Automating Your Business

AI and Blockchain: better together?

By Jitendra Bhojwani posted Fri July 16, 2021 10:47 PM

  

Both AI and Blockchain utilize the power of data to create value for the users. While AI uses data analysis to generate intelligent insights and automate the tasks, the Blockchain facilitates secured data storage and sharing over a decentralized network. There are many interesting and useful ways in which both of them can strategically be blend to leverage each others’ capabilities. The main challenge before AI technology is censoring the unethical use of data and tracking its functionality. For Blockchain, the present challenge is to prepare the technology for mass consumption by speeding up the transaction processes and automating complex tasks. A little mathematics will reveal that both technologies have the required qualities to solve each other’s challenges. Here’s how:

 

 

Encouraging diversity and preventing biased algorithms

 Along with intelligent task automation, AI mimics- to a large extent- the human capability of constantly refining the performance with time. By feeding it the right training data you can expect AI to not only automate and compress the present verification process but also build on its capabilities with time. AI’s performance is nurtured by the increasing volume of contextual data allowing it to boost its performance constantly. This constant evolution will prepare the AI systems to easily adapt their performance and speed to the rising demands in the future as the Blockchain platforms will achieve mass popularity.

 

 While AI can automate and compress the verification process, the Blockchain can also return the favor. The best way to max out the AI’s potential is to strategically combine the capabilities of multiple AI systems to transform them into all-around solutions. With its smart contract networks the Blockchain can pave a way for establishing a seamless communication between different AIs through its decentralized system.

 

Fortifying Data Security

 Data is the indispensable prerequisite for AI to learn and improve itself. Experts constantly nurture AI systems with a huge volume of data from different sources. One of the concerns is how to give individuals a choice for safeguarding their data and sensitive information. Blockchain facilitates this by providing encrypted data storage on a decentralized ledger that provides access to only approved entities while preventing unauthorized access. So, you can remain assured that no hackers or malicious entities can misuse your data.

 

 By combining the power of Big Data and Blockchain, it will become much easier to access and manage huge databases without compromising security.

 

It isn’t practically possible to trust a single company with your data- especially sensitive financial or medical information. With its decentralized platform, the Blockchain offers a reliable solution by allowing for storing the data that can only be accessible by AI after thorough procedures and permissions. It will help you to get personalized recommendations based on data algorithms while also ensuring secured storage.

Automating computing process behind Blockchain

 Blockchain operation on a computer consumes a heavy volume of processing power due to the extensive encrypted data it contains. For Bitcoin block mining, it takes a sort of hit and try an approach to verify transactions through brute force approach, i.e., strategically checking and validating different solution candidates.

 

 AI replaces this standard, time-consuming approach with a more targeted and smarter approach that saves time and effort while delivering better efficiency. Thanks to its self-learning capabilities, the AI can enhance its performance in the actual time. So, you can not only expect a quicker task execution but also a constantly improving performance over time.

 

Enabling data ownership and monetization

 Data monetization is another major benefit for the end-users that can be made possible by blending Blockchain with AI. Digital brands like Facebook and Google turn their users’ data into a revenue-generating source by selling it to third parties.

 Without our knowledge and permission our data is being traded- often in irresponsible ways- to the commercial entities enabling them to create more profits. Ironically speaking, our data is manipulated to repeatedly annoy us with irritating marketing communication. AI plays a major role here. With its encrypted distribution properties, Blockchain allows us to lock our data ensuring that no one should use or sell it without our permission. It also creates opportunities for us to monetize our data by unlocking the selective information that we are comfortable sharing with others. In other words, it turns our data into a revenue source for us. 

 It also gives us an option to share only the contextual information while safeguarding our data that goes a long way in discouraging the practice of biased algorithms- a major concern for the AI industry.

Encouraging fair market practices

 AI networks often buy our data from mediators and use it to train their AI algorithms. It creates undue opportunities for tech giants allowing them to exploit their users’ data without sharing the revenue or credentials. Blockchain will discourage this unfair practice by necessitating the purchase of data directly from original creators- without any intermediaries. All you have to do is to join a data marketplace and directly sell data to the interested parties. Along with offering full data ownership for original creators, it will also bring transparency to the market.

 

Blockchain can also encourage fair market practices. With its decentralized encrypted data network, the Blockchain necessitates the formal purchase of data directly from the original creators- eliminating the need for intermediaries.

 

 These online marketplaces for data will also create a fair playground for small businesses and start-ups who cannot afford to buy expensive Datasets from tech companies. Through data marketplaces, such small players can buy smaller chunks of contextual data directly from the creators at much lower costs.

 

Tracking AI functionality and outputs

   The AI algorithms can evolve which will make it more challenging for data scientists to comprehend the logic behind their specific outputs. The challenge is how to confirm that AI conclusions are based on a realistic approach and leading to the desired direction. For that AI auditing is very important.

 

 The Blockchain technology helps us to overcome our human limitations by creating an immutable footprint of data, processes, and variables employed by AI to arrive at a specific conclusion. It facilitates a more reliable auditing of the whole procedure behind AI conclusions.

 

 With the help of purpose-built Blockchain programs you can get a tangible footprint of every step- right from data feeding to the conclusions. Immutability being at the core of Blockchain technology you can remain assured that the data has not been corrupted or tampered with. It will help us to better understand the functionality and parameters behind AI decisions enabling us to make necessary corrections wherever needed.

 

Conclusion

AI and Blockchain are among the most promising technologies in the current period. Each of these technologies has its capabilities and challenges. While Blockchain facilitates secured data transactions over decentralized networks the AI uses datasets to mimic human learning and constant evolution. When strategically combined these two technologies can create massive value for society and businesses.


#Blockchain
#ArtificialIntelligence(AI)

Permalink