Coinbase, a prominent cryptocurrency exchange, acknowledges the profound potential of artificial intelligence (AI) in the realm of digital currencies. Being at the forefront of the industry, Coinbase recognizes the considerable influence AI can wield in transforming the utilization, comprehension, and regulation of cryptocurrencies.
In a recent research conducted by Coinbase, David Duong, the head of research at Coinbase, emphasizes the increasing possibilities for collaboration and exploration of novel applications in the realms of AI and blockchain technology.
Further, he highlights the expanding potential for these two fields to intersect and create innovative solutions.
The advancement of AI and blockchain applications is poised to reshape numerous industries and offer remedies for the particular societal dilemmas raised by AI.
Within this context, a compelling scenario emerges, involving the convergence of generative AI and decentralized data marketplaces. According to Duong's proposal, these marketplaces can effectively tackle the need for authenticated and diverse datasets, which is essential for training generative AI models.
By leveraging decentralized data marketplaces, the demand for reliable datasets can be met, facilitating significant progress in the realm of AI.
Through the utilization of blockchain technology, these marketplaces can establish a platform that ensures data exchange is both secure and transparent.
What is Blockchain Technology?
Blockchain is like a secure and unchangeable record book that helps keep track of transactions and things of value in a business network. It can monitor physical assets like houses, cars, or money, as well as non-physical assets like patents, copyrights, or brand names. Basically, anything valuable can be monitored and exchanged on a blockchain network, making things safer and cheaper for everyone involved.
Token-Based Incentives
The report suggests that in decentralized data marketplaces, a system using tokens as rewards or incentives could be introduced to improve the quality of data obtained. According to Duong, this system would motivate data providers to offer trustworthy and top-notch data, which would ultimately be beneficial for generative AI models.
By using tokens as rewards or incentives, the data exchanged on these platforms can be made more reliable and precise. This ensures that everyone involved is encouraged to contribute high-quality data, making the whole process better for everyone.
Collaboration of AI-Blockchain
As blockchain and AI progress, their combined potential becomes even more exciting. By merging blockchain with AI systems, we can overcome issues surrounding data privacy, security, and trust. This collaboration opens doors to creative solutions for different societal problems, taking advantage of the strengths of AI and blockchain technologies.
Further, he said that this convergence can lead to the development of innovative applications that tackle specific societal challenges posed by AI. In simpler terms, AI and blockchain coming together can create new ways to address the problems caused by AI.
