AI is converting everyday investors to crypto | Opinion
10/26/2024 18:01In essence, AI gives crypto newcomers an extra set of hands that they normally wouldn’t receive, increasing blockchain mass adoption.
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If someone were to Google “how to buy crypto,” they would be met with thousands of resources—from articles to YouTube videos—that break down the ins and outs and introduce potential holders to digital assets. Scrolling through these resources might eventually inspire those with an elementary knowledge of cryptocurrency to take their first steps into it.
However, that straightforwardness screeches to a halt when it comes down to newcomers actually purchasing digital assets, discouraging them from fully engaging with the ecosystem.
For new adopters, practical barriers have hindered their crypto exploration. For instance, the notion of relying on a single password to secure all their assets can be daunting. An analysis by the Wall Street Journal revealed that 20 percent of Bitcoin (BTC) has been lost due to forgotten passwords, lost keys, and the complexities of wallet management, highlighting the risks these frameworks create.
In contrast to the volatility associated with crypto, traditional investment options have been around for centuries, providing a more established framework for individuals to build their financial portfolios. Even professional financial advisors, for example, are accessible resources within finance, playing a crucial role in helping clients create strategies tailored to their financial goals.
Beyond human resources, traditional finance has integrated AI to enhance portfolio management and streamline trading strategies, enabling faster decision-making and improved risk assessment. Why can’t blockchain do the same?
“Robo advisors” have emerged as automated financial advisors providing wealth management services without human interaction. These advisors utilize algorithms to automate investing based on information like risk tolerance and investment preferences, making it easier for individuals to manage their portfolios.
This level of guidance and personalized support should be standard in the crypto realm, as the current lack of support makes it difficult for newcomers to navigate their options and make informed decisions in an already complex and volatile environment. After all, crypto is meant to be the currency of the future—which means it must turn up its intuitiveness.
Recognizing this gap, some developers are focusing on creating personalized assistance on crypto platforms that accommodate both newcomers and experts. Personalized assistance through AI tools can help users gain a deeper understanding of market dynamics, enabling them to interpret trends, evaluate risks, and make strategic decisions.
For instance, GT Protocol has developed a blockchain AI execution and web3 investment platform specifically designed to help bridge the knowledge gap. The platform provides AI-driven infrastructure to assist with web3 investments, trading, and portfolio management, making the transition to crypto more accessible.
What distinguishes GT Protocol specifically is that its purpose-built AI Assistant can extract precise, real-time information at a high degree of accuracy. The AI Assistant also includes an execution layer, which enables it to analyze data and execute tasks, including implementing strategies based on market signals and managing processes across multiple layers.
In essence, it gives crypto newcomers an extra set of hands that they normally wouldn’t receive. But this can make all the difference in onboarding the next billion if users don’t feel as though they must always fly solo. It’s also paid off for GT Protocol itself, with the extra effort pushing its token to be a top gainer on BNB Chain for the past 30 days.
Embracing the unfamiliarity of crypto can lead to growth and new opportunities, encouraging investors to embrace new financial avenues. However, it can also quickly become too overwhelming for anyone who isn’t a hobbyist or financial expert to pursue. Leveraging supportive tools and resources can be vital in helping individuals navigate the challenges of blockchain adoption with greater confidence and become more empowered in their economic pursuits.