Along with blockchain and VR, AI is hotly tipped to change the way that we interact with companies and access information.
MATRIX chain is looking to merge blockchain and AI to set a path towards blockchain 3.0. The benefits that AI can bring to distributed ledger technology come down to making the technology smarter and adding the ability to evolve through self-learning.
Deng Yangdong, chief scientist of MATRIX on AI, describes the technology as the “future direction of scientific and technological development.”
The project, made up of several prominent Chinese scientists, is looking to ‘dynamically update the parameters’ of various blockchains by addressing the issues of finalisation of current blockchain designs and their inflexibility.
If Ethereum is widely considered to be blockchain 2.0, then the MATRIX team is trying to create the next stage in the technology’s evolution.
The key point of contact between AI and blockchain is smart contracts. According to the MATRIX team, smart contracts are still in a risky stage, because each new transcation poses a risk.
“The root cause of this phenomena lies in that a blockchain is designed in a trustless environment, and this means there is no way to correct any errors that occur”, Li Qinghua, chief scientist of MATRIX on chip and software architecture, says.
If an individual sends currency to the wrong address, the irreversibility of the blockchain essentially emans that those assets are lost. The team also highlights the risk that hackers pose by exploiting loopholes in smart contracts and setting up traps.
Another problem that AI can potentially solve is reducing the scope for man-made errors in the writing of contracts.
“Smart contracts for MATRIX Chain are dedicated to addressing the above issues for which the solution is a conventional centralized system,” Li explained
The MATRIX AI-based algorithm is capable of solving non-linear problems that come from more complicated contractual conditions. At present, Ethereum is only capable of addressing simple linear smart contract problems.
“Specialization and complexity has always been a major obstacle to the commercial application of blockchain technology,” Deng states.
While smart contracts are currently the preserve of a small group of technicians, Deng thinks that the introduction of AI will open the technology up to the masses. The only operation a user will need to preform is to state the transaction objective and textual description, and the AI will take care of the rest.