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Is AI The New Blockchain?

Updated: Apr 15

AI Replacing Blockchain Technology

In the technology-driven world, innovation has become a way of life, and change is inevitable. In recent years, blockchain technology took the world by storm and changed the way we transact and store data. However, a new trend has emerged, and "AI is the new blockchain" seems to be the buzzword.

Artificial Intelligence (AI) has replaced blockchain technology in just a year, and investors have jumped on board with several AI companies. Microsoft invested $1 billion into OpenAI in 2019, whereas Stability AI and Jasper crossed a valuation of $1 billion soon after their inception.

The Power of AI: A Unique Experience for Customers

The application of AI has expanded its horizons, and it is now possible to use AI tools to write content, design, and even code at the click of a button. Buzzfeed, a digital publishing platform, has decided to use OpenAI to power its games and quizzes.

Using the power of AI, Buzzfeed plans to provide its customers with a unique experience by allowing them to create their own personalized stories and quizzes. With such unique features, the stock price of Buzzfeed has also shown significant improvement.

Transforming Human Languages with AI Tools

Other AI tools like Codex (by OpenAI) or Copilot (by GitHub) transform human languages like English into the desired coding language, thus improving the programmer's efficiency and allowing them to focus on the creative aspects of their codes. ChatGPT (by OpenAI) is a bot that can imitate human conversation, respond to queries, contribute to a conversation and answer follow-up questions with a humanistic approach. It could replace the Google Search engine that has dominated the market for over 25 years. Similarly, Stable Diffusion (by Stability AI) is an art tool that allows users to generate mash-up images by supplying a string of words to the AI feature.

Despite popular belief, this is not AI's first tryst in the corporate world. Amazon has been using AI in its daily operations since the 2000s, thus allowing it to become a trillion-dollar company and the biggest e-commerce player in the world. Amazon currently sells products processed by more than 1.9 million small and medium-sized businesses and employs nearly 1.5 million people worldwide.

Amazon uses artificial intelligence to create product recommendations that closely align with the consumer's interests. The program studies data such as the buying behaviour of consumers, products in the cart, items viewed and most searched items to design personalized recommendations for each customer. This transforms the website from a passive store to an interactive shopping experience and helps the company boost sales and increase customer satisfaction. Amazon has also integrated AI into its supply chain, hence allowing it to predict consumer demand and manage inventory accordingly.

The Convergence of AI and Blockchain

A sudden interest in AI does not signify the end of blockchain technology. Blockchains are primarily used to record transactions and store data in a secure and decentralized manner that is easily verifiable. In comparison, AI is utilized to improve the efficiency of tasks and personalize customer experience.

However, innovators are contemplating a convergence between artificial intelligence and blockchain technology. Research suggests that Blockchain may ensure better credibility and autonomy of AI, while AI may optimize and simplify the functioning of the Blockchain to achieve better performance. Such a confluence will also provide better security and reduce any chances of errors.

Finally, what does this mean?

It is evident that the era of blockchain, as we know it, is at an end. However, the end signifies a new beginning, one with the integration of blockchain technology into artificial intelligence. AI is not just a buzzword; it is a technology that is here to stay and will continue to revolutionize the way we live and work.

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