In a blog post titled “Moai,” Arthur Hayes, the co-founder and former CEO of BitMEX, has expressed his belief that Ethereum (ETH) will be the primary beneficiary of the AI revolution over the next ten years. Hayes argues that as the AI revolution strengthens and decentralized autonomous organizations (DAOs) become more prevalent, the price of ETH will likely skyrocket.

Hayes explains that the traditional organizational structures used by companies, such as limited liability companies (LLCs), will not work with artificial intelligence. Instead, he suggests that the decentralized autonomous organization (DAO) structure, which relies on blockchain technology, is the best way for humans and AI to collaborate. According to Hayes, this is the only organizational structure that AI will willingly follow.

Predictions for ETH’s Future

Hayes believes that Ethereum’s Virtual Machine (EVM), which he refers to as the world’s “most robust decentralized computer,” makes it the ideal fit for the AI revolution. He predicts that as DAOs become more prevalent, Ethereum transactions will grow exponentially, leading to a spike in the price of ETH. Hayes also emphasizes the potential of decentralized exchanges (DEXs) with EVM-compatible governance tokens, which he believes will create “natural monopolies” and offer significant profits to early adopters.

Bullish Case for Bitcoin

In a separate post, Hayes argues in favor of Bitcoin (BTC) as the currency of AI. He highlights Bitcoin’s censorship resistance, public network, and inability to be shut down by any single entity. Hayes compares Bitcoin to assets like gold and fiat, pointing out the inherent issues with these alternatives.

Overall, Hayes is optimistic about the future of both Ethereum and Bitcoin in the AI economy, with Ethereum playing a central role in facilitating collaboration between humans and AI.

FAQs

What is the AI revolution?

The AI revolution refers to the increasing integration and advancement of artificial intelligence technologies in various industries and sectors. It involves the development of AI algorithms, machine learning, and automation to improve productivity, decision-making, and efficiency.

What is a Decentralized Autonomous Organization (DAO)?

A Decentralized Autonomous Organization (DAO) is a type of organizational structure that relies on blockchain technology to operate. It is designed to function autonomously, without a central authority, and is governed by a set of smart contracts. DAOs enable transparent decision-making and collaboration among participants, using digital tokens to represent ownership and voting rights.

How does Ethereum support AI and DAOs?

Ethereum is a blockchain platform that allows developers to build decentralized applications (DApps) and smart contracts. Its Virtual Machine (EVM) provides a robust environment for executing code, making it suitable for AI applications. Ethereum’s programmability and flexibility make it well-suited for creating DAOs, where participants can collaborate and interact without the need for intermediaries.

Why is Bitcoin seen as censorship-resistant?

Bitcoin is considered censorship-resistant because transactions made using the cryptocurrency are recorded on a public blockchain, making them transparent and resistant to alteration or censorship. The decentralized nature of the Bitcoin network means that no single entity can control or shut down the entire system.