Fintech Exploiting AI and Blockchain Technology

AI and Blockchain Technology

The field of artificial intelligence (AI) had progressed rapidly in the last ten years, though first recognized in the 1950s. From autonomous motor vehicles to digital personal assistants, the technology is making its way into a variety of industries, enabling better task automation, language processing, and data analytics. But more recently, AI is evolving to allow for experiential learning and improved functioning. The financial industry recognized the benefits of AI early on, and AI driven analytics across big data already provides us with insights into financial performances through intelligence that might otherwise be considered unrelated.

AI Cultivating Superior Traders

Some fintech startups are already encouraging the use of AI in the retail sector, and it’s suggested that combining such technology with hands-on experience will produce ‘enhanced traders.’ As financial institutions invest in advanced forms of AI, technology that uses deep Machine Learning and cognitive systems, complex algorithms allow for reasoning capabilities capable of improving business performance. Already Google DeepMind’s AlphaGo and IBM’s Watson have demonstrated their expertise, training and learning from their mistakes much as people do, but evolving beyond the experts. 

Fintech Advancing with AI, Big Data, and Blockchain

In collaboration with Nest Hong Kong, DBS Bank Hong Kong has launched its second DBS Accelerator program, supporting innovative fintech startups. Says Sebastian Paredes, CEO of DBS Bank Hong Kong, “Fintech innovations in artificial intelligence, big data, blockchain, and more are spurring many exciting breakthroughs that will shape the way consumers and corporations transact and interact.

But it isn’t only dynamic startups coming up with original fintech projects. IBM is currently working to merge AI and blockchain into a powerful prototype. Tim Hahn, IBM’s chief architect in charge of Internet of Things security, has spent the first part of this year focused on bringing together AI computer Watson and the blockchain. Says Hahn, “What we’re doing with blockchain and devices is enabling the information those devices supply to effect the blockchain…You begin to approach the kind of things we see in movies.” Though Hahn notes that it’s still “early days” and the team is still experimenting with prototypes, an early feature investigated allows device owners to register on the blockchain using smart contracts, create varied tiers of access, and provide differing functionality to users through personalization.

Security, of course, is a constant concern, and at 2016’s InterConnect conference on mobile and cloud technology, Hahn discussed how the Watson Internet of Things platform might help avoid business risks. Says Hahn, “I don’t think blockchain and security are synonymous. They might be related, but they’re certainly not synonymous functions. One does not beget the other. There’s plenty ways to insecurely use the blockchain.”

Fintech AI Solutions Already in Play

Several AI solutions already exist in the fintech sector. Wealthfront, a California-based robotic advisor tracks account activity with its AI capabilities, analyzing how clients use and invest their money with the goal of providing more suitable financial advice. And Luvo, a technology developed by RBS, helps service agents answer customer queries, not only quickly searching through databases but using its artificial intelligence and ‘human personality’ to learn and improve itself. Though ideas and early innovations are now more regularly coming to light in the fintech environment, it’s safe to say that for the moment, a collaboration of both human agents and AI imbued robots offer the soundest solutions, and for a little while yet, the most comfortable.

By Jennifer Klostermann

EV Sales

Growth of Electric Vehicles – Heading In The Right Direction

Growth of Electric Vehicles The global electric vehicle market is projected to reach $802.81 billion by 2027, registering a CAGR of 22.6%.1 The highest revenue contributor was Asia-Pacific, which is estimated to reach $357.81 billion ...
Tej Redkar

How AI Monitoring Can Make Your Business Smarter and Better

Business AI Monitoring When issues arise with digital technology—as they invariably do—companies must have the ability to fix them before they create any business impact. These days, more and more companies are discovering that the ...
Texture Cloud

Building a Cloud Roadmap

Cloud Roadmapping Why is it important to have a cloud roadmap? What's the best way to begin building a cloud roadmap? What points should a cloud roadmap include? Who should be included in the roadmap ...
Trading view

Notable Stock Screeners for 2021

Stock Screeners By this point, you probably already heard about everything that happened with GameStop (GME) stocks. GameStop is the largest video game retailer with 5,000 stores around the U.S. Due to the pandemic, the ...
Lauren Brunson

The Growing Need to Consolidate Multi-Tenant Environments

Consolidate Multi-Tenant Environments Over the past four months, countless businesses and universities have scrambled to the cloud to enable their employees and students to work remotely during the global coronavirus pandemic. Managed service providers (MSPs) ...