Blockchain and AI: The advantages of merging technologies
Big data just continues to get bigger with no signs of slowing down. Enabling it is artificial intelligence (AI) platforms. AI is used in banking, retail, healthcare, and pretty much any other industry. It’s used in gaming and social media networks. So, pretty much, it is everywhere, and it touches us all in one form or another. AI is used to our benefit in many respects because the data acquired via AI informs entities (businesses, services, etc.) on our personal preferences, which in turn impacts the quality of the experience, service, or product.
But big data is problematic, too, in that too much information is being obtained. Some of this information we may not want to be disclosed. Some of this information may be too personal.
The cure to the above problem is simple: blockchain technology. Blockchain allows users of AI to make transactions anonymously, which means less specific information about the user is collected for big data purposes. Blockchain transports data via encryption. Merging AI with blockchain, thus, produces three specific advantages.
Advantage No. 1: Improving Security & Creating Trust
AI is not wholly trusted by consumers. Things like the Internet of Things (IoT) has been proven to be hackable. That scares people. But combining AI with blockchain technology — where information is encrypted and secure — security can be improved on specific AI platforms, and improved security will increase consumer trust.
Advantage No. 2: Identifying Decisions & Enabling Understanding
AI is complex. It takes in a lot of variables and assesses those variables before making a decision about whatever the AI is associated with, whether it’s a financial decision (e.g., identifying fraud), a retail one (e.g., what product to sell), or a healthcare one (e.g., what treatment is best). Sometimes that “decision” may not be clear or easily understood on the outset, and if not understand then it is not trusted. Blockchain technology can be implemented to record how decisions are made. Transparency is, thus, created, and through transparency there is trust.
Advantage No. 3: Efficiency is Always a Benefit
Efficiency is always important, no matter if you are a business or an individual. Computers have made our lives more efficient. But we have always had to input the instructions into the computer to make them do what we want them to do. So, it still takes a lot of energy. Blockchain technology also takes a lot of energy — it is not smart and efficient. AI, on the other hand, is. AI creates smart technology — it can even be considered thoughtful. Combining AI with blockchain can make the use of blockchain technology more efficient, and that in turn makes us more efficient overall.
Both AI and blockchain technologies are still developing. Combining the two is part of this natural development process. As it grows separately and together, so too will more benefits materialize.