August 25, 2023
By Anjali Kochhar
A new report has showed that the collaboration of Artificial Intelligence and Blockchain technology has seen a remarkable growth in 2023 fuelled by the widespread adoption of cutting-edge technologies such as computer vision, machine learning (ML), and natural language processing (NLP) in the blockchain AI industry.
According to the “Blockchain AI Global Market Report 2023” report, the global blockchain AI market has experienced remarkable growth, surging from $0.39 billion in 2022 to $0.48 billion in 2023, boasting an impressive compound annual growth rate (CAGR) of 25.1%. The market is anticipated to continue its upward trajectory, projected to reach a substantial value of $1.18 billion by 2027, with an expected CAGR of 25.2%.
These technologies find extensive applications in various verticals, including Banking Financial Services and Insurance (BFSI), telecom, healthcare, manufacturing, media, automotive, and others, revolutionizing processes like smart contracts, payment systems, data security, logistics, and supply chain management.
According to the report, North America was the largest region in the blockchain AI market in 2022. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the blockchain AI market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa. The countries covered in the blockchain AI market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA.
“Blockchain AI convergence is inevitable because both technology deal with data and value. Blockchain enables secure storage and sharing of data whereas AI can analyze and generate insights from data to generate value,” the report read.
For instance, Gainify is a healthcare platform that leverages AI, IoT devices, and blockchain and facilitates different tasks such as streamlining appointment scheduling, digital payments, identity verification, medical records management and others. It also allows the monetization of anonymous clinical data through a crypto payment system. The benefits of the deployment of blockchain AI in the process increased its demand and thereby contributed to the growth.
The blockchain AI market includes revenues earned by entities by providing software tools to store and distribute organizational data in distributed immutable ledger systems using AI models to enhance the data security of organizations. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.
Experts Take on the Blockchain-AI collaboration
Industry insiders believe that the collaboration is not just like any other technological fad, it is instead a paradigm shift.
Rajagopal Menon, Vice President of crypto exchange WazirX said, “Blockchain, often dubbed as the ‘Internet of Value’, is transformative. Instead of a web that primarily facilitates the consumption of information, blockchain envisions a decentralised platform where value—be it money, assets, or data—can be exchanged with trust and transparency. AI, with its unparalleled processing prowess, aims to redefine the very essence of work and productivity. By automating mundane tasks, AI not only promises efficiency but also accuracy, executing complex operations in mere fractions of a second. The fusion of blockchain and AI and other emerging technologies is not just another technological fad, but a paradigm shift. The promise of a more efficient, transparent, and inclusive world is tantalizingly within reach. We are witnessing the dawn of a new industrial epoch.”
As per the report, companies that embrace these technologies can potentially reduce operational costs. Speaking about the same, Vikram Subburaj, CEO, Giottus Crypto Platform, said, “Such efficiencies are crucial in today’s competitive landscape. I believe that all futuristic companies will be committed to the fact that their growth is fuelled by these insights. With blockchain and AI poised at such levels, more companies, crypto exchanges, product developers, and solutions providers will be able to provide even more compelling propositions to the customers. Indian regulators can ease this process significantly over the next 2-3 years and make it an ideal approach to grow India’s leadership globally in this space.”
Adding on, Shrikant Bhalerao, CEO of Seracle, said, “This research underscores the potential of harnessing blockchain and AI to drive sustainable solutions across industries and use cases like carbon foot tracking, renewable energy tracking, and tokenization to name a few. Exciting times are ahead for technology and the environment.”
Kumar Gaurav, founder and CEO of Cashaa, believes that AI can also be used in conjunction with the blockchain technology to help secure our Web3 wallets and customer funds in them. It can also help enhance the resilience of smart contracts and their on-chain interactions against cybersecurity attacks making DeFi wallets and services like Cashaa’s secure and safe for new users.
“AI can also use the blockchain concept of tokenisation to make the technology widely available for development and monetisation, thereby showcasing the value and utility of cryptocurrencies,” he added.
About the author
Anjali Kochhar covers cryptocurrency stories in India as well as globally. Having been in the field of media and journalism for over three years now, she has developed a sharp news sense and works hard to present information that goes beyond the obvious. She is an avid reader and loves writing on a wide range of subjects.