The Weekly Waffle March 5: Nearer My God to Thee

This week, my team and I were privileged to witness a test project with members of the CQT in Singapore, that involved running a simulated, automated network validation function that leads me to believe that AI will bring massive changes to the blockchain ecosystem.

From 2018 until now, participating in a network (staking, essentially) made technically proficient operators conceited. They saw themselves as lords of the blockchain. Fueled by wide-spread adoption of and support for Proof-of-Stake (yes, I'm still very much a critic of PoS), network functions supported by a web of decentralized operators was a popular model and highlighted as the key to decentralization. It is not.

The European Union and its green left factions are dead set to limit the use of Proof-of-Work for environmental reasons. That is poppycock, as even a wasteful approach such as Bitcoin is a millions times more environmentally friendly than our current fiat system with coins and bills and their COs emitting production and distribution. The savings by eliminating ATMs alone would make Bitcoin greener than any brick-and-mortar bank. But to favor Proof-of-Stake because of the environment is misguided, because PoS will die out as artificial intelligence thrives.

Artificial intelligence and automated services are fast rendering PoS validators them useless. In the long run, network validators must probably offer value-added services like dating advice, humor, Broadway shows and shopping experiences.??

Even better: religious services since most of crypto are fanatical cults anyway. Validate your way to godliness.

Joke aside and apologies if your religious sensibilities were offended: there is a real threat to the decentralized network model in a world where most of these functions can be automated and controlled by intelligent machines that do not need monetary incentives.?Truth be told, the fact that 15 years into the #blockchain story we still depend on money to make us do things is an abomination. #Cardano is still the only play in town that is above the money grabbing rat race.

Automated validation powered by #neuralnetworks and #artificialintelligence are an existential threat to #staking and #proofofstake networks in general. The idea of proof of stake is to entice operators to contribute to the stability and usability Id the network by giving them financial incentives (earn rewards, passive income etc. )?

AI run on cheap cloud services will put this to the test. The news of Amazon Web Services (AWS) running nodes for Avalanche and 谷歌 for Casper Networks , released this week may be good news for the networks but bad individual stakers. It will also lead to another leap in centralization as AI depends primary on centralized operators like OpenAI ( 微软 ) and Google.?

The only viable alternative I see here is decentralized machine learning like Opentensor Foundation (TAO)?

As AI grows exponentially, this may happen much much sooner than y’all think. Just like #ChatGPT took the world by storm, decentralized #machinelearning may go mainstream tomorrow.?

You can imagine the impact on the most manipulated and pseudo-decentralized network of all #Ethereum. If Ethereum validation is captured by the Microsoft AI model, this would be the same as Microsoft buying Ethereum. If you believe that Ethereum is an operating system, like I do, and not a cryptocurrency, then just makes perfect sense.?

If you are prone to conspiracy theories you might even suspect that the SECs crackdown staking has something to do with it.?

There is another dimension here: the potential failure of staking as a service means that proof of work is indeed the only way to centralize. Bitcoin maxis Kaspa $KAS holders rejoice.?

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