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Balaji Srinivasan says crypto will become money in the age of artificial intelligence – here’s why
Former Coinbase executive Balaji Srinivasan believes crypto will serve as money in the age of artificial intelligence (AI).
Srinivasan tell his 1 million followers on social media platform X that crypto represents “digital scarcity” and AI represents “digital abundance”.
He notes, however, that AI will not make everything abundant.
“What is money after generative AI and robotics?” It’s basically crypto. Money itself becomes cryptocurrency, just as intelligence becomes electricity.
Here’s why:
1) First, cryptocurrency is what is demonstrably scarce in the era of AI abundance. That’s not a bad thing. For example, you need rare crypto assets to prove you are human while AI tools to simulate humanity are abundant.
2) Second, money constitutes a bridge between economically distinct actors. You don’t need to pay your hand to move, nor do you need to pay a robot you own to move. But a robot belonging to another economic actor will still need money to rent it. So, send the coin to unlock this drone.
3) Basically, scarcity at a high level doesn’t disappear, so money doesn’t disappear. But many forms of shortage could disappear. Washing machines are stationary domestic robots and can be replaced by walking machines which are mobile domestic robots.
Srinivasan says Web3 backends like Bitcoin (BTC) and Ethereum (ETH) have superior security to any web2 system. He says the most significant form of shortage in the AI era will be cryptographic private keys “to control robots.”
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Disclaimer: Opinions expressed on The Daily Hodl do not constitute investment advice. Investors should conduct due diligence before making high-risk investments in Bitcoin, cryptocurrency or digital assets. Please note that your transfers and transactions are at your own risk and any losses you may incur are your responsibility. The Daily Hodl does not recommend the purchase or sale of cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
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