Blockchain technology played a pivotal role in the age of innovation. It has transformed several industries such as healthcare, retail, finance, real estate, and supply chain by adding a layer of security and transparency in their workflows. On the other end, artificial intelligence plays an essential role in the business sector.
Chatbot, an important application of AI has refurbished conventional businesses and enhanced the customer experience. The global AI market is expected to reach more than half a trillion US dollars by 2024. It has accomplished itself as an integral part of each business whether it is retail, finance, medicare, travel, or real estate.
The pair of artificial intelligence and blockchain have laid the groundwork for a new business era by some means or another. But have you ever speculated what will be the outcome of combining these two technologies? Before we look into how the combination of these technologies can revamp business operations, let’s have a look at the significance of AI and blockchain in the current market.
Artificial Intelligence and Blockchain – Short Introduction
AI refers to the smart machines that are programmed to think, act, mimic like humans, and perform repetitive tasks. Artificial intelligence with its remarkable features has brought a revolution in the corporate sector – letting everyone know why investing in artificial intelligence has become an absolute necessity.
Key Characteristics Of Artificial Intelligence
- Efficient data management
- Error prevention
- Future prediction
- Assistance in real-time
- Data mining
The technology is anticipated to make a substantial impact on the business market as shown by the statistics provided below:
By 2019, 40% of all digital transformation efforts will be assisted through AI
Blockchain, in simple terms, is a distributed ledger that maintains transactions in a series of nodes for transparency and security. The technology with exceptional properties has disrupted the business sector in various ways.
Key Characteristics Of BlockchainTransparency
- Data protection
- Decentralized database
- Distributed ledger
Blockchain has also displayed a broader scope for the future as shown by the statistics given below:
- Corporations are expected to spend 20 billion US dollars per year on blockchain services by the end of 2024
Advantages Of Hybrid AI and Blockchain Technology
The convergence of AI and blockchain can solve several issues and can provide countless new features. A few of the possibilities are:
Superior Decision Making
The integration of AI with blockchain streamlines the decision-making process. At one end, AI algorithms will greatly assist in detecting frauds and potential risks associated with any transaction. While on the other side blockchain will improve the accuracy of the data utilized by AI models for fraud prediction through its secure and simple data auditing procedure.
It will facilitate users to check what and how their sensitive information is stored, managed, and employed without causing harm to their privacy and security. It helps them to analyze every single step in the decision-making process, which will increase the customer’s trust.
Artificial intelligence and blockchain in a single entity can eliminate the struggle connected with the payment processes. Blockchain-based cryptocurrencies will remove the currency barrier and nurture international trading. AI will increase workflow efficiency, assure better safety and minimize the costs required.
Better Business Models
Another important aspect of combined technologies is the development of better business frameworks. The blockchain platform will provide seamless access to the data of the entire business ecosystem. Every user provides immutable data without having to worry about the ownership of the network. It will provide the AI mechanism to get detailed insights from the behaviors, patterns, and other factors correlated with the working of the business.
Secure Smart Contracts
Smart contracts ensure improved data storage, higher speed, minimum disputes for the business sector. AI and blockchain together will ensure that the smart contracts encrypt and verify sophisticated connections on the blockchain.
Secured Personalized Experiences
Blockchain along with AI will also enhance the personalized experience provided to the customers. While AI works with highly sensitive data, blockchain will make sure that the data stays secure and unchangeable by implementing the finest encryption procedure through cryptography.
In simple words, blockchain will provide security through encryption and artificial intelligence will ensure privacy to end-users in terms of their experience on platforms utilizing the data secured by blockchain.
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