We’ve heard about the benefits of blockchain. We’ve been told how artificial intelligence could change the world. But what about their potential to work together?
Blockchain and AI don’t need to be dealt with as opposites. Both have attracted hype – and for good reason. Blockchain was affected by mass hype between 2017 and 2018. Now, AI is coming into its hype era.
According to Forbes, nearly half of all AI start-up investment is a result of hype. Investors are putting money into companies who may advertise themselves or be implicated with using AI, but do not actually. ‘AI’ is the buzzword of 2019. The hype is taking over. But will it be for good or for bad?
AI is an incredibly useful data management and analytic tool.
Blockchain is a decentralised database that can store information, transfer cryptocurrency and track supply chains.
Both are part of our industrial future. But where do they interconnect?
AI software in its current state learns based on pre-existing data (machine learning). Machine learning looks at patterns in data to enact tasks without human intervention.
Blockchain’s suitability for AI ties into three things:
- Resistance to change
- Decentralised nature
- Honesty and transparency
In cases like supply chain management, companies are faced with immense amounts of data. They can put this data on the blockchain, making it permanent and decentralised. But making sense of the data – especially large amounts of data – is a different thing. That’s where AI comes in.
Data analysis on the blockchain
Blockchain forms the database, but AI and machine learning provide the ability to analyse and make conclusions from the data.
Seems like an easy fit, doesn’t it?
Of course, blockchain isn’t yet fully matured, and neither is AI. In fact, the only current type of AI in existence is Artificial Narrow Intelligence (ANI). ANI doesn’t possess or surpass human intelligence. Instead, it responds to questions, queries and tasks based on large amounts of data.
When AI does progress into other states, like AGI or ASI, it could become vital for the information to be stored on the blockchain for optimal execution. Decentralised artificial intelligence will be a key part of Industry 4.0.
The future starts now
AI and blockchain might seem like technology of the future. In reality, they’re here right now – and progressing fast.
It will soon become necessary for companies, big or small, to look into the opportunities that AI and blockchain can provide for them. Otherwise, they could get left behind. Industry 4.0 won’t be pioneered by any one technology – rather, it will forged by several, working together to create a better society.
To find out more about blockchain’s place in supply chains, click here.