Trying the most complex issues
for over 30 years.

Trying the most complex issues for over 30 years.

Digital assets and intelligence: when technologies collide

On Behalf of | Sep 20, 2022 | Cryptocurrency

That stock prices fluctuate is no surprise to investors. The concept of buying low and selling high is a gamble for any investment.

Potential gains depend on supply and demand – a concept that’s even more complex for virtual assets. Take cryptocurrency, for example.

Computations and regulations

The blockchain technology used to secure confidential information has decentralized a portion of the financial industry. It’s taken years for the general public to accept the concept of Bitcoin, and although initial coin offerings (ICOs) continue to disrupt online trades, officials continue talks about regulation.

Efforts to control digital assets may struggle even more due to artificial intelligence (AI).

Should logical decisions depend on intelligence?

High-level economists already have familiarity with how AI can help detect market manipulation. Those familiar with “the cryptoverse” likely have specific interests and understand various tokens’ history and probable success.

AI may help pave the way for less technologically inclined investors to enter the market. Rather than do your due diligence before making a transaction, you could rely on algorithms to make suggestions.

Of course, success may depend on programmed parameters – capable of both automating and compounding risk.

Errors could suggest otherwise ill-advised transactions. Meanwhile, misused technology is capable of market manipulation.

Interest protection

Offering a new cryptocurrency is one approach to securing funding. This plan is wildly successful for some startups and allegedly criminal for others. Before putting developing technology to work for your organization, you’d be wise to verify you’re doing so in accordance with Securities and Exchange Commission (SEC) guidelines.

Businesses that offer a company share have a responsibility to investors. Therefore, losses caused by misinformation may allow for legal action.