In the crypto space, AI coins were among some of the best performers last year. They took advantage of the incredible hype around generative AI technologies to attract the attention of digital asset investors.

There’s a lot of reason to believe in blockchain-based AI in the coming future. It is quite feasible to establish a decentralized artificial intelligence ecosystem that would offer an open, transparent, and accessible alternative to the commercial models such as ChatGPT dominating the market nowadays.

This clearly explains why all the major blockchain networks have made efforts to position themselves as a solid foundation for AI projects. We’ve seen AI coins emerge by the dozen on Ethereum, and some are even trying to build on Bitcoin, but if there’s one network that stands out as the most suitable for AI, it has to be Solana.

Solana’s infrastructure is perfect for AI

Among others, Solana has come in the limelight. During the past year, the growth of the subspace in the fast developing crypto-economy increased; Solana emerged as a leading alternative of the smart-contract giant Ethereum. Solana’s strengths include its beefy network throughput and its low gas fees, which enable it to process transactions much faster, and at lower costs, than any of its competitors.

These benefits are the same ones that make Solana’s network an ideal home for blockchain AI projects. After all, AI is one of the most “data-hungry” technologies of our age, and Solana is purpose-built to scale to extraordinary heights.

Notably, Solana doesn’t just want to host AI applications. In a recent interview published on the Solana Foundation’s website, Solana’s co-founder and the CEO of Solana Labs, Anatoly Yakovenko, mentioned that AI can also benefit the network itself, making it more usable and easier to understand.

AI is booming, and demand for computing power is soaring

What if computing worked like Airbnb? Meet DePIN compute on Solana — share your GPU to earn and access compute when you need it. pic.twitter.com/BMwYCGs8QA

— Solana (@solana) December 16, 2024

He further added that it also makes sense for AI developers to build on blockchain networks, explaining that they provide significant advantages compared to centralized alternatives.

“Crypto APIs are way better than the APIs from finance-focused centralized service providers because they are trustless and don’t deal with the same issues that centralized providers have to deal with,” Yakovenko said. “They have more programmability, and so an AI that can deploy smart contracts and do transactions is better and more powerful than one that can’t.”

Solana Is Encouraging AI Innovation

Besides having the most efficient blockchain architecture for AI, Solana has also made extensive efforts to entice AI developers to use its network in a variety of ways. One of its most important initiatives is the $10 million fund announced by the Solana Foundation that’s specifically set aside for AI projects that aim to enhance the Solan network.

First announced in April 2024, the fund’s aim is to encourage innovation at the intersection of AI and blockchain. Individual developers, teams, businesses, nonprofits, and anybody else who wishes to create an AI application that can help Solana can receive payments ranging from $5,000 to $25,000. Solana highlights its incredible speed and its low costs, saying that these make it the most suitable testing ground for AI blockchain applications.

The Solana Foundation wants to attract developers building dApps that leverage every kind of AI algorithm, including computer vision models, natural language processing and machine learning.

Yakovenko believes AI can improve Solana by documenting and generating code for both the network and dApps, and also by finding vulnerabilities in smart contract codebases. It could also help for other use cases, like networking monitoring, he said.

“There’s a lot of data that validators monitor,” Yakovenko stated. “I bet somebody could build AI-optimized monitoring tools for data – maybe someone is already working on that.”

Solana’s growing AI ecosystem

Solana is already home to some of the most intriguing AI blockchain projects around, further illustrating its strengths. One of the most prominent is Nosana, which is building a decentralized grid of GPU resources that’s powered by the Solana network.

The aim of Nosana is to make the extremely costly and increasingly difficult-to-source GPUs that power AI models available to developers at lower costs. The network’s computing power is sourced from idle GPUs provided by consumers, crypto miners, businesses and data centers, which can make those resources available to others when they’re not using them for their own projects. It’s a smart idea, because the vast majority of GPUs in the world actually spend more time sitting idle than they do working.

By aggregating these resources, Nosana aims to make them available to developers running AI inference workloads at lower prices, sharing the profits earned between those who provide the GPUs and its own treasury.

Meanwhile, Synesis One is more concerned about the data that’s required to train AI models. Data is becoming increasingly hard to come by for AI developers, highlighted by recent claims in the media that the likes of OpenAI are struggling to find enough information to train their next-generation models.

We just launched the first batch of Train2Earn campaigns of the year!

Let’s shape the future of AI, one dataset at a time

Train AI. Earn Crypto. pic.twitter.com/FQAJAXAouJ

— Synesis One (@synesis_one) January 9, 2025

Synesis One aims to fix this by connecting data providers with the developers who need it, leveraging Solana’s high-speed network for low-cost storage and rapid, low-cost transactions. It’s centered on a transparent data exchange, where users can contribute datasets. The data is then tokenized and made available to Synesis One’s community of AI developers at affordable prices, ensuring it can be shared and reused, with appropriate compensation going to those who created it.

Synesis One encourages others to participate too, offering rewards paid out in its native SNS token to anyone who’s willing to spend time annotating and labeling its datasets, in order to make them more useful to AI systems.

Other innovative Solana-based AI projects include Dither, which is building advanced decentralized time-series models to automate crypto trading, and GM.ai, which is creating an operating layer for AI dApps based on Solana

Solana’s promising AI outlook

As interest in decentralized AI grows, Solana looks set to emerge as one of the clear winners thanks to the way it can handle the necessary data requirements with unparalleled speed. It’s also one of the most transparent and secure blockchain networks of all, which means all participants can share in the rewards these projects generate.

With a fast-growing AI dApp ecosystem leveraging Solana’s strengths to increase their efficiency and scale, Solana will play a leading role in the rise of a more equitable AI ecosystem that benefits every stakeholder.

The post Solana’s Powerful Blockchain Will Be The Foundation Of Decentralized AI appeared first on CoinGape.

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Filed under: News - @ January 14, 2025 3:16 pm