Artificial Intelligence and the Future of Decentralized Finance

Artificial intelligence (AI) holds the potential to be a transformative force in DeFi, offering remedies for some of its most pressing issues while augmenting the user experience. The aim of this chapter is to delve into the prospective uses of AI in decentralized finance, illustrating how this technology could help DeFi attain its desired goals of speed, operational efficiency, and inclusivity. In a broader sense, AI can bring about paradigm shifts in multiple facets of DeFi, from augmenting efficiency and security to enhancing risk evaluation and user engagement. Nevertheless, the successful combination of AI into DeFi requires meticulous planning, rigorous testing, and ongoing surveillance to ensure its efficacy, reliability, and conformity to legal standards.