When we talk about recent developments in terms of technology, significant developments always discuss two giant technologies that are transforming the world. These technologies are artificial intelligence and blockchain. Both of these technologies operate at two different poles, but combining them together is beyond the imagination.
Artificial intelligence is a branch of computer science that automates tasks that would typically require human assistance. Blockchain is an immutable, digital, decentralized ledger that offers a transparent and safe method of storing and exchanging data. When coupled, the two could produce synergies that revolutionize our way of life and working.
Let’s begin by defining blockchain and artificial intelligence (AI). Then, we’ll examine how these two technologies work best together and what lies ahead for both fields.
Blockchain Technology
All of us have played a game of Jenga, where wooden blocks are stacked on top of each other. So, in the case of blockchain, you don’t have wooden blocks; you have blocks of information. It is a game of information on a global scale. The basis of blockchain is a digital ledger that records transactions between two parties in a secure and transparent manner.
Each block in the chain contains data, and once the data is added, it cannot be altered or removed. Due to this, each transaction on the blockchain has a permanent and tamper-proof record. The interesting fact about blockchain is that it is maintained by a network of users instead of one central authority, and all the networks can access a copy of the ledger. Therefore, there is no single point of failure that a hacker can exploit. Using blockchain can revolutionize and transfer information, and it can identify outbreaks easily. Companies like Walmart use blockchain technology to track the origin and movement of food products. Similarly, in countries like Estonia and Sierra Leone, blockchain-based voting systems are being developed to improve transparency and reduce election fraud.
Artificial Technology
AI stands for artificial intelligence, and it refers to machines that can help perform tasks that require human intelligence. Machines are now quite capable of learning, resolving problems, and making decisions that require human intelligence. These machines can respond to and understand human voice commands and learn to adapt to users’ preferences over time. Using machine learning algorithms, AI can make predictions or recommendations without any human intervention.
AI can be categorized into weak (narrow) and strong (general) AI. The development of narrow AI is for specific tasks and is already in use in a variety of applications, like virtual assistants and chatbots. These systems use machine learning and deep learning to analyze data and learn from it over time. Whereas, general AI can do any intellectual task that a human can do. This concept is still under research, where engineers and researchers are working on it to develop machines that match human intelligence.
How are blockchain and AI complementing each other?
Blockchain is an expensive medium for storing vast amounts of data using a traditional method. Keeping large files on the Bitcoin blockchain is prohibitively expensive because they are one megabyte per block.
To address this issue, data is stored on a decentralized storage medium, which hashes the data and connects it to the blockchain blocks using smart contract code from within.
Merging blockchain technology and artificial intelligence together, decentralized AI apps and algorithms are built with algorithms having access to identical visions of a trusted and shared data platform for storing your knowledge, records, and decisions. This platform is only useful when you keep reliable records of all AI algorithms before, after, and during the learning and decision-making process. So, AI and blockchain are working together in a way to provide functional individuality and address data-related issues. The manner in which they complement each other is:
Autonomous System:
The decentralized ledger technology ensures that no single server has to handle all the operations of all AI applications. The autonomous system drives the decentralized management of AI operations and training, which operates independently of supervision.
Open and accessible data source:
A lot of data is required to train an AI program. Blockchain is a dependable source of precise data since it is the most transparent technology. The traceability of nodes makes it possible to rapidly verify the data’s origins.
Protection of Privacy:
Cryptographic methods fortify privacy across the network that powers AI operations and training. AI systems are more complicated and competitive, so you can train and provide them when your privacy system is strong.
Authenticity:
The digital record of blockchain addresses the issues with explainable AI and offers insights into the AI framework and the provenance of the data used. It aids in enhancing your confidence in the accuracy of the data and the suggestions made by the AI. An audit trail is produced when blockchain is used to store and distribute AI modes, which combine blockchain and AI to improve data security.
Augmentation:
AI reads data quickly and thoroughly. It also adds increased intelligence to blockchain-based business networks, enabling them to comprehend and process data at exponential speeds. Blockchain will help AI scale and produce more relevant insights when you give it access to larger data sets, both inside and outside of businesses. It will also handle model sharing and data usage, as well as establish a transparent and reliable data market.
Mechanization:
Blockchain, AI, and automation will introduce newer values, such as speed and efficiency gains, friction reduction, and addition to business processes involving multiple stakeholders. Smart contracts with integrated AI models run on blockchain to settle disputes and choose the greenest shipping options.
Enhanced Security and Privacy:
Using blockchain, you can store sensitive data and provide a tamper-proof ledger, making it an ideal platform for those who require fast and private data storage. Integrating AI and blockchain enhances the security of these types of applications by protecting them from fraud or other malicious activities.
Data Sharing and Management:
Blockchain creates a decentralized network for data sharing and peer-to-peer connections. AI can process and analyze data within seconds, allowing it to streamline workflow and reduce costs and time associated with data processing and management. For instance, AI and blockchain together offer real-time visibility into most data points for effective supply chain management, like shipment status, inventory levels, and other virtual metrics.
Conclusion:
Integrating and combining blockchain and AI can help you build an immutable, safe, and decentralized system. Thus, it can lead to major data and information security advances in different industries. The future of these two technologies is optimistic because they are evolving and advancing rapidly. The pairing of blockchain and AI offers society advantages and exciting opportunities.
Combining both of these technologies can lead to a modern era of transformation, where industries can provide their customers with better services and products in a more secure and transparent manner. The synergies of AI and blockchain reduce the hassle of retrieving data and analyzing it to come up with a better approach. AI and blockchain security can make life easier and more efficient because they can increase privacy, automation, and transparency.
The convergence of both of these technologies is unexplored; however, the integration may have attracted considerable attention. It is a ground-breaking combination that enables data to be used under unimaginable circumstances. Given the distinct manner in which each of these technologies affects and uses data, their cooperation will make sense. It could lead to even greater levels of data exploitation.
So, blockchain and AI excites you? Then, you must explore these domains for your business growth and development. The use of both of these technologies is not limited to specific industries. To know more about how these technologies can revolutionize your business, ProMinds AI Labs experts are the ones who can help you. Get in touch with us and start exploring more about blockchain and artificial intelligence.