Key Points
Buterin’s AI Solution for Ethereum
Vitalik Buterin, co-founder of Ethereum, has highlighted the potential of artificial intelligence (AI) in addressing Ethereum’s biggest technical risk.
He shared his thoughts on X (formerly X), suggesting that AI could aid in formal code verification and bug finding.
This, he believes, could help tackle Ethereum’s most significant technical challenges.
Buterin expressed his excitement about the application of AI in formal verification of code and bug finding on Twitter.
He identified bugs in the code as Ethereum’s biggest technical risk at present.
He believes that any significant improvements in this area would be highly beneficial.
Most recent exploits on Ethereum have been linked to bugs in cross-chain bridges.
For instance, the Wormhole Bridge hack in 2022, one of the largest Ethereum exploits, resulted in a loss of over $320 million in crypto assets.
Chainalysis, a blockchain analysis firm, reported that the hacker exploited a smart contract vulnerability within the Wormhole Bridge.
Cross-chain bridges are vital infrastructures, particularly within Ethereum.
Following these incidents, Chainalysis recommended thorough code audits to mitigate such technical risks.
Ethereum has since undergone security enhancements, but Buterin believes that incorporating AI into code verification and bug finding could revolutionize the approach to these technical risks and exploits.
Buterin has previously discussed the potential impact of AI on crypto.
In late January, he discussed potential AI use cases in crypto, along with their benefits and risks.
He specifically mentioned that an AI as an actor within a protocol was highly feasible, while an AI-based interface to a protocol carried potential but also certain risks.
The AI narrative is strong in the crypto sector, similar to traditional markets.
In 2023, Sandra Leow, an analyst at Nansen, predicted that AI agents would become key blockchain users.
She suggested that on-chain bots could assist humans in processing transactions, among other tasks.
AI Crypto Sector and Ethereum’s Price Surge
The AI crypto sector has seen significant growth following the launch of OpenAI’s Sora last week.
According to Coingecko data, the AI crypto sector’s market capitalization stood at $15.6 billion, up 10% in the 24 hours before press time.
Ethereum’s price also saw a significant increase, topping $2.9k for the first time since Q2 2022.
On the weekly chart, the ETH/USDT pair on the Binance exchange closed above $2800 on February 18.
This move above the crucial $2800 level makes $3.2k – $3.5k, a bearish order block on the weekly chart, the next possible bullish target.
