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Crypto to Dominate in The AI Age: US Entrepreneur Balaji Srinivasan Thinks So

Published by
Vignesh S G

In a rapidly evolving world driven by AI and robotics, the concept of money is undergoing a transformation. Balaji Srinivasan, an American entrepreneur and author of “The Network State: How to Start a New Country,” believes that cryptocurrency will be the cornerstone of the new era. Here is why he thinks crypto is the future of money.

Cryptocurrency: The Scarcity in an Age of AI Abundance

Srinivasan argues that in an era where AI makes many things abundant, cryptocurrency stands out for its provable scarcity. This scarcity is essential for verifying human authenticity in a world where AI can easily fake human interactions. Crypto assets serve as a proof of humanity in an AI-dominated landscape.

Money as an Economic Bridge

Srinivasan highlights that money acts as a bridge between economically distinct actors, While you don’t need to pay your hand to move, you do need to pay for services or products from others, including robots owned by other entities. Cryptocurrency facilitates these transactions, enabling seamless interactions between different economic actors.

Persistent Scarcity and the Value of Money

Despite the digital abundance AI brings, scarcity remains at higher levels. Essential components like the supply chains for building robots and the nuclear power plants powering AI data centers remain limited. This scarcity, primarily located in regions like China and Asia, underscores the ongoing value of money.

Crypto and Control in the AI Era

The most crucial scarcity in the AI age, according to Srinivasan, is the control of robots via private keys. These keys, secured through web3 backends like Bitcoin and Ethereum, offer far greater security than traditional web2 systems.

In essence, AI creates digital abundance, but it does not eliminate all forms of scarcity. Cryptocurrency, representing digital scarcity, complements AI’s abundance, making it the future of money. As we move further into the AI age, crypto is set to become the dominant form of currency.

Stay tuned to Coinpedia for more such interesting stories!    

Also Read : Bitcoin (BTC) Price Might Crash To $60K This Week: Here’s Why

Vignesh S G

Vignesh is a young journalist with a decade of experience. A proud alumnus of IIJNM, Bengaluru, he spent six years as a Sub-Editor for a leading business magazine, published from Kerala. His interest in futuristic technologies took him to a US-based software company specialising in Web3, Blockchain and AI. This stint inspired him to view the future of journalism through the lens of next generation technologies. Now, he covers the crypto scene for Coinpedia, uncovering a vibrant new world where technology and journalism converge.

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