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Home ยป Bankless Why Does AI Need Crypto Technology
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Bankless Why Does AI Need Crypto Technology

By adminJan. 1, 2023No Comments4 Mins Read
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Bankless Why Does AI Need Crypto Technology
Bankless Why Does AI Need Crypto Technology
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Title: “The Essential Fusion of AI and Crypto Values”
Author: Arjun Chand, Bankless
Translator: Chris, Techub News

The dream of the AI revolution has always been a double-edged sword. Unleashing the potential of artificial intelligence can solve the challenges humanity faces, but it can also lead to power centralization and bring about dangers. This is where the role of cryptocurrency technology and blockchain becomes apparent. The core values of cryptocurrency technology are equally applicable to improving artificial intelligence. These values can create a more fair, secure, and open environment for the future of AI.

Decentralization, permissionless innovation, open-source systems, privacy, transparency, user ownership – these are not just empty words. They can also help uncover the black box of artificial intelligence. Here’s why the AI industry needs cryptocurrency technology.

Building an inclusive open-source AI ecosystem


The synergy between artificial intelligence and cryptocurrency.
Source:
The promise and challenges of crypto + AI applications
Currently, a few large tech companies control the majority of computing power and have erected high walls in their AI research fields, forming an “AI mafia.” This monopoly stifles innovation and competition, limiting the industry’s development speed.

However, decentralization has brought a turning point to this situation. In a decentralized AI model, computing power and AI research are accessible without permission. AI becomes a tool for everyone, breaking down the barriers set by the AI mafia, democratizing access to knowledge, tools, and resources.

This shared resource model means that more people can participate in AI research, solving the most challenging problems. The more diverse the participants, the less biased the algorithms, leading to fairer outcomes for everyone. This diverse community of builders not only drives technological progress but also creates a win-win situation for society.


However, the open-source development model has always struggled to be profitable. If there is no profit to be gained, how can people be motivated to create great works? This dilemma often forces companies to choose a closed-source model for profitability.


One solution is “cryptocurrency-driven decentralized AI.” Cryptocurrency technology provides a new path for open-source AI. It creates an open market for AI development, ensuring incentives through tokens while maintaining open access.

For example, in decentralized AI networks like Bittensor, developers can earn TAO tokens when using their machine learning models in different AI applications.

This mechanism attracts top talent through tokenized incentives, forming a sustainable value chain that is not achievable in a closed, centralized model.

Ensuring user data privacy
We live in a data-driven world where everyone wants to use your data to understand your preferences and sell you products. AI systems require vast amounts of data to function properly. Large AI companies often store entire conversation histories to train their models, but this raises significant privacy concerns.

Imagine all your personal information, shopping habits, browsing history, even health records stored in a massive AI database. You may not trust these companies not to misuse or sell this data, right?

To truly earn user trust, AI needs to adopt privacy protection technologies. Building trust requires transparency and verifiability, and zero-knowledge proofs can help achieve this.

AI projects in the cryptocurrency field also employ privacy protection technologies in other ways. For example, Venice.ai stores conversation histories only in the user’s browser and ensures encrypted user requests. GPU providers handle these requests, but no server can see the entire conversation history or know the user’s identity.

By integrating these encryption methods and values, we can create AI systems that respect user privacy and data ownership.

Training AI models using synthetic data
How can we train AI models while protecting user privacy? Without enough data, AI cannot understand the real world well, leading to “AI illusions” – AI generating incorrect outputs.

This is where synthetic data comes in handy. Synthetic data is generated using algorithms to simulate real data, with privacy protection features as it does not disclose personal information. All major AI companies use it, and it is an emerging research field.

Cryptocurrency can incentivize the creation of synthetic data sets for training AI models. Users can contribute validated data points to earn tokens, addressing the issue of inadequate training data.

For example, projects like Synthetic AI have built tools for creating synthetic data, allowing users to contribute and earn SAI tokens. Ensuring the quality of these data sets can significantly speed up the process of generating data for training AI models while maintaining user data privacy.

Conclusion
The future of artificial intelligence is uncertain, but one thing is certain: it needs to be built on a foundation of trust and transparency in open source.

Cryptocurrency focuses on decentralized ownership, permissionless access, and privacy, filling in these missing pieces. The tools are already available, and it’s time to use them to write the next chapter of artificial intelligence development.

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