Senior crypto research analyst Juan Leon at Bitwise predicted that artificial intelligence (AI) and cryptocurrency could collectively contribute $20 trillion to the global economy by 2030.
What Happened: Leon, in a memo published on Tuesday, emphasized the significant impact of the AI and crypto intersection, predicting it will be more substantial than anticipated, on Wednesday. He noted that these industries could add a combined $20 trillion to global GDP by 2030.
Leon added that the AI boom has created a shortage of data centers, AI chips, and electricity. Major cloud companies like Amazon, Google, Meta, and Microsoft are expected to spend nearly $200 billion on data centers in 2025 to meet AI demand.
Bitcoin miners, equipped to process and store large amounts of data, are stepping in to fill this gap. AI cloud provider CoreWeave recently offered to acquire bitcoin miner Core Scientific for $1.6 billion, following a $3.5 billion deal to host AI services in its data centers.
Beyond bitcoin mining, Leon suggested that AI and crypto could intersect in areas like information validation and virtual assistants. Public blockchains could help counter AI-generated misinformation, while smart contracts could enhance AI assistant capabilities.
“Pairing AI assistants with smart contracts and digitally native money like bitcoin or stablecoins—which are designed to move securely without the slow oversight of centralized entities—could open up new avenues to further enhance our productivity,” Leon wrote.
See Also: Why Are Dogecoin, Shiba Inu And Other Meme Coins Struggling?
Why It Matters: The potential $20 trillion boost to the global economy from AI and crypto by 2030 comes amidst a broader context of increasing AI adoption and economic shifts. Analysts from Goldman Sachs noted in April that while AI adoption is progressing, its significant economic impact is still several years away. This gradual integration is evident as over 25% of U.S. workers now use AI tools weekly.
Moreover, a PwC report from May highlighted a 4.3% productivity surge in AI-driven sectors like professional services and IT from 2018 to 2022. This growth rate is nearly five times higher than in traditional sectors such as construction and retail.
Additionally, Arthur Hayes, co-founder of BitMEX, recently pointed out the pivotal role of central banks’ easing cycles in shaping the future of cryptocurrencies. He emphasized that global economic maneuvers, such as the dollar-yen exchange rate, could significantly impact crypto markets.
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This story was generated using Benzinga Neuro and edited by Pooja Rajkumari
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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