Crypto Analyzer

AI takes over WEF’s main area pushing crypto aside

The World Economic Forum’s main area in Davos took on a new look as artificial intelligence (AI) stole the limelight from the crypto industry. The transition marked a shift in focus, signaling the rapid rise of AI investments and interest, sparked by the explosion of popularity of ChatGPT, an AI chatbot developed by OpenAI and launched at the end of 2022.

Global technology companies strategically positioned themselves to showcase their advancements in AI, with slogans and events spaces dedicated to the burgeoning technology. This overwhelming presence marked a departure from previous years, where crypto firms had dominated the scene, even during the crypto winter and market crashes.

The prevalence of AI was further reinforced by data from PitchBook’s Emerging Tech Indicator, revealing that AI and machine learning startups garnered significantly more investment compared to Web3 and decentralized finance companies. The success of companies like Nvidia, which experienced a 239% stock rally in 2023, underscored the increasing momentum behind AI technologies.

Despite the AI dominance, the crypto industry appeared unperturbed by the shift at Davos. Dante Disparte, chief strategy officer for Circle, noted the industry’s acceptance of the change, emphasizing the convergence of blockchain and crypto with traditional banking, finance, and payments. He highlighted the industry’s evolution from having to “tell the story of technology” to now becoming a “background technology.” Additionally, there was a consensus within the crypto industry that the approval of a bitcoin ETF by the U.S. Securities and Exchange Commission solidified crypto’s position as a legitimate asset class.

While some crypto firms maintained a presence at Davos, including Circle, the Global Blockchain Business Council, and blockchain firm CasperLabs, the overall representation was subdued in comparison to the attention garnered by AI.

The transformation of the main area at the World Economic Forum demonstrates the enduring impact of AI’s ascent and the evolving dynamics within the tech and finance sectors. As the interests and investments in AI continue to surge, it is evident that AI’s influence on various industries will play a pivotal role in shaping the future global landscape.