AI and cryptocurrency may seem like two unrelated fields, but they have begun to intersect in recent years as more and more projects are using AI to solve problems in the blockchain and cryptocurrency space. In this article, we’ll take a look at some of the most notable AI-related cryptocurrency projects and what they aim to achieve.
What is AI?
Artificial intelligence (AI) is a branch of computer science that aims to create machines that can perform tasks that would typically require human intelligence. These tasks include learning, problem-solving, and decision-making. It involves the development of algorithms and computer programs that can process and analyze large amounts of data, make decisions based on that data, and improve their performance over time. AI has advanced significantly in recent years, and it has applications in a wide range of industries, including healthcare, finance, and transportation.
AI can be divided into two main categories: narrow AI (also known as weak AI) which is designed to perform a specific task, and general AI (also known as strong AI) which is designed to perform any intellectual task that a human can. Applications of AI include image recognition, natural language processing, and decision-making.
What is cryptocurrency?
Cryptocurrency, on the other hand, is a digital or virtual currency that uses cryptography for security. Think of it like this: Imagine a world where instead of using physical cash or credit cards, you have your own personal digital wallet that stores a unique type of money. This money is not controlled by any government or financial institution but is instead created, regulated and secured by a vast network of computers all over the world working together. This money can be sent and received instantly and securely, like sending a message or a picture, but with the added benefit that it holds real value, just like the cash in your wallet. That’s the basic idea behind cryptocurrency.
Cryptocurrency transactions are recorded on a public ledger called a blockchain, which allows for secure, transparent, and tamper-proof transactions. Since the creation of the first cryptocurrency Bitcoin by Satoshi Nakamoto, thousands of other cryptocurrencies have been developed. Each token comes with its own unique features and uses. Some are designed for specific industries, such as healthcare or gaming, while others are meant to serve as a universal form of digital cash.
How do AI and cryptocurrency intersect?
AI and cryptocurrency intersect in a few ways. One way is through the use of AI in the development and maintenance of cryptocurrency systems. For example, AI can be used to analyze and predict market trends, identify fraudulent activity, and improve the overall security of the network.
Another way is the use of cryptocurrency in AI systems. For example, some AI platforms use cryptocurrency as a form of payment for access to services, or as a way to incentivize contributions to the network, such as providing data or computational resources.
Moreover, some projects are using AI to create new blockchain-based platforms. These projects are trying to build decentralized autonomous organizations (DAOs) that use AI to make decisions, govern and operate the platform. In these cases, AI and blockchain technology are working together to create a new form of decentralized, self-governing systems.
Additionally, AI can be used to improve the scalability of blockchain by off-loading computationally intensive tasks to AI systems, thus allowing the blockchain network to process more transactions at a faster rate.
Overall, AI and cryptocurrency have the potential to work together to create new and innovative solutions for a wide range of industries and applications.
Top 6 AI and Cryptocurrency projects
There are several AI-related cryptocurrency projects that have gained attention in recent years, but it’s important to note that the cryptocurrency market is highly speculative and risky. Some of the notable AI-related projects in the space include:
- Fetch.ai (FET)
- Matrix AI Network (MAN)
- The Graph (GRT)
- SingularityNET (AGIX)
- Numerai (NMR)
- Alethea AI (ALI)
Fetch.ai (FET)
Fetch Network is new age Autonomous Agent technology. They are responsible for supporting and powering many peer-to-peer applications with the use of AI abilities and automation administrations. They can do so both with or without direct access to a blockchain. The founders of Fetch include Toby Simpson (former COO, now an Advisory Board member), Humayun Sheikh (current CEO of Fetch.ai, founder of Mettalex, uVue and itzMe) and Thomas Hain (former Chief Science Officer of Fetch.ai)
For P2P interactions they use agents like modular and reusable code. This helps in creating a novel layer of communication. Fetch also harnesses the powers of technologies like smart contracts and blockchain networks in settling economic aspects of the platform. They have an integration with Decentralised Machine Learning which enables a new level of wisdom and solutions for agents to work with. They offer a wide tooling portfolio. Using Fetch’s client library one can develop new projects. Their indexer and CLI tool are also helpful for fast querying and contract deployment respectively.
Fetch has seamlessly entered the crypto industry with the introduction of FET. According to the website, “A FET token is a digital currency. The FET token is the primary medium of exchange within the Fetch.ai ecosystem. If you want to pay for services provided by Fetch.ai, you pay in FET. Much like you use USD to buy services in the United States.”
In fact, you can also stake FET tokens in order to earn a semi-passive income. FET has a circulating supply of 818,912,300 FET coins and a maximum supply of 3,409,064,989 FET coins.
Matrix AI Network (MAN)
The Matric AI Network was created with the vision of “Transforming Brain Waves into CODE with AI”. Their first phase included supporting the algorithm processing and data string, Creation and Integration of avatars on various Metaverse protocols, and Upgrading the incomplete aspects of Matrix 1.0 and Matrix 2.0.
The native token of the platform is MAN which has a current circulating supply is 214,302,041.859 MAN. The transaction validators, miners, and users involved in the MATRIX ecosystem can get their hands on the MAN token as an incentive. Everything on the network is settled using MAN.
Matrix claims to solve many problems including “Waste of energy, Waste of computing power, Data Security concerns, Recover from large volume, single size and low-quality data, High computing power price, Problems created by a central structure” The Matrix 1.0 blockchain platform is actually the very first AI-optimised blockchain platform. They built this public blockchain platform with the aim of making it both functional and dependable. It has features like Scalability, AI-Power, Speed, Security, Hybrid PoW/PoS, etc that make it a promising project.
Matrix 2.0 is responsible for constructing a blockchain-based AI economy. This economy has its foundations in data, computing power, and AI models. Now at the Matrix 3.0 stage, they are looking to neuroscience with AI and Blockchain. They make use of AvI which is short for Avatar Intelligence to make their goals a reality.
The Graph (GRT)
The Graph is an AI based platform that comes up with APIs and works towards a decentralized tomorrow. They have marketed The Graph as “an indexing protocol for querying networks like Ethereum and IPFS. Anyone can build and publish open APIs, called subgraphs, making data easily accessible.”
Traditionally teams had to independently build proprietary indexing servers which was a mammoth task. It needed huge engineering and hardware resources and was also not able to deliver the complete security requirements of a decimalized project. That is where The Graph came in, proposing to solve this problem. It ingests, processes, indexes and eventually serves data in a manner that is verifiable and adheres to the principles of decentralization. They are building new projects in every space including DeFi, Governance, Grants & Philanthropy, Marketplaces, Entertainment, And Social network.
GRT is an ERC-20 token on the Ethereum blockchain and is often useful to allocate resources in the network. By staking GRT Active Indexers, Curators and Delegators can acquire extra income as well. It has a circulating supply of 8,768,962,480 GRT.
SingularityNET (AGIX)
SingularityNET (AGI) is a decentralized AI marketplace that allows for the creation and monetization of AI services. The platform is built on the Ethereum blockchain and it allows developers to create and share AI services that can be used by other businesses and individuals.
The goal of SingularityNET is to democratize access to AI services by creating an open and decentralized marketplace that anyone can access. The Founders of SingularityNET include Dr Ben Goertzel (SingularityNET’s CEO and chief scientist) along with Simone Giacomelli (an entrepreneur and investor) and Dr David Hanson (founder of Human Emulation Robotics, Initiative for Awakening Machines and Hanson Robotics).
According to the team, they are “Creating a foundation for the emergence of decentralized human-level intelligence, open-sourcing the creation of Artificial General Intelligence.” SingularityNET uses features like AI Marketplace & AI Publisher, AI – Domain Specific Language (DSL), Neuro Symbolic AI, Evolutionary Learning systems, Economic Attention Allocation, Machine Learning etc to deliver the best product to users.
Throughout the platform, transaction management and community governance are possible using the AGIX token, which is native to the platform. It is a multichain token that works across multiple chains like Cardano and Ethereum. In fact they also claim that “5% of tokens from all SingularityNET tokenized spin-off projects (airdropped) to AGIX token holders.”
Numerai (NMR)
In 2015, Richard Craib founded Numerai. Numerai is a hedge fund that utilizes a network of data scientists to build predictive models for financial markets. The fund uses a unique approach, where the data encryption happens and goes to the data scientists. They, then build models based on this data. These models are then used to make investment decisions on the fund. As of now, the platform has $45,537,500 paid to data scientists. In addition they have 5,167 staked models and a 15.07% average 3-month return on stake.
The Numeraire token is useful as an incentive for data scientists to improve the performance of their models. Data scientists can stake Numeraire to participate in the network. They get a reward in the form of Numeraire for building models that improve the fund’s performance. Additionally, you can trade Numeraire on various cryptocurrency exchanges.
One of the key benefits of Numeraire is that it allows data scientists to monetize their skills and expertise. The platform also provides a secure and encrypted way for data scientists to work with sensitive financial data. This proves to be which is a significant advantage.
The Numeraire platform is based on the Ethereum blockchain. It uses smart contracts to automate the process of staking, rewards, and trading of the Numeraire token. As an ERC-20 token, NMR works on the Proof of Stake consensus mechanism. This makes it an even more versatile and environmentally friendly protocol.
Alethea AI (ALI)
Alethea AI is a research and development studio that is bringing together blockchain and Artificial intelligence. The Artificial Liquid Intelligence token (ALI) is the native of iNFT Protocol and is in fact an ERC-20 coin. ALI is useful in regulating, incentivizing, and rewarding the users who are a part of and participate in the iNFT ecosystem. Being the native utility token it helps the platform to perform efficiently and also grow in an upward manner.
The token has an Initial Total Supply of 10,000,000,000 ALI. It is Non-mintable implying that the creation of new tokens is not possible. It is also Burnable, meaning that the destruction of existing tokens may happen
According to the website, “Within the Noah’s Ark, intelligence flows from the AI Engine that powers the Intelligent Metaverse, towards the iNFTs. This flow of Intelligence from the AI Engine to an iNFT occurs via the ERC-20 ALI Token. Through this act of tokenization, the intelligence flowing in the Noah’s Ark Intelligent Metaverse becomes defined and measurable. The ALI Token, hence, is a unit of intelligence in Noah’s Ark.”
To summarise
In conclusion, the intersection of AI and cryptocurrency is an exciting area of innovation. It has the potential to revolutionize the way we think about AI and blockchain technology. These projects are still in the early stages of development, but they demonstrate the potential for AI and blockchain to work together to create more efficient, secure, and decentralized systems.
It’s important to remember that, as with any investment, it’s crucial to conduct thorough research. You must also consult with a financial advisor before making any investment decisions. The cryptocurrency market is highly speculative and risky, and it’s essential to be aware of the potential risks and limitations of these projects. Despite these risks, the intersection of AI and cryptocurrency is an area that is worth keeping an eye on. The potential for AI and blockchain technology to work together to create new and innovative solutions is vast, and we can expect to see more and more projects in this space in the coming years.
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