Blockchain technology for its immutability, transparency, and traceability has been adopted by several industries around the world. Today, technology is no more limited to the BFSI sector. It has shown its true potential in optimizing organizations in several ways. The convergence of AI, IoT, and Blockchain has been discussed several times. Here’s how the three technologies will impact businesses around the world.
How the Technologies are Converging?
Convergence of technologies is the conjunction of the technologies that are evolving towards one goal. Here’s how the technologies are converging.
IoT and Blockchain
The implementation of the large-scale Internet of Things involves the coordination of activities and data management from a billion devices. Research showed that by 2030, there will be more than sixty billion IoT devices. The integration of blockchain with IoT will help to resolve several issues. A decentralized IoT platform will replace the centralized system offered by a single vendor.
AI and Blockchain
Artificial intelligence and blockchain technology are both powerful technologies, and the convergence of the two will help to power the humongous databases, and cybersecurity protocols, and perform tasks within a short span of time. Artificial intelligence depends on blockchain technology.
Blockchain technology utilizes artificial Intelligence technology to develop and monetize user-controlled data, autonomous organization, and a market for AI imitation. The technology can be established as the infrastructure and grant access to the trained AI models for individuals, and enterprises.
The Illustrations and Convergence of Blockchain AI, and IoT
The impact of immutability, transparency, business processes, and privacy is higher when Blockchain, IoT, and AI converge. This will help to:
- Overcoming limitations
- Preventing Illicit activities
- Minimizing risks
- Improving functional activity
- Intercepting data modification
- Optimizing security issues
How Will the Convergence of the Three Technologies Impact Global Businesses?
AI, blockchain, and IoT technologies are now present. Therefore, in the evolution of the internet towards web3, more and more industries are implementing the technology to upgrade and optimize their system. While these three technologies have massive usage in different fields, when brought up together can deploy huge potential.
With the help of Artificial Intelligence, the companies can detect facial recognition payments, or check if any company is defaulting on loans. Similarly, the Internet of Things helps to connect people and vehicles on road. While the traceability and immutability of blockchain technology make the information transparent, and secure.
With the help of Artificial Intelligence, the devices can have a wide range of uses. For example, a product that everyone uses, “chairs”. The research helps to improve the design and make better products that the customers will love. The AI technology can work alone, however, it will require huge data and feedback from people who use chairs. However, the use of the three technologies will help to understand the programming of the chair and adjust to the requirements over the course of time. The data exchange and AI can learn the program powered by Blockchain and IoT.
In the finance industry, AI and Blockchain are helping banks and financial institutions to identify frauds, on the basis of important sensitive data, or using blockchain remittance with AI-based facial recognition technology. There are several enterprises and agencies coming up with new applications that will help to fight insurance fraud.
The document verification conducted manually might take up to six weeks, with no protection against human errors, and double entry frauds. AI helps to optimize the document verification process making it quick, and error-free.
The convergence of blockchain, IoT, and AI is inevitable. It is already working and many organizations are implementing it to make their business operations efficient, tech-savvy, and transparent.