Technology is moving fast, and two of the biggest game-changers—cryptocurrency and artificial intelligence (AI)—are shaking things up in crucial areas like cybersecurity.
As the digital world grows, so do the risks. Fortunately, a combination of AI and blockchain technology (the foundation of cryptocurrencies) is offering new ways to protect us against online threats.
Between advancements like decentralized platforms and alternative monetization models to finance them, these industries are slowly clawing back some of the power accumulated by big tech over the years.
To better understand the tension behind this dynamic, let’s take a look at how crypto and AI are revolutionizing cybersecurity.
AI And Blockchain: A Dynamic Duo For Security
The advancements being made by blockchain platforms and AI’s infusion into everything are helping to reduce the power that tech giants like Google and Amazon have over our data, shifting control to individuals and smaller players.
With cryptocurrencies growing more popular all the time, much of this is down to their success.
More and more new crypto investors enter the market every week.
For many, the growing popularity of review sites like those that showcase the new coins on Coinbase and other major exchanges is a logical starting point for staying abreast of which coins will likely make the best investments at any given time.
According to author Goran Radanovic, in expectation of the next crypto bull run, analysts have been eagerly studying new coins for their use case benefits and evidence of social utility.
However, identifying and investing in these new coins isn’t just about the returns. These coins are also part of a broader push to use blockchain technology to enhance our daily lives, including cybersecurity.
Many blockchains now integrate AI to detect fraud and validate transactions, offering more secure ways of managing assets.
In a broader sense, AI is revolutionizing blockchain technology, and together, these technologies are making digital systems more secure.
Blockchain is known for its use of “smart contracts”—self-executing agreements that automatically follow through when certain conditions are met. AI can boost these smart contracts by detecting potential security risks in real time, making them even safer.
Several companies are already using AI to monitor blockchain networks for unusual activity. For example, AI can scan massive amounts of data quickly, identifying threats before they cause any harm.
This is especially helpful in spotting vulnerabilities in smart contracts, where a small mistake can lead to major security breaches.
Beyond that, AI can improve encryption—the process of scrambling data to keep it secure.
As the number of blockchain transactions continues to grow, AI’s ability to make encryption faster and more efficient will be critical to keeping sensitive data safe.
Challenges On The Horizon: Energy And Legal Issues
Of course, no technology is without its challenges. We’ve already seen how AI can be used unethically and combining AI with blockchain presents even more challenges.
One of the biggest hurdles is the massive amount of energy required to power both AI algorithms and blockchain networks.
Blockchain systems, especially those like Bitcoin, are already notorious for their heavy energy use.
When you add AI to the mix, the demand for computing power—and electricity—goes through the roof. CCN recently reported on how these technologies, while powerful, are raising concerns about their environmental impact.
In addition to energy use, legal and regulatory concerns are also making it harder for AI and blockchain to fully take off in cybersecurity.
Decentralized networks, like those using blockchain, operate across borders, which can make it tricky to follow local laws.
For example, Europe’s General Data Protection Regulation (GDPR) has been hailed as a world leader as it sets strict rules on how data can be shared and stored.
Since blockchain technology often involves the open sharing of data, it can be difficult to comply with these kinds of regulations.
This presents a tough challenge for developers who are trying to balance the benefits of decentralization with the need to stay on the right side of the law.
Decentralization: A Challenge To Big Tech’s Grip
The most exciting possibility of using blockchain and AI in cybersecurity is the potential to decentralize control over data.
Right now, many of us rely on Big Tech companies like Amazon or Google to store and manage our data, even if they don’t always get it right.
This centralization creates a big problem: if these companies get hacked, a lot of sensitive information is at risk. But with decentralized systems, data is spread across many different places, making large-scale hacks much harder to pull off.
decentralized applications (dApps) are a prime example of how this works. Instead of relying on a single server, dApps use blockchain to distribute data across multiple locations.
AI plays a key role here by automatically spotting and stopping suspicious activity, which helps make these systems even more secure.
The combination of AI and blockchain is opening the door for a future where we don’t have to depend on Big Tech to keep our data safe.
For example, many decentralized apps already use blockchain technology to protect user data, while AI helps monitor and manage security without the need for big corporations to be involved.
This shift toward decentralization not only makes systems more secure but also gives individuals and smaller businesses more control over their information.
Looking Ahead: What’s Next For AI, Crypto, And Cybersecurity?
The future of cybersecurity will be shaped by the continued integration of AI and blockchain.
These technologies are already proving their value, and as they evolve, we’ll see even more advanced security solutions that use AI to protect decentralized blockchain systems.
This will be especially important as new blockchain projects—like the new coins on Coinbase—continue to emerge.
These new cryptocurrencies aren’t just financial assets; they also represent a shift toward decentralized cybersecurity, where AI and blockchain work hand-in-hand to protect digital networks.
