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NFTs get AI Brains; What’s next for iNFTs?

By Avivah Litan | January 12, 2022 | 0 Comments

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It’s only a matter of time before you will be able to train your NFT to be an intelligent agent.  Already startups such as alethea.ai and altered state machine are giving you the tools you need to train your NFTs to be artificially intelligent.

The implications across applications are obvious, compelling and even scary:

  1. Intelligent NFTs will be able to win you money in ‘play to earn’ games like axie infinity as long as those games let these NFTs play. (An iNFT could give you an unfair advantage over non-intelligent avatars, if indeed it is well-trained).
  2. Intelligent NFTs could take your place in virtual metaverse work meetings and interact with other intelligent NFT agents representing your boss and coworkers.
  3. Intelligent NFT agents can invest in DeFi lending, yield farming and other blockchain-based financial markets that generate much higher – albeit riskier – yields than traditional finance can. There’s no KYC in DeFi so this should readily achievable.

But along the way there are plenty of opportunities for scams, fraud or just plain bad software e.g.

  • Deep fakes posing as NFTs, whose purpose is to defraud or socially engineer you for someone else’s gain.
  • NFTs that are taken over by malicious actors via credential theft or smart contract bug exploitation
  • Dumb NFTs posing as NFTs with AI brains that fail to live up to expectations. AI model training is difficult, whether for NFTs or for loan decisioning.

Still it’s only a matter of time before AI and NFTs ‘intelligently converge’.  The key is to manage this convergence so that it adds value to your life and applications, and not have it manage you so that it disappoints, at best or destroys, at worst.

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