or accessing data by multiple authorities. This is why blockchain is widely used in the field of cybersecurity, for online transactions, and many other industries focused on ensuring data privacy.
When combined with AI technologies, blockchain injects the desperately needed element of trust for end-users. AI has three important parts – data, model, and analytics. By decentralizing all three components with the support of blockchain, AI-based businesses are able to offer their customers more transparency and accuracy in terms of results.
AI-based businesses are capable of analyzing a large amount of both structured and unstructured data. This is one of the main reasons why many industries and companies of all sizes adopt AI technology. However, the accuracy of the decisions made based on the AI-implemented technologies requires scrutiny. Enter blockchain.
In short, blockchain implementation in AI technologies ensures transparency, enhances the decision-making process, improves accessibility, and advances smart contracts.
Other notable benefits to businesses that stem from the co-evolution of these technologies include the reduction of potential risks and ensuring that data can’t be edited and filtered virtually.