The Future of AI-Related Cryptocurrencies: A Promising Outlook for 2024
- In 2024, the synergy between artificial intelligence (AI) and blockchain technology could energize the cryptocurrency sector.
- Privacy and data ownership innovations are at the forefront of this evolution.
- The rise of AI-related tokens in 2023 indicates a growing interest in this technological convergence.
The Convergence of AI and Blockchain
In 2024, the cryptocurrency sector linked to AI could experience significant growth, driven by the integration of AI with blockchain technology. This could give rise to a whole new ‘sub-sector’ with virtually infinite potential. These predictions come from various analysts, including Sandra Leow from Nansen.
‘AI and cryptography are rapidly maturing, and while the potential of AI and blockchain integration remains largely uncertain today, emerging use cases and possibilities offered by both technologies are enormous,’ stated Sandra Leow.
The emergence of AI agents, combining elements of AI and Web3, could revolutionize how transactions are processed and value is exchanged on the blockchain. According to Sandra Leow, these AI agents could become a ‘major category of users on the blockchain.’
AI x Web3: Towards a More Confidential Framework for Users?
The 2024 Crypto Trend report by Gemini highlights the potential for improved privacy and data ownership through the integration of AI and Web3.
This combination could also provide an alternative to large-scale cloud development. Innovations within Web3, particularly zero-knowledge proofs (zk Rollups), could enable the development of privacy-respecting ‘machine learning.’
Analysts believe AI could transform the crypto ecosystem, evolving it from a specialized and relatively restricted market to a widely used and accessible tool. This evolution could enable ‘more democratic participation’ in the fields of technology and finance.
Brian Rose, CEO of London Real Ventures, predicts the emergence of numerous AI-related blockchain games and suggests that AI ‘will be responsible for building 99% of the metaverse.’ He believes this sector could attract up to 1 billion users by 2024.
The Performance of AI-Related Cryptocurrencies in 2023
In 2023, AI-related tokens performed remarkably well, despite a bearish market. This trend suggests a growing belief and momentum in the fusion of AI and blockchain.
Although concrete use cases are still relatively scarce, cryptocurrencies associated with recent developments in AI have seen significant gains throughout the year. Notable projects include Render, Bittensor, and Fetch.AI.
