Centralized AI is opaque, centralized, and an gigantic burden for intellectual property homeowners. Right here is how he thinks blockchain fixes this.
Updated Jan 14, 2025, 10:44 p.m. UTCRevealed Jan 14, 2025, 5:41 p.m. UTC
Hashed’s Simon Kim believes the vogue forward for synthetic intelligence hinges on a thorough shift: breaking open the black field of centralized objects love OpenAI and building a decentralized, clear ecosystem powered by blockchain.
For Kim, CEO of South Korea’s main crypto VC fund, the urgency is clear. AI’s unchecked centralization threatens to compose a “god” we don’t understand, whereas blockchain affords the instruments to reward creators, protect intellectual property, and provide transparency into generative AI – which has been widely criticized for its bias and selective reasoning.
“AI is being centralized. OpenAI is not open, and it is controlled by very few people, so it’s quite dangerous. Making this type of [closed source] foundational model is similar to making a ‘god’, but we don’t know how it works,” he acknowledged in an interview with CoinDesk.
Kim argues that open-source AI objects love Meta’s Llama are an example of how AI will also be constructed with decentralization and transparency in mind.
However he says the scarcity of sturdy incentive mechanisms for files suppliers – i.e. all people who makes enlighten of the derive – is restful an scenario.
“AI models are just crawling the original content on the web and giving answers without compensating the creators,” Kim acknowledged.
Kim believes we can repair this by establishing a “copyright layer” the attach rights holders can track how their issue is light – and re-light – by AI whereas being paid alongside the technique.
Hashed thinks it’s came upon a resolution to this with Talean IP management protocol that it led a Sequence-B round in remaining yr.
The fund hasn’t invested in any decentralized AI initiatives but, but feels it is some distance building publicity to the dwelling thru its funding in Tale.
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“We definitely need a blockchain-based IP system to incentivize the original creator, both the creator and the remixers,” Kim endured.
Kim is some distance from the finest articulate calling for open source AI development. A rising chorus of voices from Meta’s Designate Zuckererg to the Economist’s editorial board all agree that the black field of closed source AI – the deity whose choices and workings dwell a thriller – has to circulation for the industry to worn.
However or no longer it is up to Kim to persuade them that the resolution lies in blockchain and crypto.
Sam Reynolds
Sam Reynolds is a senior reporter essentially based in Asia. Sam became segment of the CoinDesk crew that won the 2023 Gerald Loeb award in the breaking files class for protection of FTX’s collapse. Sooner than CoinDesk, he became a reporter with Blockworks and a semiconductor analyst with IDC.
