At first glance, AI and blockchain seem to be completely different fields. For example, blockchain emphasizes decentralization, but suffers from memory and throughput constraints.
On the other hand, AI relies on massive datasets and requires high-performance computing. To be more specific, machine learning (ML) models – especially deep learning networks – require massive amounts of data to train effectively, often relying on powerful GPUs or specialized hardware to process this information quickly.
At this point, a report from the International Energy Agency (IEA) indicates that global electricity demand for AI is expected to reach 800 TWh by 2026, an increase of almost 75% from 460 TWh in 2022. Similar projections have also been released by multinational giants such as Morgan Stanley and Wells Fargo, with the latter’s model suggesting that by 2030, AI-centric energy consumption will account for 16% of current US electricity demand.
Morgan Stanley AI Energy Consumption Prediction (Best Case Scenario)
The best of both worlds is here.
Despite their apparent differences, the tech world is witnessing a growing convergence between AI and blockchain, with many innovative projects emerging. For example, Ocean is a protocol that provides users with a decentralized data exchange, unlocking data sets for AI consumption while maintaining their privacy and security.
Similarly, ThoughtAI integrates AI and blockchain directly into data and information, effectively eliminating traditional application layers. Its goal is to create more responsive and adaptive AI solutions that have the potential to revolutionize the way people interact with technology and manage information.
While these projects demonstrate the potential of combining AI and blockchain, they also highlight a critical challenge: scalability. For AI on blockchain to truly flourish, platforms must overcome the limitations inherent in traditional blockchain architectures, particularly in terms of data availability and throughput.
In this regard, 0G is a platform that has made significant progress in solving the bottlenecks mentioned above. To be more precise, ZeroGravity (0G for short) is the world’s first data availability system with an integrated general-purpose storage layer that is not only highly scalable but also decentralized. Its scalability is based on separating the data availability workflow into a data publishing path and a data storage path.
In technical terms, 0G is a scalable data availability (DA) service layer built directly on a decentralized storage system. It solves the scalability problem by minimizing the amount of data transfer required for delivery, enabling unprecedented levels of data availability and transaction throughput.
One of the main advantages of 0G is its performance. While competitors like Celestia are capable of around 1.4 to 1.5 megabytes per second, the 0G network is capable of around 50 gigabytes per second, making it 50,000 times faster. Additionally, the cost of 0G is around 100 times lower than its closest competitors.
This level of performance and flexibility opens the door to a wide range of AI/blockchain use cases that were previously impractical or impossible. For starters, in finance, 0G’s scalability can potentially enable sophisticated AI-based trading algorithms to run directly on-chain.
Similarly, it might be possible to implement large-scale federated learning systems on the blockchain, which could enable advances in privacy-preserving AI, where multiple parties could train AI models collaboratively without directly sharing sensitive data. Such advances could have far-reaching implications in fields like healthcare, where data privacy is paramount but collaborative research is essential.
A billion dollar opportunity is waiting to be exploited.
As we look to the future, it is clear that the intersection between AI and blockchain will continue to expand and evolve.
This convergence is not only a technological curiosity, but also a considerable economic opportunity. For example, the AI sector is expected to be worth $1.3 trillion by 2030, while the blockchain market is expected to reach a valuation of $248.8 billion by 2029, reflecting its transformative potential in virtually every sector of the global economy.
Therefore, going forward, it stands to reason that companies and platforms (such as 0G) that are able to successfully manage this convergence – solving technical challenges while unlocking new value propositions – will be well positioned to capture a significant share of this trillion-dollar opportunity.
