Cryptocurrency miners are reportedly experiencing a resurgence of sorts thanks to the artificial intelligence (AI) boom.
That’s according to Sunday (July 2nd) report The Wall Street Journal (WSJ) points out that many companies involved in the cryptocurrency business are shifting their focus to AI.
Among them are Satoshi Spain, a one-time seller of crypto mining rigs powered by the same graphics chips used in AI applications. These machines were not in demand during the crypto winter, so Satoshi began modifying them for AI purposes.
“You can still make money from mining equipment” Satoshi Spain founder Alejandro Ibáñez de Pedro Said. “This is mining 2.0.”
The graphics chips (graphics processing units, or GPUs) used in the company’s computers are said to help with the complex calculations needed to create units of cryptocurrency, as well as the computational workloads needed to train generative AI systems. WSJ stated.
The report also notes that tens of millions of GPUs were released to the AI industry after the Ethereum network, home to the second-largest cryptocurrency after Bitcoin, stopped mining new coins. There is.
Approximately 20% of these chips can be reused to train AI models. Vipul Ved Prakashthe CEO of alternative cloud provider Together told WSJ.
“More and more people are looking to participate in AI in the crypto mining world,” Prakash said. “That trend is starting to mature.”
At the same time that crypto companies are supporting AI, AI has the potential to: Reshaping cryptocurrencies sector, coinbase Despite a decline in investment in AI (despite a wave of media attention to the industry), they argued in a report last month.
“That said, the moderation in VC investment is not unique to the AI sector, and overall there is still a record amount of dry powder that will eventually need to find a home,” he wrote. . David DuongHead of Institutional Research at Coinbase.
“We believe the intersection of AI and cryptocurrencies represents a significant opportunity for entrepreneurs looking to build on Web3.”
Duong pointed out several ways in which cryptocurrencies and AI can work together. For example, he said, “cryptocurrency platforms can make AI systems more accessible” and allow people to contribute to the development of AI systems, at a time when generative AI is dominated by a few large companies. insisted.
Meanwhile, PYMNTS recently Potential AI regulatory impact About the industry.
“The coming years will see significant progress as separate digital empires emerge and compete for control of the future of AI technology. As other countries consider their own AI laws, Washington, Brussels and “Beijing is increasingly seeking guidance on interoperability,” PYMNTS wrote. last week.
“Cooperation between industry and regulators is therefore critical to industry growth and the continued expansion of the realm of digital influence.”