Artificial intelligence will change the game of cryptocurrency

Written by Vishnu Patankar, Chief Technology Officer at Kraken

Cryptocurrencies are uniquely suited to AI adoption.

Our industry is known for its volatility and 24/7 dynamic. As anyone who has been involved in the cryptocurrency industry knows, a bull market puts enormous pressure on most core functions, including account sign-up, customer response, and token listings.

In these situations, the hiring process often falls far short of filling the vacancy. This is partly because other cryptocurrency companies are trying to hire the same people at the same time, but also because it can take months for new hires to complete their notice period and become fully comfortable with their new roles and responsibilities.

Ultimately, traditional hiring models fail to fill the most labor-intensive tasks when they are most needed, which can lead to higher turnover and increased operating costs. In a startup-heavy field like cryptocurrency, maintaining all of these functions internally at scale is not always possible and often times companies are unable to grow and adapt where needed.

Business leaders must make compromises that can lead to subsequent failure. Or, it could lead to excessive hiring during a bull market and then having to make significant layoffs when the downturn returns.

AI provides a powerful solution to these scalability problems. By automating repetitive tasks such as answering FAQs, performing document reviews, and assisting with initial hiring, AI minimizes human error and promotes rapid scalability.

Kraken is at the forefront of AI adoption.

We integrated AI into our customer engagement operations late last year, resulting in a 30% increase in efficiency, with customer questions resolved faster than ever before, along with higher CSAT scores.

Without the time delays of traditional hiring processes, cryptocurrency companies can quickly deploy new AI assistants to manage surging customer demand and scale capabilities to easily meet market demand.

AI is excellent for compliance, handling initial KYC verification and monitoring platform activity. The ability to continuously analyze massive data sets means we can detect suspicious activity and immediately alert the relevant teams. This will allow cryptocurrency companies to more effectively combat illegal activity and make the cryptocurrency ecosystem more secure for market participants.

Product design includes user experience research (UXR) surveys. The UXR AI assistant can accelerate your product development lifecycle by seamlessly conducting and summarizing interviews, sentiments, and key topics to quickly integrate solutions tailored to customer needs into your products.

Innovation creates human jobs, not eliminates them.

But what about humans? The integration of AI does not mean the end of human roles, but it does transform them. Employees are already transitioning into roles such as AI model trainers. AI can leverage databases to answer customer queries and recommend content, but it is the human expertise in creating and maintaining these databases that ensures the accuracy and relevance of the information. In this way, AI and humans complement each other.

The emergence of groundbreaking technologies such as electricity, automobiles, and the Internet has historically been met with skepticism. AI is no different. Some fear that AI will replace human labor because it exhibits human-like behavior. But the AI ​​most of us use today, such as language processing models like GPT, is closer to an advanced version of the implicit text capabilities of our smartphones than to the human brain.

Embracing AI in the near future will be about augmenting human intelligence, not replacing it. AI allows cryptocurrency companies to develop efficient operations that adapt quickly to market changes and free up human resources in roles that support innovation. Accelerate the development and adoption of new cryptocurrency applications. This can create new jobs.

Rather than competing with humans, AI amplifies efforts and increases productivity. AI will make cryptocurrency companies more efficient and scalable, ultimately creating new job opportunities for humans.