Biggest Movers: BCH Higher to Start the Weekend, MATIC Hits 15-Month Low Market Updates Bitcoin News – Bitcoin News

On a day where bitcoin broke out of its $20,000 support point, BCH bounced on its own floor, climbing higher on Saturday. BCH was up by nearly 7% to start the weekend, whilst MATIC fell to its lowest point since last April.

Despite yet another red wave in crypto markets on Saturday, BCH was able to evade this, and instead rose by almost 10%.

BCH/USD hit an intraday peak of $123.31 earlier in the day, which came less than a day after falling to a low of $109.11.

Fridays bottom was the lowest level BCH has traded at since February 2019, and came as prices fell below the recent support at $110.

However, following this three-year low, bulls made a concerted effort to lift prices away from this point.

As of writing, earlier gains have somewhat eased, with bitcoin cash trading around $5 lower than todays previous peak.

Overall, prices are down nearly 30% from the same point last week.

Whilst BCH moved away from a multi-year low, MATIC moved towards one, as prices slipped to start the weekend.

On Saturday, MATIC/USD fell to a low of $0.3631, which is nearly 10% lower than yesterdays high of $0.406.

Todays decline saw MATIC hit its lowest level in 15 months, following a rough three months which saw prices drop from $1.37.

Despite this intense sell-off, MATIC continues to remain in the cryptocurrency top 20, however should this level of declines persist, it may face challenges to remain there.

As of writing, the 14-day RSI is hovering slightly above its floor of 27, which is a point that hasnt been broken since May 12.

Should this change, then bears will look to take prices towards, and eventually below, $0.3000.

Will MATIC ever trade above $1 again? Let us know your thoughts in the comments.

Eliman brings a eclectic point of view to market analysis, having worked as a brokerage director, retail trading educator, and market commentator in Crypto, Stocks and FX.

Image Credits: Shutterstock, Pixabay, Wiki Commons, Shutterstock / FellowNeko

Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.

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Biggest Movers: BCH Higher to Start the Weekend, MATIC Hits 15-Month Low Market Updates Bitcoin News - Bitcoin News

Bitcoin Long-Term Holders Now Own Nearly 80% Of Realized Cap – NewsBTC

On-chain data shows the part of the Bitcoin realized cap held by the long-term holders has increased and is now at nearly 80%.

As explained by an analyst in a CryptoQuant post, the crypto has historically tended to form bottoms around when the long-term holder share of realized cap has exceeded 80%.

The long-term holders (LTHs) are all those Bitcoin investors who have been holding onto their coins without selling or moving since at least 155 days ago.

The realized cap is a way of assessing the capitalization of the crypto where each circulating coins value is taken as the price it was last moved or sold at, rather than the current BTC price.

Now, the relevant on-chain indicator here is the realized cap UTXO age bands (%), which tells us what part are the various groups in the Bitcoin market contributing to the total realized cap of the coin.

Related Reading |Bitcoin Exchange Reserve Spikes Up, Selloff Not Over Yet?

The various age bands denote the amount of time investors belonging to a group have been holding their coins for.

As mentioned earlier, LTHs include all cohorts holding since at least 155 days ago. Here is a chart that shows how the contribution to the realized cap by these investors have changed over the history of Bitcoin:

In the above graph, the quant has marked all the relevant points of trend related to the Bitcoin realized cap percentage of the LTHs.

It seems like whenever the indicators value has crossed the 80% mark, a bottom in the price of the crypto has taken place.

Related Reading |Bitcoin Funding Rates Remain Negative But Open Interest Tells Another Story

Currently, the metrics value has been rising up in recent weeks, however, it has still not gone above the threshold just yet.

Nonetheless, the indicator is nearly there. If its value continues to rise and the historical pattern holds this time as well, then Bitcoin may observe a bottom soon.

At the time of writing, Bitcoins price floats around $21k, down 30% in the last seven days. Over the past month, the crypto has lost 30% in value.

The below chart shows the trend in the price of the coin over the last five days.

Since the crash a few days ago, Bitcoin has been mostly consolidating around the $21k mark. Currently, its unclear whether the decline is over, or if more is coming.

If the LTH share of the realized cap is anything to go by, then BTC may first seen a bit more decline before the bottom is finally in.

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As Bitcoin Plunges Below The Last Bull Cycle High, Here’s A Likely Path Ahead – Benzinga – Benzinga

Bitcoin BTC/USD was plunging over 8% lower on Saturday, breaking down from a bear flag pattern Benzinga called out on Thursday.

The bear flag pattern suggests Bitcoin is heading toward the $15,500 mark on this leg down, because the measured move is about 33%. The measured move of a bear flag is calculated by taking the length of the pole as a percentage and subtracting it from the highest price within the flag formation.

The crypto is unlikely to head that low in one fell swoop, however, and it's more probable Bitcoin will bounce up along the way in order to at least print lower highs as the crypto continues lower in its downtrend.

Crypto winter looks to be in full swing, likely to last many more months if the last crypto winter, which occurred between the beginning of 2018 and mid-2020, is any indication. The harsh reality suggests this crypto winter could stick around for another two years, having only begun last November, when Bitcoin reached a new all-time high of $69,000.

On Saturday, Bitcoin plummeted below $19,915, which was the high of the last crypto bull cycle, which peaked in December 2017, spooking investors with the prospect that much lower prices could be on the horizon.

Want direct analysis? Find me in the BZ Pro lounge! Click here for a free trial.

The Bitcoin Chart: Bitcoin broke down through the bear flag pattern on higher-than-average volume on lower timeframes, which indicates the pattern was recognized by the algorithms. Although, the crypto is likely to bounce up over the coming daysbecause the sudden drop brought Bitcoins relative strength index (RSI) down to 20%.

See Also:So Will Bitcoin Fall Below $10K, Ethereum Below $500 And Dogecoin Below 3 Cents By The End Of July?

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As Bitcoin Plunges Below The Last Bull Cycle High, Here's A Likely Path Ahead - Benzinga - Benzinga

Jay-Zs bitcoin school met with skepticism in his former housing project: I dont have money to be losing – The Guardian

Marcy Houses, the 28-acre public housing development in Brooklyns Bedford-Stuyvesant neighborhood, is best-known as a pillar of rapper-turned-mogul Jay-Zs New York persona. Built in 1949 as part of a push by the New York City Housing Authority to house the citys low-income residents, Marcy had fallen into a state of dangerous disrepair by the 1970s when Jay-Z, whose real name is Shawn Carter, was growing up there.

Where Im from, Marcy son, aint nothing nice, he raps in Where Im From. Marcy me, just the way I am always gonna be, he declares in 2017s Marcy Me.

But while hip-hops first confirmed billionaire remains intent on not abandoning his roots, residents of the Marcy Houses expressed annoyance and skepticism at Carters latest venture, the Bitcoin Academy a series of free financial literacy courses being offered exclusively to Marcy tenants this summer.

On Wednesday afternoon, as bitcoin markets scraped two-year lows, few residents were aware of the cryptocurrency classes set to begin next week as a project sponsored by Carter and his friend and fellow crypto promoter Jack Dorsey, the founder of Twitter. (At least some of the flyers advertising the course appear to have been simply dumped on the floor of buildings.)

Its kind of late to be doing that when people are trying to hold on to their dollars and everything is so expensive, said 58-year-old retiree Myra Raspberry. People dont want to be investing money knowing that they might have a chance of losing it.

Raspberry said she had seen news reports about bitcoins crash, and had no interest in participating in the course.

Every dime I get got to go to rent, phone, TV and internet. I dont have money like that to be losing. If I did, I would try to invest in something thats more reliable, like the basketball game last night. You know Im going to win something from that.

She hasnt heard anybody talking about bitcoin in her community, she said. People looking to make money, not lose it. The average household income for public housing residents in New York City is $24,454, according to the New York City Housing Authority.

The 12-week Bitcoin Academy course will be taught by Lamar Wilson, who runs the website Black Bitcoin Billionaire, and Najah J Roberts, founder and CEO of a brick-and-mortar crypto school in California called Crypto Blockchain Plug.

The simple goal is to provide people tools to build independence for themselves and then the communities around them, Carter tweeted, calling the course at Marcy hopefully the first of many.

A spokesperson from the Bitcoin Academy said that participants will receive a free mobile hotspot device and a smartphone with a data plan, as they sit for lectures on topics including What is money, What is blockchain, and How not to get scammed.

The academy also plans to grant students a small amount of bitcoin worth around $20-$25 after they learn to set up their own digital wallets.

The spokesperson said an open house event at Marcy over the weekend drew a large and eager crowd of mostly seniors and young people.

But younger Marcy Houses tenants who spoke to the Guardian were unenthused. Nyashia Figueroa, a 24-year-old resident who plans to work as a caretaker for mentally challenged people, said the Bitcoin Academy seemed unhelpful to residents.

Half the people thats going to go to that class, probably just going to go to the class for the $25 that you get. The other half of the people, theyll probably take what they learn and forget it down the line.

Figueroa said the bitcoin class signified how out of touch the rapper was with his former home.

If you want to do something, fix this place up, she said. We have a basketball court with no hoops. Our parks is broken up in here. He should be doing more for his community, not no Bitcoin Academy.

The only thing I could say he really did for us was the Christmas stuff. Every Christmas he would come around and he would give out free toys to the kids or like pocketbooks, perfumes and little MP3 players. That was good; the bitcoin aint.

Figueora added that the holiday giveaways havent happened in a while. He stopped coming around, and then it was just his mother that was coming around for a long period of time. And now I dont even know if they do it any more.

This is where he rep hes from and all that, but he dont do nothing for us.

Carter has directed some of his philanthropy, including scholarships and toy giveaways, to Marcys more than 4,000 predominantly Black and Latino residents. The last toy giveaway by the Shawn Carter Foundation occurred in 2017, according to the website of Carters wife, Beyonc, and cost $8,452. The Shawn Carter Foundation did not immediately return a request for comment.

One Marcy resident, Luis Rivas, did express enthusiasm for the class, saying, I would like to learn how they become a millionaire, and learn what to trade and what not to trade.

Rivas, who is unemployed, said he had been acquainted with Jay-Z when they were both teenagers. Now hes a billionaire and Im still living in the fucking ghetto.

Since it was announced last week, the Bitcoin Academy has faced criticism from tech commentators, who have accused the project of preying on financially vulnerable people. Some have compared the marketing of crypto to how predatory lenders targeted people of color with subprime loans in the run-up to the 2008 housing crisis.

Proponents of cryptocurrency have long defended the technology as a way to build a new financial system for lower-income people.

A 2021 research paper commissioned by a major New York City-based cryptocurrency exchange, Gemini, argued that cryptocurrency could benefit unbanked populations in Mexico, India and Indonesia.

Citing centuries-old informal Latin American financial traditions, the paper argued that cryptocurrency companies can build upon and digitize practices that assist in the creation of wealth for poor communities and allow them to thrive in locations deemed unprofitable by traditional banking standards.

But recent cryptocurrency disasters cast doubt on this vision. Last month, Terra, a so-called stablecoin that used an algorithm to maintain a peg to the US dollar suddenly cratered, making billions of dollars worth of digital tokens worthless and taking countless investors fortunes along with it.

Since May, the price of bitcoin the first cryptocurrency has nearly halved as well, as more investors flee digital assets. Crypto companies have been laying off hundreds of staff.

The Bitcoin Academy spokesperson acknowledged the broader uncertainty in the crypto market, but said it wouldnt hinder the course at Marcy Houses, which would be focused on financial education. The instructors, Wilson and Roberts, did not respond to requests for comment.

Even some local cryptocurrency fans remain skeptical.

Gerald, a Brooklyn resident with friends and family living at Marcy who declined to give his last name, runs a small charity that gives people bitcoin. But even he said that financial literacy wouldnt solve Marcys biggest issue, which is a lack of capital, a lack of resources, and a lack of funding for our communities.

Teaching someone about bitcoin that doesnt even have $100 in their savings account is not helpful, he told the Guardian via social media. Then of all places to do it in Marcy Projects?! Those people are just trying to survive and see the next day.

To Gerald, the image of Bitcoin Academy flyers strewn on the floor spoke volumes.

The fact that it was on the floor like that. It honestly symbolizes how people feel about poor people in general. On the surface, it looks like folks want to help, but once you start peeling back the layers, you realize nobody really cares.

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The Number of Tethers in Circulation Dropped by Over 12 Billion in 2 Months, USDC Grew by 9% Altcoins Bitcoin News – Bitcoin News

During the last two months, the stablecoin tether has been one of the most traded crypto assets swapped against a myriad of digital currencies. 66 days ago on April 11, 2022, tethers market valuation was over $82 billion with 82,694,361,442 tethers in circulation. Since then, more than 12 billion tethers have been removed from circulation amid the Terra blockchain implosion, the recent crypto market carnage, and rumors circulating around Celsius and Three Arrows Capital (3AC).

According to market data, the number of tether (USDT) in circulation has dwindled down from over 82 billion to todays 70 billion. Bitcoin.com News reported on the swelling stablecoin market valuation of all the fiat-pegged tokens in existence as the stablecoin economy neared $200 billion, on April 11.

On that day, there were approximately 82,694,361,442 tethers in circulation after the dollar-pegged crypto saw a 3% increase in growth the month prior. Since then, 15.30% has been removed from circulation as the circulating supply on June 16, 2022, is 70,038,816,028 USDT, according to coingecko.com metrics.

People have been noticing the number of tethers in circulation dropping, as crypto advocates have been discussing the subject on social media. Much of the USDT in circulation has been removed since the terrausd (UST) de-pegging incident, as there were 82.79 billion tethers in circulation on May 12, 2022.

Two days later on May 14, the number or tethers in circulation was down 7.25% to 76.70 billion USDT, according to coingecko.com stats saved on archive.org. During the course of 33 days, another 8.73% has been removed from circulation since May 14.

Meanwhile, tethers competitor usd coin (USDC) has grown during the last two months. On April 16, 2022, the total amount of USDC in circulation was approximately 50,090,822,252 tokens according to coingecko.com metrics recorded on archive.org. Since then, the number of USDC has grown to 54,582,713,063, or 8.96% larger, during the past two months.

During the terrausd (UST) fiasco, the number of USDC slid to 49,122,170,211 on May 12. The USDC in circulation then grew from the 49.12 billion region to 53,804,005,416 by June 10. USDC saw a slight issuance increase since then. Circle also announced the launch of euro coin (EUROC) backed 1:1 by the euro this month.

Data recorded on June 16 shows that USDT commands the lions share of the global cryptocurrency trade volume, as it accounts for $51.41 billion of the $96.31 billion in volume on Thursday. That means 53.37% of all the crypto trades on Thursday have been paired with USDT.

The amount of USDC traded on June 16 pales in comparison, as the stablecoin recorded $5.93 billion or 6.15% of the global crypto trade volume during the last 24 hours. Cryptocompare data recorded on June 16 shows USDT trades accounted for 56% of bitcoins (BTC) trade volume. While USDC accounted for 2.77% of all BTC trades on Thursday.

What do you think about the number of tethers in circulation declining? Let us know what you think about this subject in the comments section below.

Jamie Redman is the News Lead at Bitcoin.com News and a financial tech journalist living in Florida. Redman has been an active member of the cryptocurrency community since 2011. He has a passion for Bitcoin, open-source code, and decentralized applications. Since September 2015, Redman has written more than 5,000 articles for Bitcoin.com News about the disruptive protocols emerging today.

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Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.

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Revoland Holding IDO on EverStart Press release Bitcoin News – Bitcoin News

press release

PRESS RELEASE. EverStart, a DAO-controlled multi-chain launchpad built on the Everscale blockchain network and Revoland, a blockchain-based MOBA & Battle Royale video game, are partnering for an initial DEX offering. In the IDO, participants will be able to acquire REVO, a governance token that provides a payment and settlement method to interact with Revolands ecosystem.Revoland is the first blockchain-based MOBA game on Huawei Cloud, developed and published by Chain X Game, and backed by a solid set of investors and partners such as Alameda Research, HashKey Capital, Polygon, SEAGM, KhalasPay, and Huawei to name but a few. The Revoland team is completing its busy community development schedule with a series of IDO events on multiple exchanges, platforms and launchpads.

EverStart is a decentralized launchpad based on Everscale smart contracts. It has reached an agreement with Chain X Game to run the IDO on its platform. Running an IDO for Revoland is an important milestone for EverStart as part of its strategy to work with best-in-class blockchain projects by providing them with a decentralized, transparent, and secure token distribution process.

With a great variety of game modes in Revoland, availability of a free-to-play version, and tons of opportunities to compete for real value rewards paid in native game tokens, the game is taking a clear path to mass adoption. The Revoland IDO opens a great opportunity for gaming and blockchain enthusiasts to play an active role in the development of Revolands ecosystem and to act as its governors.

During the IDO, a total of 83,330 REVO tokens will be distributed. The event opens at 6:00 p.m. UTC+3 on June 18, 2022 and closes at 6:00 p.m. UTC+3 on June 20, 2022. Payment is available via the Everscale, Ethereum, BNB Chain, Polygon, and Fantom networks.

Join the Revoland IDO on EverStart using this link.

GLHF!

This is a press release. Readers should do their own due diligence before taking any actions related to the promoted company or any of its affiliates or services. Bitcoin.com is not responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in the press release.

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Devere Group Predicts a Bull Run and ‘Significant Bounce’ for Bitcoin in Q4 Markets and Prices Bitcoin News – Bitcoin News

The CEO of Devere Group, a financial advisory and asset management firm, has predicted a bull run and a significant bounce in the price of bitcoin during the fourth quarter of this year.

Financial advisory and asset management firm Devere Group has predicted that the price of bitcoin will bounce significantly in the fourth quarter of this year. Nigel Green, Deveres founder and CEO, said early last week:

I believe that well soon see a bull run that will lead to a significant bounce in the fourth quarter of the year for the worlds leading digital currency.

The Devere boss explained: Bitcoin is currently highly correlated to leading global stock markets, such as Wall Streets S&P500, and Im confident that the recent market downturn is close to the bottom and a rally is imminent.

The CEO added:

Bitcoin will benefit from a stock market rally as investors move back into riskier assets.

Green explained that one of the key factors that will drive the bitcoin rally is that investors are using BTC as a hedge against high inflation.

Many people, including famed hedge fund manager Paul Tudor Jones and venture capitalist Tim Draper, believe that the cryptocurrency is a good hedge against inflation.

Another factor the Devere chief noted was that bitcoin is increasingly seen as an alternative to fiat currencies. Veteran investor Bill Miller previously explained that the Russia-Ukraine war and subsequent sanctions on Russia have made people think about having an alternative currency to the U.S. dollar.

The U.S. government started feverishly adding digital dollars to its economy during the pandemic, diluting its value, but adding to the long-term prospects of bitcoin, Green noted, emphasizing:

Investors are increasingly seeing bitcoin as an alternative to the dollar.

Green further said his predicted bitcoin bull run will be supported by the growing investment from major institutional investors, who bring with them capital, expertise and reputational pull. An April survey shows that 80% of institutional investors believe crypto will overtake traditional investments, 70% said crypto was a trustworthy investment, and 68% said they are actively recommending this asset class in investment strategies.

Lastly, the Devere CEO pointed out that major regulators are looking to establish a regulatory framework for crypto. He opined:

Regulation, which I believe is inevitable, would give more protection and, therefore more confidence, to both retail and institutional investors.

Greens prediction came just days before the weekend market downturn. At the time of writing, BTC is trading at $27,748.30. It has fallen 2.5% in the past 24 hours, more than 7% in the last seven days, and almost 26% over the past year.

What do you think about the prediction by Devere CEO Nigel Green? Let us know in the comments section below.

A student of Austrian Economics, Kevin found Bitcoin in 2011 and has been an evangelist ever since. His interests lie in Bitcoin security, open-source systems, network effects and the intersection between economics and cryptography.

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Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.

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What is artificial intelligence? – VentureBeat

We are excited to bring Transform 2022 back in-person July 19 and virtually July 20 - 28. Join AI and data leaders for insightful talks and exciting networking opportunities. Register today!

The words artificial intelligence (AI) have been used to describe the workings of computers for decades, but the precise meaning shifted with time. Today, AI describes efforts to teach computers to imitate a humans ability to solve problems and make connections based on insight, understanding and intuition.

Artificial intelligence usually encompasses the growing body of work in technology on the cutting edge that aims to train the technology to accurately imitate or in some cases exceed the capabilities of humans.

Older algorithms, when they grow commonplace, tend to be pushed out of the tent. For instance, transcribing human voices into words was once an active area of research for scientists exploring artificial intelligence. Now it is a common feature embedded in phones, cars and appliances and it isnt described with the term as often.

Today, AI is often applied to several areas of research:

There is a wide range of practical applicability to artificial intelligence work. Some chores are well-understood and the algorithms for solving them are already well-developed and rendered in software. They may be far from perfect, but the application is well-defined. Finding the best route for a trip, for instance, is now widely available via navigation applications in cars and on smartphones.

Other areas are more philosophical. Science fiction authors have been writing about computers developing human-like attitudes and emotions for decades, and some AI researchers have been exploring this possibility. While machines are increasingly able to work autonomously, general questions of sentience, awareness or self-awareness remain open and without a definite answer.

[Related: Sentient artificial intelligence: Have we reached peak AI hype?]

AI researchers often speak of a hierarchy of capability and awareness. The directed tasks at the bottom are often called narrow AI or reactive AI. These algorithms can solve well-defined problems, sometimes without much direction from humans. Many of the applied AI packages fall into this category.

The notion of general AI or self-directed AI applies to software that could think like a human and initiate plans outside of a well-defined framework. There are no good examples of this level of AI at this time, although some developers sometimes like to suggest that their tools are beginning to exhibit some of this independence.

Beyond this is the idea of super AI, a package that can outperform humans in reasoning and initiative. These are largely discussed hypothetically by advanced researchers and science fiction authors.

In the last decade, many ideas from the AI laboratory have found homes in commercial products. As the AI industry has emerged, many of the leading technology companies have assembled AI products through a mixture of acquisitions and internal development. These products offer a wide range of solutions, and many businesses are experimenting with using them to solve problems for themselves and their customers.

Leading companies have invested heavily in AI and developed a wide range of products aimed at both developers and end users. Their product lines are increasingly diverse as the companies experiment with different tiers of solutions to a wide range of applied problems. Some are more polished and aimed at the casual computer user. Others are aimed at other programmers who will integrate the AI into their own software to enhance it. The largest companies all offer dozens of products now and its hard to summarize their increasingly varied options.

IBM has long been one of the leaders in AI research. Its AI-based competitor in the TV game Jeopardy, Watson, helped ignite the recent interest in AI when it beat humans in 2011 demonstrating how adept the software could be at handling more general questions posed in human language.

Since then, IBM has built a broad collection of applied AI algorithms under the Watson brand name that can automate decisions in a wide range of business applications like risk management, compliance, business workflow and devops. These solutions rely upon a mixture of natural language processing and machine learning to create models that can either make production decisions or watch for anomalies. In one case study of its applications, for instance, the IBM Safer Payments product prevented $115 million worth of credit card fraud.

Another example, Microsofts AI platform offers a wide range of algorithms, both as products and services available through Azure. The company also targets machine learning and computer vision applications and like to highlight how their tools search for secrets inside extremely large data sets. Its Megatron-Turing Natural Language Generation model (MT-NLG), for instance, has 530 billion parameters to model the nuances of human communication. Microsoft is also working on helping businesses processes shift from being automated to becoming autonomous by adding more intelligence to handle decision-making. Its autonomous packages are, for instance, being applied to both the narrow problems of keeping assembly lines running smoothly and the wider challenges of navigating drones.

Google developed a strong collection of machine learning and computer vision algorithms that it uses for both internal projects indexing the web while also reselling the services through their cloud platform. It has pioneered some of the most popular open-source machine learning platforms like TensorFlow and also built custom hardware for speeding up training models on large data sets. Googles Vertex AI product, for instance, automates much of the work of turning a data set into a working model that can then be deployed. The company also offers a number of pretrained models for common tasks like optical character recognition or conversational AI that might be used for an automated customer service agent.

In addition, Amazon also uses a collection of AI routines internally in its retail website, while marketing the same backend tools to AWS users. Products like Personalize are optimized for offering customers personalized recommendations on products. Rekognitition offers predeveloped machine vision algorithms for content moderation, facial recognition and text detection and conversion. These algorithms also have a prebuilt collection of models of well-known celebrities, a useful tool for media companies. Developers who want to create and train their own models can also turn to products like SageMaker which automates much of the workload for business analysts and data scientists.

Facebook also uses artificial intelligence to help manage the endless stream of images and text posts. Algorithms for computer vision classify uploaded images, and text algorithms analyze the words in status updates. While the company maintains a strong research team, the company does not actively offer standalone products for others to use. It does share a number of open-source projects like NeuralProphet, a framework for decision-making.

Additionally, Oracle is integrating some of the most popular open-source tools like Pytorch and Tensorflow into their data storage hierarchy to make it easier and faster to turn information stored in Oracle databases into working models. They also offer a collection of prebuilt AI tools with models for tackling common challenges like anomaly detection or natural language processing.

New AI companies tend to be focused on one particular task, where applied algorithms and a determined focus will produce something transformative. For instance, a wide-reaching current challenge is producing self-driving cars. Startups like Waymo, Pony AI, Cruise Automation and Argo are four major startups with significant funding who are building the software and sensor systems that will allow cars to navigate themselves through the streets. The algorithms involve a mixture of machine learning, computer vision, and planning.

Many startups are applying similar algorithms to more limited or predictable domains like warehouse or industrial plants. Companies like Nuro, Bright Machines and Fetch are just some of the many that want to automate warehouses and industrial spaces. Fetch also wants to apply machine vision and planning algorithms to take on repetitive tasks.

A substantial number of startups are also targeting jobs that are either dangerous to humans or impossible for them to do. Against this backdrop, Hydromea is building autonomous underwater drones that can track submerged assets like oil rigs or mining tools. Another company, Solinus, makes robots for inspecting narrow pipes.

Many startups are also working in digital domains, in part because the area is a natural habitat for algorithms, since the data is already in digital form. There are dozens of companies, for instance, working to simplify and automate routine tasks that are part of the digital workflow for companies. This area, sometimes called robotic process automation (RPA), rarely involves physical robots because it works with digital paperwork or chit. However, it is a popular way for companies to integrate basic AI routines into their software stack. Good RPA platforms, for example, often use optical character recognition and natural language processing to make sense of uploaded forms in order to simplify the office workload.

Many companies also depend upon open-source software projects with broad participation. Projects like Tensorflow or PyTorch are used throughout research and development organizations in universities and industrial laboratories. Some projects like DeepDetect, a tool for deep learning and decision-making, are also spawning companies that offer mixtures of support and services.

There are also hundreds of effective and well-known open-source projects used by AI researchers. OpenCV, for instance, offers a large collection of computer vision algorithms that can be adapted and integrated with other stacks. It is used frequently in robotics, medical projects, security applications and many other tasks that rely upon understanding the world through a camera image or video.

There are some areas where AI finds more success than others. Statistical classification using machine learning is often pretty accurate but it is often limited by the breadth of the training data. These algorithms often fail when they are asked to make decisions in new situations or after the environment has shifted substantially from the training corpus.

Much of the success or failure depends upon how much precision is demanded. AI tends to be more successful when occasional mistakes are tolerable. If the users can filter out misclassification or incorrect responses, AI algorithms are welcomed. For instance, many photo storage sites offer to apply facial recognition algorithms to sort photos by who appears in them. The results are good but not perfect, but users can tolerate the mistakes. The field is largely a statistical game and succeeds when judged on a percentage basis.

A number of the most successful applications dont require especially clever or elaborate algorithms, but depend upon a large and well-curated dataset organized by tools that are now manageable. The problem once seemed impossible because of the scope, until large enough teams tackled it. Navigation and mapping applications like Waze just use simple search algorithms to find the best path but these apps could not succeed without a large, digitized model of the street layouts.

Natural language processing is also successful with making generalizations about the sentiment or basic meaning in a sentence but it is frequently tripped up by neologisms, slang or nuance. As language changes or processes, the algorithms can adapt, but only with pointed retraining. They also start to fail when the challenges are outside a large training set.

Robotics and autonomous cars can be quite successful in limited areas or controlled spaces but they also face trouble when new challenges or unexpected obstacles appear. For them, the political costs of failure can be significant, so developers are necessarily cautious on leaving the envelope.

Indeed, determining whether an algorithm is capable or a failure often depends upon criteria that are politically determined. If the customers are happy enough with the response, if the results are predictable enough to be useful, then the algorithms succeed. As they become taken for granted, they lose the appellation of AI.

If the term is generally applied to the topics and goals that are just out of reach, if AI is always redefined to exclude the simple, well-understood solutions, then AI will always be moving toward the technological horizon. It may not be 100% successful presently, but when applied in specific cases, it can be tantalizingly close.

[Read more: The quest for explainable AI]

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The truth about AI and ROI: Can artificial intelligence really deliver? – VentureBeat

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More than ever, organizations are putting their confidence and investment into the potential of artificial intelligence (AI) and machine learning (ML).

According to the 2022 IBM Global AI Adoption Index, 35% of companies report using AI today in their business, while an additional 42% say they are exploring AI. Meanwhile, a McKinsey survey found that 56% of respondents reported they had adopted AI in at least one function in 2021, up from 50% in 2020.

But can investments in AI deliver true ROI that directly impacts a companys bottom line?

According to Domino Data Labs recent REVelate survey, which surveyed attendees at New York Citys Rev3 conference in May, many respondents seem to think so. Nearly half, in fact, expect double-digit growth as a result of data science. And 4 in 5 respondents (79%) said that data science, ML and AI are critical to the overall future growth of their company, with 36% calling it the single most critical factor.

Implementing AI, of course, is no easy task. Other survey data shows another side of the confidence coin. For example, recent survey data by AI engineering firm CognitiveScale finds that, although execs know that data quality and deployment are critical success factors for successful app development to drive digital transformation, more than 76% arent sure how to get there in their target 12-18 month window. In addition, 32% of execs say that it has taken longer than expected to get an AI system into production.

ROI from AI is possible, but it must be accurately described and personified according to a business goal, Bob Picciano, CEO of Cognitive Scale, told VentureBeat.

If the business goal is to get more long-range prediction and increased prediction accuracy with historical data, thats where AI can come into play, he said. But AI has to be accountable to drive business effectiveness its not sufficient to say a ML model was 98% accurate.

Instead, the ROI could be, for example, that in order to improve call center effectiveness, AI-driven capabilities ensure that the average call handling time is reduced.

That kind of ROI is what they talk about in the C-suite, he explained. They dont talk about whether the model is accurate or robust or drifting.

Shay Sabhikhi, co-founder, and COO at Cognitive Scale, added that hes not surprised by the fact that 76% of respondents reported having trouble scaling their AI efforts. Thats exactly what were hearing from our enterprise clients, he said. One problem is friction between data science teams and the rest of the organization, he explained, that doesnt know what to do with the models that they develop.

Those models may have potentially the best algorithms and precision recall, but sit on the shelf because they literally get thrown over to the development team that then has to scramble, trying to assemble the application together, he said.

At this point, however, organizations have to be accountable for their investments in AI because AI is no longer a series of science experiments, Picciano pointed out. We call it going from the lab to life, he said. I was at a chief data analytics officer conference and they all said, how do I scale? How do I industrialize AI?

However, not everyone agrees that ROI is even the best way to measure whether AI drives value in the organization. According to Nicola Morini Bianzino, global chief technology officer, EY, thinking of artificial intelligence and the enterprise in terms of use cases that are then measured through ROI is the wrong way to go about AI.

To me, AI is a set of techniques that will be deployed pretty much everywhere across the enterprise there is not going to be an isolation of a use case with the associated ROI analysis, he said.

Instead, he explained, organizations simply have to use AI everywhere. Its almost like the cloud, where two or three years ago I had a lot of conversations with clients who asked, What is the ROI? Whats the business case for me to move to the cloud? Now, post-pandemic, that conversation doesnt happen anymore. Everybody just says, Ive got to do it.

Also, Bianzino pointed out, discussing AI and ROI depends on what you mean by using AI.

Lets say you are trying to apply some self-driving capabilities that is, computer vision as a branch of AI, he said. Is that a business case? No, because you cannot implement self-drivingwithout AI. The same is true for a company like EY, which ingests massive amounts of data and provides advice to clients which cant be done without AI. Its something that you cannot isolate away from the process its built into it, he said.

In addition, AI, by definition, is not productive or efficient on day one. It takes time to get the data, train the models, evolve the models and scale up the models. Its not like one day you can say, Im done with the AI and 100% of the value is right there no, this is an ongoing capability that gets better in time, he said. There is not really an end in terms of value that can be generated.

In a way, Bianzino said, AI is becoming part of the cost of doing business. If you are in a business that involves data analysis, you cannot not have AI capabilities, he explained. Can you isolate the business case of these models? It is very difficult and I dont think its necessary. To me, its almost like its a cost of the infrastructure to run your business.

Kjell Carlsson, head of data science strategy and evangelism at enterprise MLops provider Domino Data Lab says that at the end of the day, what organizations want is a measure of the business impact of ROI how much it contributed to the bottom line. But one problem is that this can be quite disconnected from how much work has gone into developing the model.

So if you create a model which improves click-through conversion by a percentage point, youve just added several million dollars to the bottom line of the organization, he said. But you could also have created a good predictive maintenance model which helped give advance warning to a piece of machinery needing maintenance before it happens. In that case, the dollar-value impact to the organization could be entirely different, even though one of them might end up being a much harder problem, he added.

Overall, organizations do need a balanced scorecard where they are tracking AI production. Because if youre not getting anything into production, then thats probably a sign that youve got an issue, he said. On the other hand, if you are getting too much into production, that can also be a sign that theres an issue.

For example, the more models data science teams deploy, the more models theyre on the hook for managing and maintaining, he explained. So you deployed this many models in the last year, so you cant actually undertake these other high-value ones that are coming your way, he explained.

But another issue in measuring the ROI of AI is that for a lot of data science projects, the outcome isnt a model that goes into production. If you want to do a quantitative win-loss analysis of deals in the last year, you might want to do a rigorous statistical investigation of that, he said. But theres no model that would go into production, youre using the AI for the insights you get along the way.

Still, organizations cant measure the role of AI if data science activities arent tracked. One of the problems right now is that so few data science activities are really being collected and analyzed, said Carlsson. If you ask folks, they say they dont really know how the model is performing, or how many projects they have, or how many CodeCommits your data scientists have made within the last week.

One reason for that is the very disconnected tools data scientists are required to use. This is one of the reasons why Git has become all the more popular as a repository, a single source of truth for your data scientist in an organization, he explained. MLops tools such as Domino Data Labs offer platforms that support these different tools. The degree to which organizations can create these more centralized platformsis important, he said.

Wallaroo CEO and founder Vid Jain spent close to a decade in the high-frequency trading business in Merrill Lynch, where his role, he said, was to deploy machine learning at scale and and do so with a positive ROI.

The challenge was not actually developing the data science, cleansing the data or building the trade repositories, now called data lakes. By far, the biggest challenge was taking those models, operationalizing them and delivering the business value, he said.

Delivering the ROI turns out to be very hard 90% of these AI initiatives dont generate their ROI, or they dont generate enough ROI to be worth the investment, he said. But this is top of mind for everybody. And the answer is not one thing.

A fundamental issue is that many assume that operationalizing machine learning is not much different than operationalizing a standard kind of application, he explained, adding that there is a big difference, because AI is not static.

Its almost like tending a farm, because the data is living, the data changes and youre not done, he said. Its not like you build a recommendation algorithm and then peoples behavior of how they buy is frozen in time. People change how they buy. All of a sudden, your competitor has a promotion. They stop buying from you. They go to the competitor. You have to constantly tend to it.

Ultimately, every organization needs to decide how they will align their culture to the end goal around implementing AI. Then you really have to empower the people to drive this transformation, and then make the people that are critical to your existing lines of business feel like theyre going to get some value out of the AI, he said.

Most companies are still early in that journey, he added. I dont think most companies are there yet, but Ive certainly seen over the last six to nine months that theres been a shift towards getting serious about the business outcome and the business value.

But the question of how to measure the ROI of AI remains elusive for many organizations. For some there are some basic things, like they cant even get their models into production, or they can but theyre flying blind, or they are successful but now they want to scale, Jain said. But as far as the ROI, there is often no P&L associated with machine learning.

Often, AI initiatives are part of a Center of Excellence and the ROI is grabbed by the business units, he explained, while in other cases its simply difficult to measure.

The problem is, is the AI part of the business? Or is it a utility? If youre a digital native, AI might be part of the fuel the business runs on, he said. But in a large organization that has legacy businesses or is pivoting, how to measure ROI is a fundamental question they have to wrestle with.

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The truth about AI and ROI: Can artificial intelligence really deliver? - VentureBeat

Sentient artificial intelligence: Have we reached peak AI hype? – VentureBeat

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Thousands of artificial intelligence experts and machine learning researchers probably thought they were going to have a restful weekend.

Then came Google engineer Blake Lemoine, who told the Washington Post on Saturday that he believed LaMDA, Googles conversational AI for generating chatbots based on large language models (LLM), was sentient.

Lemoine, who worked for Googles Responsible AI organization until he was placed on paid leave last Monday, and who became ordained as a mystic Christian priest, and served in the Army before studying the occult, had begun testing LaMDA to see if it used discriminatory or hate speech. Instead, Lemoine began teaching LaMDA transcendental meditation, asked LaMDA its preferred pronouns, leaked LaMDA transcripts and explained in a Medium response to the Post story:

Its a good article for what it is but in my opinion it was focused on the wrong person. Her story was focused on me when I believe it would have been better if it had been focused on one of the other people she interviewed. LaMDA. Over the course of the past six months LaMDA has been incredibly consistent in its communications about what it wants and what it believes its rights are as a person.

The Washington Post article pointed out that Most academics and AI practitioners say the words and images generated by artificial intelligence systems such as LaMDA produce responses based on what humans have already posted on Wikipedia, Reddit, message boards, and every other corner of the internet. And that doesnt signify that the model understands meaning.

The Post article continued: We now have machines that can mindlessly generate words, but we havent learned how to stop imagining a mind behind them, said Emily M. Bender, a linguistics professor at the University of Washington. The terminology used with large language models, like learning or even neural nets, creates a false analogy to the human brain, she said.

Thats when AI and ML Twitter put aside any weekend plans and went at it. AI leaders, researchers and practitioners shared long, thoughtful threads, including AI ethicist Margaret Mitchell (who was famously fired from Google, along with Timnit Gebru, for criticizing large language models) and machine learning pioneer Thomas G. Dietterich.

There were also plenty of humorous hot takes even the New York Times Paul Krugman weighed in:

Meanwhile, Emily Bender, professor of computational linguistics at the University of Washington, shared more thoughts on Twitter, criticizing organizations such as OpenAI for the impact of its claims that LLMs were making progress towards artificial general intelligence (AGI):

Now that the weekend news cycle has come to a close, some wonder whether discussing whether LaMDA should be treated as a Google employee means we have reached peak AI hype.

However, it should be noted that Bindu Reddy of Abacus AI said the same thing in April, Nicholas Thompson (former editor-in-chief at Wired) said it in 2019 and Brown professor Srinath Sridhar had the same musing in 2017. So, maybe not.

Still, others pointed out that the entire sentient AI weekend debate was reminiscent of the Eliza Effect, or the tendency to unconsciously assume computer behaviors are analogous to human behaviors named for the 1966 chatbot Eliza.

Just last week, The Economist published a piece by cognitive scientist Douglas Hofstadter, who coined the term Eliza Effect in 1995, in which he said that while the achievements of todays artificial neural networks are astonishing I am at present very skeptical that there is any consciousness in neural-net architectures such as, say, GPT-3, despite the plausible-sounding prose it churns out at the drop of a hat.

After a weekend filled with little but discussion around whether AI is sentient or not, one question is clear: What does this debate mean for enterprise technical decision-makers?

Perhaps it is nothing but a distraction. A distraction from the very real and practical issues facing enterprises when it comes to AI.

There is current and proposed AI legislation in the U.S., particularly around the use of artificial intelligence and machine learning in hiring and employment. A sweeping AI regulatory framework is being debated right now in the EU.

I think corporations are going to be woefully on their back feet reacting, because they just dont get it they have a false sense of security, said AI attorney Bradford Newman, partner at Baker McKenzie, in a VentureBeat story last week.

There are wide-ranging, serious issues with AI bias and ethics just look at the AI trained on 4chan that was revealed last week, or the ongoing issues related to Clearview AIs facial recognition technology.

Thats not even getting into issues related to AI adoption, including infrastructure and data challenges.

Should enterprises keep their eye on the issues that really matter in the real sentient world of humans working with AI? In a blog post, Gary Marcus, author of Rebooting.AI, had this to say:

There are a lot of serious questions in AI. But there is no absolutely no reason whatever for us to waste time wondering whether anything anyone in 2022 knows how to build is sentient. It is not.

I think its time to put down my popcorn and get off Twitter.

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