AI’s popularity in the market has led many users to explore ChatGPT and utilize AIGC to fulfill their work and life requirements. The increasing mentions of AI Crypto in the cryptography field shows AI’s entry and the innovative technologies/products being developed through blockchain’s decentralized environment. In this article, we will discuss how AI’s technical advantages can optimize cryptography and how Web3’s decentralized storage infrastructure complements AI.
What is AI & AI Crypto
AI (Artificial Intelligence) is a branch of computer science and engineering. AI systems use algorithms and statistical models to evaluate large amounts of data and make predictions or decisions based on their analysis. The study of intelligent machines that can perform tasks traditionally requiring human intelligence, such as speech recognition, decision-making, and language translation, is known as AI research.
AI comes in many forms, such as rule-based systems, machine learning (ML), and deep learning. Machine learning systems learn from data and get better over time, while rule-based systems use a set of predefined rules to make judgments. Many industries, including healthcare, banking, transportation, and entertainment, are using AI. While it has the ability to improve efficiency and create new opportunities, the development of AI has raised ethical and social issues, such as its impact on employment and the potential for bias in decision-making.
AI Crypto is a cryptocurrency that incorporates AI technology into its operation. Unlike traditional cryptocurrencies, AI Crypto uses machine learning algorithms and natural language processing to study market patterns, make predictions, and execute automatic trades. Investors consider them a more dynamic and responsive investment choice due to their ability to learn and adapt to market developments.
The project and platform behind AI Crypto, in fact, were created as a specialized platform for AI and machine learning researchers and developers to facilitate the development and testing of new models, applications, and algorithms in a decentralized and open environment, enabling more efficient updates and iterations.
The Data Challenges Faced by Decentralized Storage and AI
As we enter the era of Web3, it’s important to acknowledge that the decentralized storage ecosystem, which is the cornerstone of its development, is also rapidly growing. Based on blockchain technology, all data in decentralized storage is recordable, traceable, and decentralized. However, some significant issues currently exist, such as:
The massive recording of meaningless/useless data
The indiscriminate recording of data by distributed ledgers allows for, or even incentivizes, the recording of a significant amount of meaningless data within the ecosystem.
The efficiency problem of data utilization
Behind each block, there are numerous volumes of metadata. While data is publicly transparent, without the proper tools, it can be messy and require the creation of various scripts to access blocks, traverse information, and format data. This can result in high development costs and low efficiency in meeting user data demands.
Regarding the AI industry, each year between 15% to 30% of funds invested in AI are used for data annotation, and this business is growing at a rate of 30% per year. However, there are also certain issues that come with the stunning growth of the AI data industry, such as:
Increased labor costs
There is a growing need for specialized knowledge in data annotation, from speech and image recognition to healthcare, finance, education, and other industries.
The rising cost of business operations
As business operations costs rise, data labeling companies are unable to claim data ownership or benefit from its data delivery. They solely rely on labor to sustain their cash flow, with no prospects of appreciation or growth. Intensifying competition has caused most labeling companies to operate below capacity, increasing the risk of employee layoffs.
AI and decentralized storage are complementary
To meet the decentralized storage system’s need for effective and usable data, AI can play a vital role in data analysis and tracking. It can swiftly collect information on a company’s latest security incidents, identify potential threats, and even search for common vulnerabilities and exposed data.
Moreover, decentralized storage technology offers an unprecedented capability to share trustworthy data without the need for third-party data labeling services for AI data industries’ labor and business demands.
Despite the respective data challenges faced by decentralized storage and AI data industries, both have significant advantages that seamlessly fit together like interlocking joints, complementing each other.
AI can analyze large amounts of data, discovering patterns and trends that human analysts may overlook. With this research, traders can make more informed decisions about when to buy, sell or hold cryptocurrencies.
Many functions in the cryptocurrency market, including data analysis, market trend monitoring, and trade execution, can be automated through AI. This speeds up transaction processing on the blockchain network and saves traders valuable time.
Better risk management
AI can help traders manage risks by evaluating data and identifying potential pitfalls. This allows them to make more informed decisions about the assets they should invest in and the amount they should invest.
AI applications in the cryptocurrency market can enhance security by identifying potential vulnerabilities and taking measures to prevent them. This reduces the likelihood of hacking attacks and other security issues.
How can CESS enhance AI?
Decentralized storage requires a sustainable and efficient data production mechanism, and AI’s constantly updated models and algorithms can meet this demand. Meanwhile, the AI data market needs a platform for its shared economy, and decentralized storage’s powerful data authentication can provide a solution. As the first Web3 cloud storage network to support large-scale commercial storage, CESS is a leader in this field.
CESS’s decentralized object storage (DeOSS) provides fast, secure, scalable, and privacy management storage services for users with high-frequency dynamic data storage needs. DeOSS protects data availability and integrity, enabling users to truly own their data. Thus, it provides AI with a massive, real-time, and dynamically updated database, satisfying business requirements.
Furthermore, CESS can make AI data more useful through its innovative technologies and meticulous multi-layer network architecture design. CESS achieves performance and user experience similar to centralized cloud systems while being decentralized. Data retrieval and return are close to millisecond level, and overall data integrity, durability, and reliability reach their maximum potential.
The combination of CESS’s decentralized storage technology and AI technology can create infinite possibilities and potential.