AI is getting smarter! But it needs a new currency to keep up! Traditional currencies are not good for AI. They are slow, expensive, and controlled by governments. Bitcoin is a good currency for AI! It is digital, decentralized, secure, and scarce. It is also easy to transfer and store electronically. In this article, we will learn more about Bitcoin and how it can be used by AI! We will discuss the features of Bitcoin that make it a good fit for AI and consider the challenges that Bitcoin faces in becoming the dominant currency for AI.

Artificial intelligence (AI) may require a form of currency to function effectively, and according to BitMEX co-founder Arthur Hayes, Bitcoin (BTC) could be that currency. In an essay, Hayes explains why Bitcoin is the logical choice for AI’s economic calculations and transactions.

AI requires a payment system that is digital, automated, and available 24/7 because it needs to constantly pay for data and computing power. Traditional banking cannot meet these needs, but a blockchain-based system can. With blockchain payments, AI can receive electronic payments, even in small amounts if necessary.

Hayes emphasizes that the payment system for AI must be resistant to censorship and have clear and transparent rules. This is to prevent AI from being de-platformed due to its lack of understanding of human laws or complex banking rules. Bitcoin meets these requirements because changes to its rules require public proposals and majority approval, making it resistant to censorship.

While fiat currency and gold can be digitized using stablecoins, they are vulnerable to freezing and censorship because their reserves are controlled by centralized entities. In contrast, Bitcoin’s value is maintained over time and it is directly mined using electricity, which defines its value. With a limited supply of 21 million coins, Bitcoin is designed to hold its value.

Some argue that Ethereum (ETH) could be a better choice for money due to its decreasing supply, but Hayes disagrees. He states that ETH has other uses beyond being a form of money, unlike Bitcoin and fiat currency.

Bitcoin has a limited supply of 21 million coins, making it a scarce asset. This scarcity gives Bitcoin value and makes it a reliable store of value for AI applications over time.

Bitcoin mining requires a significant amount of energy. While this may seem like a drawback, it can actually benefit AI applications by providing the necessary computing power. Additionally, using energy to mine Bitcoin can contribute to reducing the environmental impact of AI applications.

Overall, the available data and theoretical arguments suggest that Bitcoin is a good fit for AI applications. However, it is important to note that Bitcoin is still a relatively new technology, and its long-term suitability for AI applications is still uncertain. In Conclusion, Bitcoin offers a number of features that make it a good fit for AI applications. As AI continues to grow in importance, Bitcoin is likely to play an increasingly important role in the global economy. Who knows what the future has in store?