Over the last year, the cryptocurrency industry has experienced a significant downturn, resulting in prominent arrests, recent allegations, and impending regulations. However, Mike Novogratz, the CEO of Galaxy Digital, believes that governments should prioritize the impact of AI on society rather than cryptocurrency.
During the 2023 AI and Blockchain Summit, Novogratz stated that AI is more likely to disrupt the global economy and job market compared to cryptocurrencies.
‘Dread the profound fake reality of AI’
Analyst says you’ll soon be fed fake identities and can’t prove the reality of things and also explained why its a threat to the entire humankind:
According to him AI is a larger threat than bitcoin and needs rapid regulation. The US Government continues to overlook this.
These are the top 5 threats:
Job Losses: AI has a bigger potential to disrupt the global economy and employment market than cryptocurrencies, according to Novogratz. He noted that AI technologies like machine learning and natural language processing might automate many jobs, from customer service to healthcare.
Impacting social life: Novogratz’s remarks come at a time when many countries are dealing with AI’s impact on society. The rapid speed of AI research has raised concerns about job losses, wealth concentration, and the potential for AI systems to make harmful decisions.
Crypto vs. AI: Novogratz admitted that cryptocurrencies had the potential to disrupt established financial systems, but he also claimed that they can promote financial inclusion and democratize access to financial services. Cryptocurrencies are being utilized for peer-to-peer transactions in emerging nations, bypassing established banking institutions.
Illicit activities: Novogratz also addressed worries about using bitcoins for illegal operations including money laundering and terrorism financing. He argued that while cryptocurrencies are generally linked with unlawful activities, most bitcoin transactions are legitimate and transparent.
Regulation: In recent years, governments and regulators around the world have taken moves to regulate cryptocurrencies. China and India have outlawed their use, while the US has taken a cautious approach to their control.
AI technology’s progress will have far-reaching effects on society, yet cryptocurrency regulation remains controversial. As Novogratz has noted, governments should focus more on AI’s potential influence on the economy and job market than on cryptocurrencies, which might increase financial inclusion and democratize access to financial services.