How are NFTs related to AI?
Currently, the word NFT (Non-fungible token) appears in most of the technology articles we read, but… What exactly is an NFT? What implications are they going to have on companies? How are they going to affect us in the increasingly near future?
Moreover, if we analyze the relationship with other technologies, it is more than obvious what links them with the Blockchain. But with Artificial Intelligence?
NFT and Artificial Intelligence
NFIs (non-fungible intelligence) or iNFTs could be the next step in the evolution of NFTs. By tokenizing artificial intelligence, it has captured the attention of investors who are thinking long-term about the future of the metaverse and decentralized play-to-earn economies.
But let’s start at the beginning.
An NFT or non-fungible token is a form of digital information that cannot be exchanged or substituted for another, in addition, it has unique and distinguishable attributes that are not exchangeable.
NFTs have a close relationship with cryptocurrencies as they work through blockchain technology. However, we cannot forget that they are opposite concepts, since, for example, Bitcoin is a fungible good and an NFT is a non-fungible good.
To better understand their meaning, one can think of an NFT as a great work of art. There is only one and it is in a specific gallery. If someone wanted it, one could only buy the original (if it were for sale). You could always buy a copy, but it would no longer have the same value as the original. This is exactly what the NFT does, but digitally.
NFT art finance
Recently an article was published in which the telecommunications engineer Anna Carreras had sold more than 1000 works in just 45 minutes. Her works are generated using different algorithms programmed by the artist.
One of the big trends this year will be the use of Artificial Intelligence for the creation of NFTs. Models such as GAN’s (Generative Adversarial Networks) are able to generate new content once they have been trained with the right data set. These networks can generate unique and exclusive works of art, which makes them very attractive within the field of NFTs.
What role does Artificial Intelligence play in NFTs?
Although NFTs can be generated using artificial intelligence, there is also another trend for this year and that is the integration of Artificial Intelligence within NFTs. This means that dynamic and intelligent experiences can be created that are impossible with other methods.
AI-generated NFTs can be used to create unique and personalized experiences for customers. Alethea AI was the first mover behind an intelligent NFT called “Alice”. This NFT has strong self-learning capabilities, so it gains new knowledge as it interacts with more people. This smart NFT was auctioned at Sotheby’s for almost $480,000.
— Alethea AI – Bringing NFTs to Life (@real_alethea) May 20, 2021
In fact, the company has already raised $16 million to create a scalable infrastructure for AI-based NFTs. They are committed to building an NFT metaverse where digital objects interact and evolve with each other. The idea is to turn works of art into NFTs and the rest of the NFT industry into agents that interact with each other and with the surrounding environment.
In other words, creators and artists will be offered the possibility of designing interactive and intelligent NFTs around their favorite characters. In addition to facilitating the construction of digital communities, maintaining intellectual property over the avatars and democratizing access to new digital tools.