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EU Urged to Prepare for Integration of Blockchain and Artificial Intelligence

ByDayne Lee

May 27, 2024
EU Urged to Prepare for Integration of Blockchain and Artificial Intelligence

EU Urged to Prepare for Integration of Blockchain and Artificial Intelligence

The European Union (EU) has been advised to prepare for the significant technological convergence of blockchain technology and artificial intelligence (AI). This advice comes from the European Blockchain Observatory and Forum (EUBOF), an initiative backed by the European Commission, which has been monitoring and analyzing developments in blockchain technology across Europe.

Insights from the EUBOF Report

On May 24, the EUBOF published a comprehensive report, authored by the Directorate-General for Communications Networks, Content, and Technology. This report underscores the potential of blockchain to enhance other technologies and drive broad-based innovation, particularly when combined with AI.

  • Data Security: The report emphasizes the potential for blockchain to secure sensitive AI datasets, particularly in critical sectors like healthcare and finance.
  • Decentralized AI Networks: Blockchain can facilitate the creation of decentralized AI networks, mitigating the risk of data monopolies and fostering collaborative development across the digital landscape.
  • Smart Contract Enhancement: AI technologies can significantly enhance the functionality of smart contracts, with applications spanning multiple industries.

The report also touches on the dynamic expansion of the DeFi ecosystem, anticipating the introduction of innovative protocols and applications that could further disrupt financial services.

Recommendations for EU’s Blockchain Strategy

EUBOF has put forward several recommendations to bolster the EU’s position as a leader in blockchain technology:

  • Global Knowledge Hub: Position the EU as a central node of blockchain knowledge globally.
  • Engagement with Stakeholders: Strengthen connections with various stakeholders to enhance the integration and application of blockchain technologies.
  • Addressing Innovation Challenges: Tackle the emerging challenges and ethical considerations associated with new technologies to ensure balanced and inclusive growth.

Concurrently with the EUBOF’s findings, the EU announced on May 24 amendments to the regulation governing the European High Performing Computer Joint Undertaking (EuroHPC). This initiative oversees the development and utilization of supercomputers in Europe, which are increasingly being used for AI development.

  • AI Factories and Supercomputers:
    • Enhanced Capabilities: The proposed AI factories aim to maximize the potential of Europe’s supercomputers, emphasizing trustworthy AI applications.
    • Funding and Ownership: New regulations will allow hosting entities to cover up to 50% of the acquisition and operational costs of AI supercomputers, with ownership potentially transferring to these entities five years after acceptance testing.

Vice-President Willy Borsus’s Statement

Willy Borsus, vice-president of Wallonia and minister for economy, research, and innovation, highlighted the collective achievements within Europe’s technological sphere, stating, “Unity is the strength of Europe, and together we have achieved great goals. We have seen this with the development of our world-class supercomputers, and now we want to boost the outcomes of these powerful machines through trustworthy AI.”

As the EU positions itself at the forefront of these converging technologies, the integration of blockchain and AI holds promise for numerous sectors, potentially leading to groundbreaking developments in digital infrastructure, healthcare, finance, and beyond.

Featured image credit: Maximalfocus via Unsplash

Dayne Lee

With a foundation in financial day trading, I transitioned to my current role as an editor, where I prioritize accuracy and reader engagement in our content. I excel in collaborating with writers to ensure top-quality news coverage. This shift from finance to journalism has been both challenging and rewarding, driving my commitment to editorial excellence.

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