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AI and Blockchain Convergence to Reshape Crypto and Web3 in 2024 (Finance Magnates)

The year 2023 has been a remarkable one for the crypto and
Web3 space, with many innovations, challenges, and opportunities emerging. The
adoption of decentralized technologies has grown exponentially, reaching new
heights of user engagement, value creation, and social impact.

As we enter
2024, what are some of the trends that will shape the future of crypto and
Web3? Here are some of my predictions and thoughts as we delve into the first part of our crypto and Web 3 predictions for 2024. It is based on the current state
of the industry, the latest developments, and the potential scenarios.

New UX User Experience

One of the main barriers to mass adoption of crypto and Web3
is the user experience (UX), which is often complex, confusing, and
intimidating for newcomers. Users have to deal with unfamiliar concepts such as
wallets, keys, addresses, gas fees, transactions, smart contracts, and more.
They also have to navigate through multiple platforms, protocols, and
applications, each with its own interface, functionality, and terminology.

This
creates a steep learning curve and a high cognitive load for users, who may
feel overwhelmed and frustrated by the process. However, in 2024, I predict that we will see a significant
improvement in the UX of crypto and Web3, thanks to several factors:

  • Modular
    technology stack: The crypto and Web3 space is evolving into a modular
    technology stack, where different layers and components can be easily
    integrated and interoperated. This allows for more flexibility,
    scalability, and compatibility among different solutions and reduces the
    friction and complexity for users. For example, users can access multiple
    blockchains, protocols, and applications through a single wallet, such as MetaMask,
    without having to switch between different accounts, networks, or devices.
  • Users can also leverage cross-chain bridges, such as Polygon, to transfer
    assets and data across different blockchains, such as Ethereum or Solana,
    without having to deal with multiple transactions, fees, or conversions.
    Users can also use aggregators, such as Zapper, to manage their
    portfolios, track their performance, and access various decentralized
    finance (DeFi) opportunities, such as lending, borrowing, swapping,
    staking, or farming, without having to visit multiple websites, apps, or
    platforms.

Developers building with Polygon CDK will soon be able to choose from multiple EVM clients for their chain: cdk-erigon will be the second high-performance execution client for Polygon CDK.With cdk-erigon, the ultra-fast, memory-optimized Erigon node is coming to zero-knowledge…

— Polygon (@0xPolygon)
  • AI
    + blockchain: Another factor that will enhance the UX of crypto and
    Web3 is the integration of artificial intelligence (AI) and blockchain. AI
    can provide various benefits for users, such as personalization,
    recommendation, automation, and optimization. For example, users can use AI-powered
    assistants, such as GPT-4, to interact with crypto and Web3 applications
    through natural language, voice, or chat without having to learn complex
    commands, codes, or interfaces.
  • Users can also use AI-powered tools, such
    as [Rebalance] or [Yearn], to automatically allocate, rebalance, and
    optimize their crypto portfolios based on their preferences, goals, and
    risk profiles without having to manually monitor, analyze, or execute
    their strategies. Users can also use AI-powered platforms, such as OpenAI
    Codex, to create, deploy, and manage their own crypto and Web3
    applications, such as smart contracts, decentralized autonomous
    organizations (DAOs), or non-fungible tokens (NFTs), without having to
    write, test, or audit any code.
  • User-centric
    design: The third factor that will improve the UX of crypto and Web3
    is the user-centric design, which is the process of designing products and
    services that are tailored to the needs, wants, and behaviors of the
    users, rather than the features, functions, or technologies of the
    products and services. User-centric design involves various methods, such
    as user research, user testing, user feedback, user personas, user
    journeys, user stories, and user interfaces, to understand, empathize, and
    satisfy the users. User-centric design is essential for crypto and Web3,
    as it can help to reduce the gap between the users and the technology, and
    increase the usability, accessibility, and desirability of the products
    and services.
  • For example, users can use user-centric platforms, such as Audius,
    to discover, create, and share music or art, using crypto and Web3
    technologies, such as tokens, royalties, or governance, without having to
    know the technical details or implications of these technologies.

Play to Earn Becomes Play and Earn

Another trend that will dominate the crypto and Web3 space
in 2024 is the play to earn model, which is the concept of earning crypto
rewards by playing games. Play to earn games are powered by blockchain
technology, which enables the creation of digital assets, such as NFTs, that
can represent in-game items, characters, or lands, and can be owned, traded, or
monetized by the players. Play to earn games also leverage smart contracts,
which enable the creation of decentralized economies, such as tokens, that can
reward the players for their participation, contribution, or achievement in the
games.

Play to earn games are attractive for players, as they can provide fun,
entertainment, and social interaction, as well as income, empowerment, and
ownership. However, in 2024, I predict that we will see a
transformation of the play to earn model, into a play and earn model, which is
the concept of earning crypto rewards by playing and creating games. Play and
earn games are powered by Web3 technology, which enables the creation of
decentralized platforms, such as DAOs, that can empower the players to become
creators, curators, or governors of the games.

Play and earn games also
leverage AI technology, which enables the creation of generative content, such
as stories, worlds, or characters, that can enrich the gameplay, diversity, and
creativity of the games. Play and earn games are attractive for players, as
they can provide not only fun, entertainment, and social interaction but also expression,
innovation, and collaboration.

Personally, I do believe the bigger players like Axie Infinity
and Sandbox will make big changes and moves in 2024. In the second part of this article, we will look at the role of AI in developing games.

This article was written by Anndy Lian at www.financemagnates.com.

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