{"id":2168,"date":"2020-01-02T00:53:48","date_gmt":"2020-01-02T00:53:48","guid":{"rendered":"http:\/\/kusuaks7\/?p=1773"},"modified":"2024-01-31T17:48:23","modified_gmt":"2024-01-31T17:48:23","slug":"blockchain-intelligence-ai-in-value-chains","status":"publish","type":"post","link":"https:\/\/www.experfy.com\/blog\/fintech\/blockchain-intelligence-ai-in-value-chains\/","title":{"rendered":"Blockchain Intelligence (AI) in Value Chains"},"content":{"rendered":"\t\t
\n\t\t\t\t\t\t
\n\t\t\t\t\t\t
\n\t\t\t\t\t
\n\t\t\t
\n\t\t\t\t\t\t
\n\t\t\t\t
\n\t\t\t\t\t

AI is an integral part of Digital Process Automation, and the potential of AI optimizations for on-chain (Blockchain transactions) and off-chain data (IoT, customer, etc.) are tremendous.<\/strong><\/h3><\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
\n\t\t\t\t
\n\t\t\t\t\t\t\t\t\tThere is a lot of speculation about the impact of Artificial Intelligence on Blockchain. Part of the problem is the folklore surrounding Artificial Intelligence\u00a0and\u00a0<\/em>Blockchain. Here we elaborate on someof the core synergies between Blockchain and AI \u2013 focusing primarily on the advantages of AI for all the layers of a robust Blockchain reference architecture. The business value of the AI is realized in the context of end-to-end value chains.\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
\n\t\t\t\t
\n\t\t\t\t\t\t\t\t\tEnd-to-End value chains orchestrating people, enterprise applications, trading partners \u2013 while leveraging Blockchains and IoT\/IIoT \u2013 is where the Internet of Value achieves its full potential. Value chains are business processes that are digitized and automated through a Digital Process Automation platform. AI is the nervous system of the value chains.\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
\n\t\t\t\t
\n\t\t\t\t\t

AI<\/h2><\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
\n\t\t\t\t
\n\t\t\t\t\t\t\t\t\tAI has been around since the\u00a0mid-1950s<\/a>! The well-known and respected\u00a0Association of Artificial Intelligence<\/a>\u00a0(AAAI) was established in 1979. But AI had lots of ups and downs with the associated hype. There was a time when rule-based\u00a0Expert Systems<\/a>\u00a0were predicted to take over the world. They didn\u2019t. However, more recently, we are seeing an incredible\u00a0rekindling of interest and deployment of AI<\/a>. A perfect storm of technological advances in computing, databases, and networking have caused the emergence of AI as one of the most significant digital transformation trends. However, the hype is still there! It is amazing that even after so many years, there is still some confusion as to exactly what should be considered \u201cAI.\u201d\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
\n\t\t\t\t
\n\t\t\t\t\t\t\t\t\tArtificial Intelligence, at its core, is trying to emulate humans: make intelligent decisions, sense, see, move, carry out tasks, talk, and interact like humans. One of the major areas impacted by AI is\u00a0work<\/em>. AI can be the core engine for\u00a0automation<\/a>\u00a0\u2013 either through physical robots or software robots, also known as\u00a0Robotic Process Automation<\/a>; or through\u00a0intelligent virtual assistants<\/a>\u00a0for AI-assisted work; or through involving cognitive workers who think for a living. \u00a0There is no question that many repetitive and well-defined tasks will eventually be replaced through AI-enabled automation: these span smart manufacturing shop floor functions to front or back-office repetitive tasks. AI also attempts to learn continuously. The ultimate objective is to make it difficult in specific highly technical or specialized domains (work) to distinguish between AI and humans. Furthermore, robust AI systems can intelligently correlate and respond to real-time events. The combination of analytical \u2013 especially predictive \u2013 models with real-time event processing is a powerful enabler for\u00a0responsive systems<\/a>. In many applications, AI is providing augmentation and assistance to humans.\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
\n\t\t\t\t
\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\"\"\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
\n\t\t\t\t
\n\t\t\t\t\t\t\t\t\tOf course, AI can be applied in all areas within consumer and enterprise applications \u2013 not just work automation. However, as\u00a0Blockchain evolves into value chain<\/a>\u00a0the emphasis on intelligent automation becomes imperative. This spectrum of automation enabled and empowered through AI, is critical to Blockchain solutions \u2013 discussed next.\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
\n\t\t\t\t
\n\t\t\t\t\t

Blockchain<\/h2><\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
\n\t\t\t\t
\n\t\t\t\t\t\t\t\t\tBlockchain also has its own share of speculation, connotations, and\u00a0confusion<\/a>. Blockchain is a type of\u00a0distributed and decentralized ledger. Each Blockchain involves many copies of a decentralized ledger database that exist on nodes all around the globe. Compared to AI, Blockchain is in its infancy. Blockchain traces its inception to Cryptocurrencies \u2013 and especially\u00a0Bitcoin<\/a>. It was launched only about a decade ago, and the first-ever block of the Bitcoin Blockchain was unleashed by Satoshi Nakamoto on\u00a0January 3, 2009<\/a>. We still do not know exactly who is (or who are) the famous inventor(s) of Bitcoin \u2013 which is amazing in the digital era of leaks and disclosures! Whoever this person(s) is (are), they are good\u00a0communicators<\/a>.\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
\n\t\t\t\t
\n\t\t\t\t\t\t\t\t\tThere are many salient characteristics of Blockchains, and part of the confusion is that \u201cBlockchain\u201d connotes many disciplines and technologies. Artificial Intelligence is relevant to each one of these but impacts them differently.\u00a0 In addition to the peer-to-peer decentralized and disintermediated recording of transactions, some Blockchains also execute\u00a0Smart<\/em>\u00a0Contracts.\u00a0Smart contracts are the policies, rules, and mutual agreements between parties that get executed in the Blockchain.\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
\n\t\t\t\t
\n\t\t\t\t\t

Sources of \u201cIntelligence\u201d<\/h2><\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
\n\t\t\t\t
\n\t\t\t\t\t\t\t\t\t\nBefore delving into this important synergy between Blockchain and AI, we need to frame the sources of intelligence. There are four main sources, and each of these has a tremendous impact on Blockchain applications.\n