Comment: Ahmad Shadid, founder of O.xyz and co-founder of IO.ne
Almost every week, new artificial intelligence startups are announced.
These companies call themselves 'AI companies' with stylish interfaces, smart prompts, and OpenAI-supported backends, but in reality, they are just simple 'prompt arbitrage' relying on leased computation.
This vulnerability is invisible to most users, but it is deadly to the long-term credibility of the industry. Once platforms change their strategy, thousands of applications will disappear, along with countless investments and customer data.
API cleanse
By 2027, we will witness platforms significantly increasing fees, 70% of AI startups will be eliminated, and only businesses built on decentralized foundations will survive.
Leasing computation is a single point of failure
Reliance on centralized APIs brings systemic risks, such as cost volatility, supply risks, and the possibility of licenses being revoked.
Related content: Last year's AI gambling by Bitcoin miners was successful
Decentralized AI breaks through like Bitcoin
Bitcoin escaped a single issuer through distributed consensus, and decentralized AI can achieve similar results in computation, models, and data. Applications no longer rely on a single API but use multiple model pools.
Web3 supports defensive AI
Web3 provides the incentive layer lacking in Web2, and decentralized tokenized licenses expand this logic.
Market risks and opportunities
After re-evaluation, startups relying on shiny user interfaces will lose their appeal, while tokens associated with verifiable computing networks will attract investors.
Tokenized access and smart contract payments
Bitcoin teaches us that enduring value is built on a resilient foundation. AI projects managed by code rather than contracts will be the future direction.
Comment: Ahmad Shadid, founder of O.xyz and co-founder of IO.ne.
This article is for general informational purposes only and does not constitute legal or investment advice. The views expressed in this article are solely those of the author and do not represent the views and opinions of Cointelegraph.