Web3 Autonomous: The Introduction of AI Smart Contracts

Hello everyone, How are you doing, I welcome you again to my blog in the PussFi 🐈 community.

---

• Introduction

---

The introduction of Web3, which we all know as the decentralized internet that is powered by blockchain, has come to change how we interact with digital services that are all around us.

So regardless, the merge of Web3 and artificial intelligence (AI) is now introducing an even more revolutionary idea in web3, let's discuss further on this.

AI smart contracts have the potential to completely transform a lot of industries, especially finance, logistics, government, and more, one interesting part of them is that they can make decisions on their own and carry out actions on the blockchain.

Freepik

In this article, we will explain the concept of autonomous contracts, how artificial intelligence is improving smart contracts, and how these developments will also affect decentralized systems in the future.

---

Understanding Autonomous Contacts in Web3

---

What Are Autonomous Contracts?

---

Autonomous agents are self-executed, and independent contracts that are capable of carrying out blockchain tasks and making decisions without human involvement.

When it comes to Web3, these contracts are usually executed on blockchain networks and work through smart contracts, and we already know that those are self-executing contracts with agreements that are already encoded into the blockchain.

So, When this system is merged with AI, these contracts can do pre-programmed activities as well as learn from their surroundings, adjust to novel circumstances, and make defensible decisions based on data inputs.

Web3 autonomous agents/contracts are an important component of the decentralized economy since they can communicate with users, other smart contracts, and dApps.

---

The Major Role of AI in Smart Contracts

---

Traditional smart contracts carry out transactions according to specific inputs or circumstances, while Artificial intelligence (AI) is used in smart contracts to make them more active, flexible, and sharper.

So by using this technology, Smart contracts will be able to use Artificial Intelligence to assess data, forecast results, and even build their activities in response to current events.

Freepik

For instance, it can be used in supply chain management, where an AI-powered smart contract may optimize logistics routes based on real-time traffic data, or in decentralized finance (DeFi), it could autonomously adjust interest rates based on market conditions.

---

The Major Key Features of AI Smart Contracts

---

1 . They Have Capability to Self-Learning: What this means is that AI-enabled smart contracts can be built with the ability to learn from the past to improve their performance.

And as a result of this, they are more effective and efficient than the normal smart contracts.

2 . They Can Make Decisions based on Data: - This is most useful in the trading market or financial data, where AI will enable the adaptation of smart contracts based on data or user behavior.

3 . Machine Learning: This will work smoothly without the need for human intervention, and autonomous contracts will be able to carry out tasks like paying bills, changing settings, or reacting to certain circumstances.

Freepik

In decentralized systems, this level of automation can result in faster response times and more effective operations.

4 . They are also Interoperable: AI contracts will be able to communicate with several platforms and smart contracts at once.

Therefore, this makes it possible for different dApps, blockchain networks, and even off-chain systems to work together with them seamlessly.

---

Conclusion

---

Here comes the conclusion on the topic Web3 Autonomous: The Introduction of AI Smart Contracts where we have successfully discussed the active roles of AI in smart contracts and as well discuss some of the characteristics of AI smart contracts.

In the coming slide, we shall dive deeper into the major applications of this innovation, consider some of its upcoming challenges and considerations, and as well discuss the Future developments of AI in web3, THANK YOU!!!.

---

---

---