AI tokens are building momentum but nonetheless face challenges.
Interest in artificial intelligence (AI) has increased dramatically in recent years. AI is a breakthrough technology with the potential to fundamentally change countless industries, crypto among them. Enthusiasts view it as a key component of new financial and social ecosystems, including the project of decentralized finance (DeFi). It’s no surprise, then, that many new cryptocurrency projects are closely intertwined with aspects of AI. Below, we explore AI tokens in more depth and take a closer look at a few popular examples.
Simply put, AI tokens are cryptocurrencies that utilize AI in some way to improve security, user experience, scalability, or a variety of other factors. In theory, AI can be trained to further automate and build trust or efficiency in many crypto systems. AI tokens can also be digital currencies designed to power AI-based apps or projects, including decentralized marketplaces or exchanges, image or text generation services, AI-based investment protocols, and more.
The Advent of ChatGPT
The crypto space—and the worlds of business, education, and more—have been buzzing about ChatGPT since its release in mid-2020 and particularly starting at the end of 2022 as it gained widespread popularity. ChatGPT is a chatbot developed by OpenAI, designed to generate human-like text and to perform a multitude of language tasks such as processing information, answering questions, and more.
The potential for ChatGPT to further disrupt the crypto space is huge. For instance, Justin Sun, creator of the tron blockchain and token, has outlined a possible AI-based decentralized payment framework based on and supporting the chatbot.
Perhaps more importantly, the sudden ubiquity of ChatGPT has sparked new interest among both crypto investors and those outside of the community in the possibilities of AI technology. Microsoft recently announced an
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