Crypto x AI Insights from ETHGlobal Bangkok and ETHIndia 2024: Transforming Blockchain Development

Dan Kim (VP Business Development, Coinbase, dan.base.eth)

Jonathan King (Principal Investor, Coinbase Ventures, jonathanking.base.eth)

TL;DR

Innovations at the intersection of crypto and AI are breaking barriers in onchain development. Recent Ethereum hackathons in Thailand and India showcased how these technologies are simplifying complex workflows for builders and making advanced blockchain applications more accessible and intuitive for users.

?? Key Takeaways:

• Enabling Builders: AI tools built on crypto rails eliminate technical barriers, empowering developers to create sophisticated onchain applications more efficiently and with greater ease.
• Empowering Users: Natural language interfaces make blockchain interactions intuitive, allowing anyone to perform complex tasks effortlessly—no technical expertise required.
• Transformative Potential: We predict that in 2025, the convergence of AI and crypto will make onchain interactions as seamless as everyday conversations, driving innovation and widespread adoption across industries.

AI Unlocks Crypto’s Potential

The Coinbase Ventures’ thesis on the crypto x AI stack highlights how companies are driving innovation at the intersection of blockchain and AI by leveraging four foundational components:

• Data: Tools that validate and structure complex onchain data in real time, simplifying data management for developers.
• Compute: Scalable and cost-effective distributed networks that enable AI processing for blockchain applications.
• Middleware: Intelligent frameworks that automate multi-step blockchain operations, reducing development complexity.
• Applications: Intuitive interfaces that make blockchain accessible to non-technical users and builders.

During ETHGlobal Bangkok and ETHIndia Bangalore, developers demonstrated the transformative potential of integrating these components to solve real-world challenges. They showcased how the crypto x AI stack streamlines workflows and strengthens both usability and security for onchain applications. By reducing complexity, these innovations enable developers to build efficiently and empower users to interact with blockchain systems seamlessly.

Data: Quality and Authenticity

• Problem: Blockchain data is inherently complex and challenging to process efficiently.
• Solution: AI-powered tools automate validation, filtering, and restructuring of onchain data, enabling developers to focus on building user-facing features instead of grappling with data management.

As highlighted by many teams at both hackathons, traditional blockchain data can feel like drinking from a firehose—overwhelming and unstructured. AI systems help filter, validate, and structure this data to make it immediately usable.?

In Bangkok and Bangalore, developers highlighted how AI tools are transforming data management by pairing onchain decentralized storage with machine learning models. These solutions validate and structure data in real time, enabling seamless integration with external applications and dramatically reducing infrastructure overhead.?

Beyond improving data management for developers, decentralized data infrastructure providers are emerging as key enablers in the AI ecosystem. These providers aggregate onchain data to pre-train and fine-tune AI models, enabling language models to learn from decentralized and diverse datasets. This capability not only advances AI performance but also ensures that onchain AI solutions are accurate, efficient, and adaptable to real-world challenges.?

This self-reinforcing relationship—where decentralized data powers AI systems and AI tools optimize onchain workflows—creates a virtuous cycle that strengthens both AI capabilities and blockchain development. Together, they demonstrate the transformative potential of innovation at the intersection of these technologies.

With clean, structured data streams from the data layer, the compute layer provides the processing power needed to turn information into actionable insights. Scalable compute networks are essential for running the sophisticated AI models that drive advanced onchain applications. This synergy between decentralized data infrastructure and AI creates a continuous cycle of improvement, enhancing both blockchain-powered applications and the AI systems that power them.

Compute: Processing Power Meets AI

• Problem: Running AI models alongside blockchain infrastructure demands significant computational resources and hardware management.
• Solution: Developers are leveraging onchain data providers to create distributed computing networks that provide scalable and cost-effective AI processing.

The compute layer can be thought of as the? backbone for running AI model inference. These models require immense computational resources, making scalable and cost-effective compute networks a cornerstone for unlocking AI’s potential in onchain innovation.

During both hackathons, teams showcased how distributed GPU networks can power AI-driven? applications.? By leveraging distributed compute networks, teams were able to deliver advanced AI capabilities without relying on expensive, dedicated infrastructure—demonstrating the scalability and efficiency of decentralized computing solutions.

eThAi, for instance, is a collaborative AI training platform that enables individuals, organizations, and developers to contribute computing power and resources toward training both open-source and proprietary AI models. The platform uses blockchain technology and decentralized governance through a DAO to ensure transparency, data integrity, and fair rewards. Contributors earn DAO tokens or monetary compensation, creating a global, community-driven ecosystem designed to accelerate AI development and innovation.

Building on the scalable processing power of the compute layer, products in the middleware layer bridge technical capabilities with user needs.

Middleware: Orchestrating Complexity

• Problem: Coordinating complex blockchain operations requires significant development expertise and manual oversight.
• Solution: AI-powered middleware tools coordinate multiple agents to automate complex operations.

Middleware connects the compute layer to user-facing applications by orchestrating intricate workflows, enabling developers to focus on innovation while AI-driven systems handle the complexities of coordination. These tools not only simplify blockchain operations but also ensure seamless integration across layers, bridging technical capabilities with practical outcomes.?

At ETHGlobal Bangkok, projects like Lucy showcased the transformative potential of middleware in automating complex financial operations. Lucy, an AI-powered DeFi autopilot, streamlines tasks such as market analysis, risk management, gas optimization, and asset bridging. By responding to natural language commands, it empowers users to execute sophisticated DeFi strategies effortlessly, making decentralized finance more accessible and efficient for both developers and end-users.

Building on the scalable processing power of the compute layer, middleware products like Lucy serve as the bridge between raw computational power and practical applications. By automating and coordinating complex operations, middleware plays a pivotal role in making blockchain technology both functional and intuitive, freeing the application layer to focus on delivering seamless user experiences.

Application: Where AI Meets Users

• Problem: Traditional blockchain interfaces require technical expertise and an understanding of complex protocols.
• Solution: Natural language interfaces simplify blockchain interactions, allowing users to execute complex operations with conversational commands.

Building on the capabilities of the middleware layer, the application layer transforms blockchain into an accessible and user-friendly experience. By integrating natural language interfaces and other intuitive tools, companies are making blockchain interactions as seamless as everyday conversations.

At ETHGlobal Bangkok, voice-activated DeFi interfaces showcased how natural language processing simplifies complex trading strategies. With simple commands like "Optimize my portfolio for risk," users could rely on the system to handle technical details—such as transaction execution and strategy adjustments—effortlessly.??

Projects like ChainWhisperer and EVA further demonstrate how AI and blockchain can work together to enhance usability and accessibility. ChainWhisperer, an AI-powered Telegram bot, streamlines decentralized finance interactions by enabling users to manage wallets, swap tokens, bridge assets, and check balances using natural language commands. By eliminating the need for technical expertise or graphical interfaces, it empowers both new and experienced users to interact seamlessly with blockchain systems.

Similarly, EVA brings a mobile-first approach as a voice-activated blockchain assistant, allowing users to perform tasks like token swaps, transactions, and portfolio management through intuitive voice commands. By combining AI tools with onchain functionalities, EVA extends blockchain’s reach, making it practical and efficient for users of all technical backgrounds.

Why This Matters

The layers of the crypto x AI stack—data, compute, middleware, and applications—work seamlessly together to address the technical, operational, and user-facing challenges of onchain development. These innovations are not solving isolated problems; they are building a cohesive framework that makes blockchain practical, scalable, and accessible to all.

By simplifying workflows for developers and creating intuitive experiences for users, the technologies within this stack are fundamentally reshaping how blockchain is built, adopted, and used. This transformation is paving the way for blockchain to move beyond niche applications and achieve mainstream impact

?? Key Benefits:

• Lowering Barriers to Entry: AI tools remove technical complexities, empowering more builders to contribute to blockchain innovation.
• Accelerating Innovation: Automation enables developers to iterate faster and focus on solving real-world challenges.
• Enhancing User Adoption: Intuitive, user-friendly applications eliminate technical barriers, driving mainstream adoption.
• Enabling New Possibilities: AI unlocks previously unfeasible models of organization, governance, and decision-making.
• Improving Security: Automated monitoring and risk mitigation ensure blockchain applications are secure and reliable.

The impact of the crypto x AI stack is already visible, with tools simplifying development and unlocking new possibilities across industries. As these technologies continue to evolve, they are redefining the role of blockchain—laying the foundation for a future where onchain applications are not only powerful but also seamlessly integrated into everyday life.

The Future of Blockchain and AI

The innovations showcased at ETHGlobal Bangkok and ETHIndia highlight the transformative potential of combining AI and blockchain technologies. By addressing the challenges of accessibility and usability, companies in the crypto x AI stack are not only simplifying development but also unlocking entirely new possibilities for the blockchain industry.

Looking ahead to 2025, we foresee three major trends that will redefine the blockchain landscape.

• AI-First Development: Smart contracts will become AI-driven, automating complex workflows and enabling seamless cross-chain operations. Development timelines will shrink from months to days, accelerating innovation at an unprecedented scale.
• Natural Interfaces Everywhere: Voice and text commands will replace technical barriers, empowering users to interact with blockchain systems effortlessly. Performing sophisticated onchain operations will be as intuitive as everyday conversations.
• Autonomous Systems: AI agents will actively manage digital assets, optimize smart contracts in real time, and handle security and compliance. These advancements will transform blockchain systems into self-reliant, adaptive infrastructures capable of operating autonomously.

?? Final Takeaway: As these tools continue to evolve, they are democratizing blockchain technology, making it more intuitive, efficient, and impactful. Innovators in the crypto x AI stack are not just shaping blockchain’s future—they are laying the foundation for a more inclusive, intelligent, and decentralized digital ecosystem. The opportunities ahead for builders, creators, and users are vast. Now is the time to embrace this transformation and actively shape the future of blockchain together.

Originally posted on Coinbase Developer Platform here.