At the Intersection of Technology, Law, and Business
March 12, 2020 - Artificial Intelligence, Blockchain, Fintech

The New ABC’s: Artificial Intelligence, Blockchain and How Each Complements the Other

A Rush to Patent the Blockchain Is a Sign of the Technology’s Promise

Artificial intelligence (AI) and blockchain technology are two novel innovations that offer the opportunity for us to move beyond our legacy systems and streamline enterprise management and compliance in ways previously unimaginable. Each technology augments the strengths and tempers the weaknesses of the other. Specifically, AI is an active technology − it analyzes what is around and formulates solutions based on the history of what it has been exposed to. By contrast, blockchain is data agnostic with respect to what is written into it – the technology bundle is largely passive. While these new technology stacks can certainly function on their own merits, AI and blockchain also complement one another in such ways that their combination offers novel business solutions, not only the ability to build upon legacy enterprise systems but also the power to eventually upend them in favor of next level solutions.

Getting to that inflexion point, however, takes time and is not without cost. As innovators seek to exploit the convergence of AI and blockchain innovations, they must pay careful attention to overcome both technical and regulatory hurdles that accompany them. Do so successfully, and the rewards promise to be bountiful.

Read our client alert.