AI and Crypto - can this be a good combo?

The AI hype train has well and truly left the station. But what happens if you add AI hype to crypto hype? AI is taking over - language bots like ChatGPT and AI image generators like Midjourney and Dall-E have shown the world what artificial intelligence is capable of. Tech companies are already scrambling to integrate it into their models. Within weeks of its launch, Microsoft is allegedly close to finalizing a $10 billion deal. AI is after our jobs, but how far is it actually from replacing us?

Undoubtedly, many jobs will be made easier or somewhat redundant - however, people will not be made redundant. Using AI to our advantage is a new skill many will have to learn, in order to adapt to this new change. AI will truly infiltrate all aspects of modern tech and society.

And even if it’s got its ups and downs, crypto has become a serious player in this generation’s economy worldwide, revolutionizing the way we see money and technology. Until then, let's think for a second what happened if AI and Crypto had a crossover.

Can crypto and AI work together? More benefits or more deal breakers?

By description, artificial intelligence is a form of intelligence shown by machines, contrary to the natural intelligence displayed by humans. The past ten years have seen a huge increase in business investment, research effort, and general adoption and acceptance of AI.

How did it gain so much popularity? Well, it was kick-started by the release of OpenAI’s ChatGPT, a chat platform some are convinced could pass the Turing Test, designed to measure whether a machine can be taken for as a human. The tool is impressive – it can write smart contracts, and compose poetry while also threatening Google’s monopoly on search.

AI’s strength lays in its ability to pattern recognition, while Crypto’s community lays around decentralizing money is admirable, even if it’s got some ups and downs. Some of the benefits this bond could provide us are:

AI trading - its ability to analyze vast amounts of data almost instantly.

While humans can process information quickly, we simply can't keep up with the volume of data that is generated in the financial markets, but our little friend can. When it comes to trading, this works well - when you add volatile crypto into the mix, it makes even more sense.

No more risks, time to get secure - As we already mentioned, AI can spot trends and make decisions faster than any human. The average retail investor can use this to their advantage with packages of crypto trades, similar to ETFs. Not to mention that if crypto is perceived as less risky, more investors will want to join the party.  AI has the potential to insulate investors from big losses with algorithmic trading.

The ability to continuous learning - The cryptocurrency market can be predicted using neural networks using advanced AI. These systems can observe and compare exchange rate fluctuations, as well as discover patterns, and utilize this data to make reliable projections about future changes in the exchange rate.

No more frauds - Crypto and the blockchain are all about anonymity. And even if these is some of the top things about this market, it makes it vulnerable to a range of scams, like market manipulation and outright theft. An AI algorithm trained to detect anomalies in transactions could help to prevent these rampant cash grabs.

Are AI tokens the future of cryptocurrencies?

AI tokens are cryptocurrencies that utilize this kind of concept (AI) in some way to improve security, user experience, scalability, or a variety of other factors. In theory, AI can be trained to automate further and build trust or efficiency in many cryptosystems, while also being digital currencies designed to power apps or projects, including decentralized marketplaces or exchanges, image or text generation services, AI-based investment protocols, and more.

The whole world has been buzzing about ChatGPT since its release in mid-2020 and particularly starting at the end of 2022 as it gained widespread popularity. If you are not familiar with this trend, ChatGPT is a chatbot developed by OpenAI, designed to generate human-like text and perform a multitude of language tasks such as processing information, answering questions, and more.

AI tokens as a group received a sharp boost as ChatGPT gained popularity late in 2022, with select coins more than doubling in just a few weeks. Here are some of the top AI tokens available on the market:

ALI - Standing for Artificial Liquid Intelligence, this token is used by Alethea image generator to create images based on input from users. This token is best known for CharacterGPT, an AI protocol that uses text descriptions to generate interactive AI-based characters, and also in the generation of character NFTs as well as for upgrades, transactions or incentives.

FET - A medium of exchange for the Fetch.ai system, a decentralized platform used to build intelligent, autonomous software and tools, making possible the launch of data analytics, decision-making, and prediction bots.

Last but not least…. (drums, please!):

HYVE - Might be still a secret for some of you, but stay tuned for more details about our new version of HYVE V2.5! This new version will contain an AI integration that is gonna simplify the jobs of our freelancers.

Think about it: platforms like these could one day create cheaper or less privacy-intrusive AI platforms and help share in the wealth created by the next big technological shift – rather than Microsoft and Google reaping all the rewards.

Let's take a step forward the future with AI, and allow its benefits to be enjoyed by all!