AI and Web3: Unleashing the Power of Decentralized Intelligence

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The fundamental definitions of AI and web3 as they stand today

By now you have probably heard a lot about the pros and cons of Artificial Intelligence or AI and Web3. In this article, we will explore the relationship of AI and Web3, its implications across various domains, and the immense potential it holds for the future.  We’ll also touch on the benefits as well as the negative and doomsday outlook about how humans will fare vs AI.

Defining AI and web3:

Let’s get right into the fundamental definitions of AI and web3 as they stand today – this will be changing as this space evolves. 

  • AI: Artificial Intelligence refers to computer systems that can perform tasks that typically require human intelligence, such as speech recognition, problem-solving, and natural language processing. AI leverages algorithms and large datasets to train models that can learn from experience and make intelligent predictions. It does not possess the intelligence like that of sentient beings – but it is pretty smart and will continue to get smarter. However we are quite far away from HAL 9000, the fictional artificial intelligence character and villain from the Stanley Kubrik film Space Odyssey.
  • Web3, AKA the decentralized web: This builds upon the foundation of blockchain technology and introduces decentralized principles to various aspects of the internet. Web3 enables us to move away from the control of private corporations solely incentivized by shareholder profits instead of user benefits. It also removes intermediaries by utilizing decentralized networks, smart contracts, and cryptographic protocols. It basically frees users and businesses from big corporations like Google and Meta.

What is true for both is that they are revolutionizing the way we interact with the digital world. It is not the future, it is now. AI has made significant strides in enhancing efficiency, automation, and decision-making capabilities, while Web3 has introduced decentralization, trust, and transparency in various industries. The convergence of these two groundbreaking technologies has the potential to reshape how we interact in the digital universe, unlocking new possibilities and empowering individuals and businesses in ways many can’t even imagine. 

What we are witnessing is a major paradigm shift that will impact everyone – even those businesses that are traditional brick & mortar. The world witnessed and easily adapted to the first version of the digital economy in the late 20th century, when we had the added burden of transitioning technology from analog to digital. This first shift was simpler in some ways, as we leveraged technologies to execute analog tasks as digital ones.

Those improvements made these tasks faster and often more efficient than before. Think of banking for example – Before, we drove to a bank branch, found parking, stood in line or cued up in the drive through, filled out a paper deposit slip with a paper check, and a teller completed our transaction. Now you simply open your bank app and photograph a check for deposit, or merely move money from account to account seamlessly, all in a matter of minutes from the comfort of your couch. 

Late last century, we also saw the emergence of new business models and the disruption of legacy industries based on technology that could not have existed before. Think of Instacart, Grubhub, Lyft, Spotify, and TurboTax.

In this new version of the digital economy, we will reap the benefits of artificial intelligence, blockchain, the metaverse, programmable money, digital identity, cryptographic proofs, quantum computing, IoT – and all of it working together to bring forth a new way of working and doing business. 

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