Bitcoin’s compatibility with AI technologies is driving major institutional investors to increase their exposure to the cryptocurrency, says the CEO and founder of deVere Group, one of the world’s largest independent financial advisory, asset management and fintech organisations.
Nigel Green says: “The buzz surrounding AI is real – Nvidia’s shares, for example, have jumped almost 210% this year on the frenzy around its uses within AI.
“The AI boom is grounded in tangible technological advancements and the potential to reshape industries across the board.
“The transformative capabilities of AI, coupled with its cross-industry disruption, data-driven nature, and rapid innovation, make it a compelling investment opportunity.
“This is, of course, attracting huge amounts of institutional capital.
“These same institutional investors are increasingly recognising Bitcoin as the currency for the AI era and, therefore, are also increasing their exposure to the world’s largest cryptocurrency.”
There are three key reasons why Bitcoin is the currency for AI and why this synergy is attracting institutional money.
“First, in the world of AI, data integrity is paramount. The ability to trust the source and history of data is crucial, whether it’s for training machine learning models or verifying the authenticity of data inputs.
“Bitcoin’s blockchain provides a tamper-proof record that can be used to ensure data integrity in AI applications,” notes Nigel Green.
“Second, Bitcoin’s borderless nature facilitates seamless cross-border transactions, enabling AI companies to access the resources they need without the limitations of traditional financial systems, such as high fees and lengthy processing times.
“Third, AI relies heavily on data, and organisations are increasingly seeking ways to monetise their data assets.
“Bitcoin opens-up new possibilities for data marketplace platforms where AI-focused firms can access and purchase datasets with ease, creating a thriving ecosystem of data sharing and monetisation.”
As AI continues to advance, new use cases for Bitcoin in AI applications will inevitably emerge. Research and innovation at the intersection of AI and crypto are likely to unlock even more opportunities for synergy between the two fields.
Institutional investors are forward-thinking and recognise the potential for substantial returns on their investments in this rapidly evolving space.
“As both Bitcoin and AI technologies continue to evolve, their integration is set to drive innovation and transformation in various industries, reshaping the way we perceive and interact with both digital currencies and artificial intelligence.
“The growing interest from institutional investors underscores the enormous potential of this partnership and further validates Bitcoin’s role in the future of AI,” concludes Nigel Green.