Interview with Cosmo Jiang at Pantera Capital

Crypto.news spoke with Pantera Capital’s general partner, Cosmo Jiang, discussing artificial intelligence (AI), deepfakes, and the synergy between AI and blockchain technology.

As the global AI market is projected to reach approximately $3.6 trillion by 2034, Crypto.news engaged Pantera Capital, a leading crypto venture firm in California, to explore this topic further. In this discussion, we interviewed Cosmo Jiang, who transitioned from Nova River, a web3 venture firm, where he managed a long-biased digital asset fund.

Q: Will AI result in more sophisticated crypto scams?

CJ: Absolutely, we foresee a future where AI-generated content becomes widespread, necessitating clear distinctions between human and AI creations. This challenge will arise across many sectors. Decentralized AI is exceptionally well-suited to tackle these issues, including deepfake detection and identity verification.

An example is BitMind, a subnet on the Bittensor network, focused on deepfake detection. BitMind employs advanced AI models to distinguish authentic content from manipulated ones and is recognized as one of the most precise free detection tools available. Its algorithms leverage generative and discriminative AI technologies, ensuring top-notch detection accuracy via innovative techniques like Neighborhood Pixel Relationships.

The subnet operates in a decentralized manner, with network miners employing binary classifiers, guaranteeing widespread detection processes beyond centralized structures, enhancing reliability and integrity.

Q: Are new regulations anticipated for the AI and crypto intersection?

CJ: I envision regulators collaborating with the AI and crypto sectors to forge frameworks that nourish innovation while safeguarding consumers. The proposed role of the White House AI and Crypto Czar symbolizes the merging significance of these domains. Crypto and AI are positioned to be the fastest-growing sectors globally in the coming years, and this role is a clear recognition from governmental leaders.

Regulators should be receptive to decentralized AI development alternatives to mitigate censorship risks and bolster resilience.

Q: What AI projects excite Pantera in the crypto domain?

CJ: The unique interplay between blockchain and AI motivates our investments in this sector. A key advantage of crypto is utilizing tokens for coordination, particularly in developing and employing open-source AI models. Our investments include Bittensor (TAO) and Sentient.

Open-source development is gaining momentum both culturally and practically, as it often produces superior AI models compared to closed systems like OpenAI. Bittensor nurtures an open-source community by providing financial incentives for contributions, reminiscent of early Bitcoin’s grassroots community.

Another intriguing area is decentralized identity. Our investments extend here too, including World (WLD) and Humanity Protocol.

As AI and AI-generated content proliferate, distinguishing between human and bot interactions becomes critical. This necessity is underscored by the rapid advancements in generative AI.

Sam Altman, CEO of OpenAI and Chairman of World, anticipates a breakthrough in artificial general intelligence soon. He established World to identify unique humans, addressing the future landscape that OpenAI is advancing towards. Successful implementation of World could reliably separate humans from AI online while ensuring privacy and fostering democratic processes, economic opportunities, and potentially paving the way for AI-funded Universal Basic Income (UBI).

Further Reading

[Artificial intelligence can add new dimension to crypto crimes, Elliptic says]