AI and Blockchain: A Disruptive Integration

Today, Blockchain and Machine Learning (ML) technologies are gaining strong momentum and thrust around the world. Blockchain, a disruptive technology, made its big splash with cryptocurrencies invention and trading. On the other hand, with predictive and descriptive algorithms, ML is making huge waves in harnessing existing data to identify patterns and gain insights.

Congregating the two technologies can only make them super disruptive! Both have the potential to hasten data exploration and analysis as well as intensify transactions security. Additionally, distributed blockchains can be a great and proven input for ML, which requires big data sets to make quality predictions.

Blockchain and Artificial Intelligence are two of the hottest technology trends right now. Even though the two technologies have highly different developing parties and applications, researchers have been discussing and exploring their combination.

PwC predicts that by 2030 AI will add up to $15.7 trillion to the world economy, and as a result, global GDP will rise by 14%. According to Gartner’s prediction, business value added by blockchain technology will increase to $3.1 trillion by the same year.

By definition, a blockchain is a distributed, decentralized, immutable ledger used to store encrypted data. On the other hand, AI is the engine or the “brain” that will enable analytics and decision making from the data collected.

It goes without saying that each technology has its own individual degree of complexity, but both AI and blockchain are in situations where they can benefit from each other, and help one another.

With both these technologies able to effect and enact upon data in different ways, their coming together makes sense, and it can take the exploitation of data to new levels. At the same time, the integration of machine learning and AI into blockchain, and vice versa, can enhance blockchain’s underlying architecture and boost AI’s potential.

Additionally, blockchain can also make AI more coherent and understandable, and we can trace and determine why decisions are made in machine learning. Blockchain and its ledger can record all data and variables that go through a decision made under machine learning.

Blockchain and artificial intelligence are perhaps the two most significant disruptive technologies this century and both will significantly rewire the world of global financial markets and the world in which we live. While blockchain offers a number of significant advantages over traditional forms of finance including lower cost and massive increases in operational efficiencies of traded markets, property records and a whole host of transaction processes, artificial intelligence is moving fast from basic structured machine learning doing menial yet important big data tasks like credit card fraud detection to predictive analysis and real-time real-world risk management and investment decision making.