Crypto advocates made a case for decentralized AI at the Davos conference.

As Big Tech Prepares to Lead in AI, Decentralizers Advocate for a Blockchain Governance Layer in the Next Era of the Internet.

🚀 Decentralizing Data and Mitigating Risks: How Blockchain Can Shape the Future of AI

The arms race for generative artificial intelligence (AI) is heating up, and the list of companies leading the charge tells us a lot about the risks we face from a concentration of power in this technology. But fear not, because blockchain’s decentralizing data management model is here to save the day.

The Power Players in AI

The corporate establishment’s heavy hitters—Microsoft, Alphabet, Amazon, Apple, and Meta—have all thrown their hats into the AI ring. These internet giants, which have dominated the Web2 era for the past two decades, are investing billions in AI technology through both funding startups like Open AI and Anthropic and developing their own internal projects [^1^].

Capitalizing on Data Monopolies

These technology titans currently hold five out of the top seven spots in corporate market capitalization rankings. Their combined market cap is nearly $10 trillion, just a swoop away from a quarter of the entire S&P 500 market cap. Nvidia, in sixth place, joins them in their pursuit of computational capacity for developing generative AI’s large language models (LLMs) by aggressively purchasing their graphic cards [^1^].

It’s interesting to note that the only company on par with these giants is Saudi Aramco, the state-owned oil company of Saudi Arabia. Just as oil fueled Saudi Aramco’s dominance, data is the fuel that powers the internet giants’ control over the AI space [^1^].

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Data Extraction and Human Manipulation

The reason these companies hold pole positions in the AI race is the colossal amount of data they’ve collected from us, the users. We unwittingly became the quarries from which they extracted zettabytes of data about our online activities and social relations [^1^].

Driven by the prevailing surveillance capitalism business model, these companies used our data to create algorithms that targeted our brains with a series of dopamine hits, skillfully manipulating us to take actions beneficial to their bottom line. They fine-tuned the art of exploiting human psychology, keeping us engrossed in their platforms and ensuring a steady stream of revenue from advertisers and app developers [^1^].

The Downside of Data Monopolies

While this business model served the interests of the platforms and their shareholders, it has had dire consequences for society at large. Adolescent suicides have risen by about 50% since 2008, with the U.S. Surgeon General warning about the harmful effects of online bullying and toxic behavior on young people’s mental well-being [^1^].

Furthermore, contentious issues have become battlegrounds for endless debates and attacks between interest groups, making it increasingly difficult to uncover facts and find solutions to urgent problems such as climate change and conflicts like the one in Gaza. Ultimately, the decline in our democracy’s health can be attributed to the internet economy’s current structure [^1^].

Don’t Repeat the Same Mistake in the AI Era

Given the havoc wreaked by the current centralized, destructive, and oligopolistic model, it would be unwise to propagate it into the AI age. The power wielded by data-driven algorithms will be even greater, and allowing centralized corporate owners to control crucial information about our essence as human beings is a recipe for disaster [^1^].

Decentralizing Data for a Brighter Future

The time has come for us to recognize that this data belongs to us, not the platforms. Handing over our sensitive information to companies that have already shown a capacity to harm us is far too dangerous. So, how do we shift to a data management model that places control at the edges of the network rather than at the center? Changes are imminent, and decentralized tracking approaches facilitated by blockchain technology could provide the answer [^1^].

Blockchain to the Rescue

Blockchain has the potential to enable a more decentralized system where training data can only be used with the consent of its owners. This would not only reassure data owners but also protect vital information from AI-driven “deep fake” tricks. We need a system of verification that we can trust, one that relies on a censorship-resistant, open-source protocol rather than the empty promises of Big Tech [^1^].

The AI-Blockchain Intersection

At the World Economic Forum in Davos, crypto enthusiasts outside the usual conference walls were abuzz with discussions about the intersection of AI and blockchain. They were excited about groundbreaking projects like Jonathan Dotan’s proofed data validation system utilizing Hedera Hashgraph and the MorpheusAI decentralized compute project led by Erik Voorhees and David Johnston [^1^].

It’s unfortunate that these discussions took place mostly away from the mainstream AI programming at Davos, where global companies showcased their solutions to save humanity from the looming threat of machines. It’s high time we all paid attention to the decentralizers in the blockchain community—they hold the key to building a better future, free from data monopolies and AI manipulation [^1^].

🌐 References

1. Blocking.net: Money Reimagined – The Insecurity of AI

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👥 Q&A: Addressing Readers’ Concerns

Q: Isn’t AI-powered technology crucial for innovation and advancement? Why should we be worried about the concentration of power?

A: AI undoubtedly holds immense potential for innovation and advancement, but the concentration of power in the hands of a few major corporations poses significant risks. It can result in the manipulation of data, infringement on privacy, and a lack of diversity in the development of AI models and algorithms. Decentralizing data management through blockchain can help mitigate these risks, ensuring a fairer and more equitable AI landscape.

Q: How can blockchain facilitate decentralized data management?

A: Blockchain’s decentralized nature allows for the creation of a trustless and transparent system where data can be stored and accessed by multiple parties without the need for a central authority. Through blockchain, individuals can retain control over their own data, granting consent for its use and ensuring that it is not manipulated or exploited without their knowledge. Blockchain also provides mechanisms for data verification, creating a more trustworthy and secure environment for AI development and implementation.

Q: What are the potential challenges in transitioning to decentralized data management?

A: Transitioning from a centralized data management model to a decentralized one will require significant changes in infrastructure, regulations, and industry practices. Ensuring data privacy, security, and interoperability across various blockchain platforms will be crucial. Additionally, educating individuals and organizations about the benefits and functionalities of decentralized data management will be necessary to drive adoption.

Q: What are some other promising intersections between AI and blockchain?

A: Beyond data management, AI and blockchain can join forces in various other areas. For instance, blockchain can enhance AI model training by providing secure and immutable records of data sources and transactions. It can also facilitate AI-driven smart contracts and decentralized applications (DApps), creating new opportunities for automation and efficiency. The potential applications of this partnership are vast and will continue to expand as both technologies evolve.

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🌟 The Future is Bright

As we navigate the ever-changing landscape of technology, it’s essential to recognize the potential downsides and actively work to prevent the concentration of power that could harm society. By embracing blockchain’s decentralized data management model and leveraging its intersection with AI, we can build a future that prioritizes fairness, privacy, and innovation.

So, let’s join forces and advocate for a more inclusive and decentralized AI ecosystem. Together, we can shape a future where technology works for the benefit of all, not just a select few.

✨ Let’s reimagine the future of AI together! Share your thoughts and ideas on social media and let’s spark a revolution in the world of tech! 🚀

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