If you were asked to answer which is the most promising technology, AI or Web3, you might be grappling with the decision. 

However, what truly captures the imagination is the boundless potential that emerges when these two technologies unite.

Generative AI, with its inherent ability to harness vast datasets, produces unique, informative content at unparalleled speeds. On the other hand, the emergence of Web3 and its decentralization redefines the very essence of how the Internet functions, offering users greater transparency and control over their data.

When these two technologies converge, it gives rise to a digital realm that operates with great momentum, where efficiency knows no bounds. Many prominent brands and businesses are starting to recognize the momentous potential unlocked by the fusion of AI and Web3. 

Now, in this blog, let’s comprehend the transformative capabilities of these two tech for an experience that transcends the conventional.

AI in Web3 – How AI drives the efficacy of web3 based applications

Etherscan: AI for code reading

Etherscan, the Ethereum block explorer and analytics platform, adopts AI’s capabilities for reading code. The AI tool here fetches and decodes the source code of specific contract addresses through AI-generated explanations. So, with this, the user can input a query to gain a comprehensive understanding of the entire code base of the token they want to explore or specific sections of the code.

Let’s see how Etherscan leverages AI capabilities:

• Users can select the code reader feature on Etherscan and input their OpenAI API key. 
• Following this, they can simply paste the contract address they wish to explore into the designated field.
• Once the contract address is provided, the tool swiftly retrieves all relevant files associated with that contract. Users can select the specific source code they want to delve into.
• Upon selecting the code, users can generate AI prompts that allow them to interact with the code and gain an in-depth understanding of its functionality and operations.

The integration of AI into Etherscan equips users with comprehensive insights into the workings of smart contracts, enabling them to make well-informed decisions within the Ethereum ecosystem. It also helps users in documenting code operations and functions. 

Chainalysis: AI in blockchain analytics

Chainalysis is a blockchain analytics platform on which entities such as cryptocurrency exchanges and decentralized finance banks rely. It vigilantly tracks and monitors suspicious activities and transactions happening in the blockchain.

Embedded with an AI-driven analytics system, it fuels the platform capabilities by sifting through vast datasets to uncover traces and patterns that might hint at fraudulent or illicit behaviour. These services are of immense value to regulatory bodies, law enforcement agencies, and cryptocurrency exchanges.

Let’s take a closer look at how Chainalysis harnesses the power of AI:

• Chainalysis collects data from various blockchains, such as Ethereum and Binance, storing them in a centralized database.
• Equipped with AI capabilities, it does an in-depth analysis with reference to the collected data and scrutinizes transactions that are uncharacteristic, such as unusual transfers of large sums of money or suspicious sender/receiver addresses.
• After the data analysis, in case of any fraudulent pattern, the AI swiftly triggers alerts for transactions. 
• These alerts are promptly sent to the organizations for further investigation.

Chainalysis, driven by AI, proves to be indispensable in identifying and mitigating potential threats. 

Crypto.com – AI assistance to guide users

Crypto.com, a cryptocurrency platform known for its comprehensive range of services, has taken a significant step forward in enhancing user experiences by integrating artificial intelligence (AI).

Let’s explore how AI powers Crypto.com to guide and inform users:

• Crypto.com has introduced an AI user assistant within its crypto exchange platform. This AI-driven assistant serves as a valuable source of industry insights, providing users with real-time token prices, project updates, and historical events that have shaped the cryptocurrency landscape.
• Crypto.com ensures that users are well-informed about the dynamic cryptocurrency market using AI. 
• Users can access up-to-the-minute token prices, enabling them to track the value of their investments in real time.
• Beyond the prices, the AI assistant offers insights into cryptocurrency projects and historical events. This comprehensive information empowers users to make informed decisions, stay vigilant in the crypto space, and confidently navigate the volatile market.

By leveraging AI technology, Crypto.com aims to provide its users with knowledge and real-time data, enabling them to navigate the cryptocurrency landscape effectively and make well-informed choices.

Ocean protocol – AI in Data monetization

Ocean Protocol is a blockchain-based ecosystem that enables data sharing and monetization in a secure and privacy-preserving manner using Web3 technology. 

It employs various components, including smart contracts, OCEAN tokens, and NFTs, to enable the secure sharing of data while preserving intellectual property (IP) rights.

Here’s how Ocean Protocol uses AI in its operations

• Ocean Protocol focuses on extracting value from data by enhancing its algorithmic accessibility and security. To achieve this, AI algorithms analyze and derive insights from the data shared on the Ocean protocol platform. 
• Instead of selling raw data, Ocean Protocol’s AI algorithms process and analyze data on-chain, generating valuable insights without exposing the underlying data itself.
• The AI system helps data providers and organisations to make better use of the data, leading to more informed decision-making and potentially monetizing the data effectively.

In short, Ocean Protocol leverages AI to enhance the value of data, protect user privacy, and enable secure data sharing on the blockchain. 

Cryptokitties – AI in Web3 Gaming

CryptoKitties is a Web3 game that invites players into a world where they can buy, trade, and breed charming digital cats. 

Let’s find out how the integration of AI powers CryptoKitties:

• AI takes centre stage in CryptoKitties by generating a plethora of digital cats collectibles. These digital creations possess distinct characteristics, making each one truly unique. 
• The breeding system in Cryptokitties enables players to cross different CryptoKitties and produce entirely new and valuable breeds. AI plays a pivotal role in calculating genetics and traits, ensuring that breeding outcomes are not only surprising but also valuable within the CryptoKitties ecosystem.
• AI also personalizes the gaming experience for each player. AI-driven algorithms tailor the gameplay, offering a more engaging and immersive experience. 

In essence, CryptoKitties’ integration of AI transforms the game into a captivating world and enhances the player’s journey.

Final Thoughts

AI plays a transformative role in revolutionizing Web3 across various applications and industries. From blockchain analytics platforms like Etherscan to entertaining Web3 games like CryptoKitties, AI is paving the way for enhanced security, personalized experiences, and deeper insights.

However, as AI and Web3 continue to intertwine, special attention must be given to fortifying the systems against potential threats and vulnerabilities. Only by ensuring the robust security of these technologies can we fully unlock their immense potential and embark on boundless possibilities.

About QuillAudits

QuillAudits stands as your dedicated partner in securing Web3 protocols against vulnerabilities and threats within the Web3 ecosystem. For more information and to explore how we can protect your Web3 ventures, visit our website today.