This post is a guest contribution by George Siosi Samuels, managing director at Faiā. See how Faiā is committed to staying at the forefront of technological advancements here.
With the rise of artificial intelligence (AI) and the proliferation of data-driven business models, the potential for a shift from surveillance capitalism to digital totalitarianism is no longer just a sci-fi trope -- as mentioned by James Cameron in this tweet -- it's a real and urgent concern. As profit-driven tech giants increasingly harness data en masse, some advocates see blockchain technology as a solution to potential conflicts of interest in AI. However, the path to realizing this vision is fraught with technological, political, and trust-related challenges.
The surveillance capitalism threat
Surveillance capitalism, as coined by Shoshana Zuboff, describes a system where companies like Google (NASDAQ: GOOGL), Facebook (NASDAQ: META), and Amazon (NASDAQ: AMZN) profit by collecting and analyzing user data to predict and influence behavior. What began as a way to sell targeted ads has evolved into a mechanism of control, where data monopolies shape the information we see, the decisions we make, and, ultimately, how society functions. This system's rise has sparked fears of a future where data isn't just used to market products but to enforce compliance and engineer social behavior. James Cameron, among others, has expressed concerns that unchecked AI, coupled with mass data collection, could lead us into a dystopian future of digital authoritarianism.
However, there might be a way to counteract this trend, which lies in a technology once thought to be the future of finance: Bitcoin. Yet, it is not the Bitcoin most people think of when they hear the word. We're talking about a more scalable, more ambitious vision of blockchain technology that has sparked heated debates, political conflicts, and technological rivalries. The Bitcoin that could potentially serve as a decentralized backbone for today's AI networks is Bitcoin SV (BSV).
The BTC vs. BSV debate: Scalability vs. stability
At the core of this debate is scalability. BTC, often called digital gold, has a capped block size of 1MB, limiting the number of transactions it can process per second. This decision, made by BTC core developers, has effectively steered Bitcoin towards being a store of value, prioritizing stability over transaction throughput. BTC's network currently handles only about seven transactions per second, making it impractical for broader use cases like daily retail payments or data-heavy applications, where capping the block size was a move to keep Bitcoin aligned with traditional financial systems, ensuring that banks and other intermediaries remained relevant by maintaining high transaction fees and low throughput. This has led to criticism that BTC's original vision was compromised, becoming a "safe" digital asset that fits neatly into the existing financial framework rather than challenging it.
BSV, on the other hand, emerged to restore what its supporters claim is Satoshi Nakamoto's original vision: a scalable, fast, and low-cost digital currency. By removing the block size limit, BSV can theoretically handle millions of transactions per second, positioning itself as a scalable data ledger for applications beyond financial transactions. Projects like Teranode aim to demonstrate this by achieving unprecedented throughput, making BSV a potential protocol layer for decentralized apps, smart contracts, and even AI systems.
Beyond digital cash
BSV proponents see their blockchain as more than just digital cash -- they see it as infrastructure. With its unbounded scalability, BSV could support various applications, from IoT networks to supply chain tracking to decentralized AI ecosystems. Imagine a future where AI systems aren't owned and managed by a few tech giants but are instead distributed across a blockchain, where anyone can contribute to and access resources. This would mean no single entity controls the AI, and no centralized power can manipulate data flows or enforce surveillance unilaterally.
A recent report by Deloitte highlights how blockchain technology can enhance transparency, reduce transaction costs, and streamline processes in various industries, particularly when it scales effectively. By enabling fast, cheap data transactions, a scalable blockchain like BSV could serve as the backbone for decentralized AI networks, which rely on data-sharing across multiple nodes without risking privacy breaches or data monopolies.
The potential synergy: AI & blockchain integration
AI systems require vast amounts of data to function effectively, and current AI infrastructure relies heavily on centralized cloud services. This setup makes data susceptible to monopolies and raises concerns about security and privacy. BSV's unbounded scalability could support decentralized AI networks, where data is processed and stored across multiple nodes, reducing the risk of centralized control.
According to PwC, AI adoption could contribute up to $15.7 trillion to the global economy by 2030, but the technology needs a reliable and scalable infrastructure to reach its full potential. Blockchain's ability to create immutable, decentralized networks can provide the backbone for more secure and transparent AI operations. Imagine a healthcare system where patient data is securely shared across clinics via a blockchain (see report here or examples from Estonia), enabling better collaboration without compromising privacy. Or consider a global supply chain network where AI algorithms optimize logistics without any one entity controlling the data.
Conclusion: Can decentralization counter digital totalitarianism?
As the digital landscape evolves, we must decide whether to embrace a future dominated by centralized control or invest in scalable, decentralized systems prioritizing transparency, privacy, and freedom. To move toward the latter, scalable blockchain platforms need to not only prove their technological capabilities but also build trust (among people) through transparent governance and community-driven development. It's not just about avoiding dystopia -- it's about creating a digital infrastructure that empowers everyone, not just a select few.
The irony is palpable: a technology designed to decentralize and democratize power is being held back by a concentration of influence. BSV has shown that Bitcoin can scale and that there's a future where blockchain isn't just digital gold but a scalable platform for decentralized applications -- including AI. However, the potential for such innovation is hampered by the trust issues surrounding people and leadership.
We're at a crossroads. Will we let a few tech giants dominate the digital landscape, or will we push for scalable, decentralized systems that allow AI and other digital innovations to thrive without centralized control? The future of digital freedom might just hinge on whether we can answer that question.
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