“Decentralised-AI” – What is it? And what does it mean for investors?

Blockchain has been around since the birth of Bitcoin. But its unprecedented growth only took hold in the late 2010s, when cryptos started receiving mainstream attention. Meanwhile, AI has been making waves in the tech industry for decades. But it’s only been recently that AI has exploded in popularity as it has become more accessible.

By 2020, many start-ups combining blockchain and AI were largely built on hype. These companies were very young, with few clients and not much commercialisation.

Many of these companies raised money through initial coin offerings (ICOs), meaning that their solutions weren’t as thoroughly evaluated as they would have been had they raised venture capital money.

But as both technologies evolved over the past three years, we have seen huge progress toward the concept of “Decentralised AI” – especially in late 2022 when ChatGPT kicked off an AI boom.

Since then, it’s been full steam ahead for both mega trends.

Why Decentralised AI makes sense…

Blockchain-AI convergence is inevitable because both deal with data and value. Blockchain enables secure storage and sharing of data or anything of value.

AI can analyse and generate insights from that data to generate value.

Data is central to AI effectiveness, and blockchain enables collaborative and secure data sharing.

Blockchain can ensure the trustworthiness of data and enable more data to be securely shared before AI extracts insights from it.

The intersection between AI and blockchain has the potential to transform various industries…

Here are just a few examples of how both technologies are working together to solve many global problems.

#1: Cybersecurity: Cybersecurity threats are increasing at an alarming rate. They’re also becoming more sophisticated. As a result, traditional methods of securing systems are quickly becoming irrelevant to new attacks. AI can detect and respond to threats, while blockchain technology can ensure the security and integrity of data. By combining AI and blockchain, one can create a more secure and efficient cybersecurity systems for individuals, businesses, and governments.

#2: Supply chains: The use of blockchain technology creates a transparent and secure supply chain, while AI can analyse data and optimise the supply chain. This can help companies reduce costs, improve efficiency, and ensure the timely delivery of high-quality products.

#3: Financial Services: Both the uses of AI and blockchain creates a more efficient and secure payment systems. AI can detect fraudulent activities and patterns, while blockchain ensures the security and integrity of transactions. The use of AI and blockchain can reduce the cost and time required for cross-border transactions and make the financial system more accessible to the 1.4 billion people who don’t own bank accounts.

#4: Healthcare: AI and blockchain can add visibility and traceability to the drug supply chain, while dramatically increasing the success rate of clinical trials. AI and blockchain can also help identify insights from patient data. With patient data on blockchain, i.e. electronic health records, companies can work together to improve care, while protecting patient privacy.

This is just the tip of the iceberg. As both technologies continue to evolve, you can expect to see more innovative applications that will radically change the way we live and work. And along with that, huge money-making opportunities for investors! Keep an eye on South African Investor for the latest profit opportunities in this space!