Arthur Hayes says AI will revolutionise DAOs, sees exponential boost for Ethereum

Arthur Hayes, former BitMEX CEO and top crypto entrepreneur, has added to his predictions about the future of artificial intelligence (AI). He suggests that AI could ultimately revolutionise decentralised autonomous organisations (DAOs), with collaboration between AIs and humans driving a new economic structure.

With AI in place, DAOs will delink from traditional structures currently controlled by states and governments, Hayes said in his latest blog post “Moai”. 

Other than DEXs, the former BitMEX exec is bullish on what the future of AI DAOs could mean for Ethereum.

Wanna know why $ETH is going to pump as AI member DAOs spread? Read "Moai".

Yachtzee!https://t.co/g1Od8bNce4 pic.twitter.com/FEaLjA7Sm1

— Arthur Hayes (@CryptoHayes) July 28, 2023

Growth of AI DAOs and benefits to Ethereum

According to the entrepreneur, its decentralised exchanges (DEXs) that could eventually become the platforms where new AI-powered DAOs trade. AI DAOs, he opines, will be free from state control as they won’t be forced into picking and adhering to coercions of a particular jurisdiction. Rather, they’ll live on the blockchain and operate via smart contracts on networks like Ethereum.

“My opinion is that AIs will organise themselves using a Decentralised Autonomous Organisation (DAO) structure. DAOs are reliant on public blockchains — not the state — to operate. The DAO structure will allow AIs and humans to collaborate and serve as the organisational structure that allows the AI + human economy to grow and flourish.”

Hayes is of the opinion that with no way to exert control or pressure on AIs, the state becomes powerless in enforcing legal norms on the AI DAOs. Only smart smart contracts on public blockchains will be able to work with such companies, meaning they will be able to fundraise and trade any tokens on DEXs.  His conclusion:

“DEXs will trend toward becoming natural monopolies, as they will be the first truly global trading venues where any being with an internet connection can meet and transact.”

In his previous blog post, Hayes predicted that AI could catalyse exponential gains for Bitcoin price, forecasting potential growth to $750k for BTC. According to him, Bitcoin will become the currency of AI. He now says that the other network likely to benefit massively from the AI revolution will be Ethereum, thanks to an exponential growth in DAOs.

On the issue competitors and so-called “Ethereum killers”, Hayes noted:

“While investors might make money trading the latest hyped Ethereum clone, none of them will ever eclipse Ethereum in terms of adoption and usefulness.”