Fintech Application: Artificial Intelligence and Blockchain

Abstract

From academia to manufacture, artificial intelligence has a wide application and influence. on financial market. Finance is one of the earliest industries have a great connection with artificial intelligence. Through accurate profiling, neural networks and a series of artificial intelligence technology apply to finance. The traditional financial products, service way, credit finance invest decisions, risk control, etc. will have an innovation. Analysis of base, impact mechanism, development directions, risks on combination between artificial intelligence and finance has great theoretical value and practical significance to promote further combination between artificial intelligence and finance. Blockchain, originated from the concept of digital currency, has an extensive application in series of industries. Governments, financial companies, technology enterprise all over the world show great interest in blockchains. Blockchain, a rising distributed database protocol, apply cryptography technology, time-stamped chain data structures and distributed consensus mechanisms, have achieved decentralization, immutability, easy traceability and many advantages. Blockchains have solved the problem, high cost and insecurity of traditional centralized system, which has broad application prospects. This article focuses on two representative technologies apply in finance, artificial intelligence and blockchains. Start with the definitions of artificial intelligence and blockchains. The significance part is analysis on application of these two technologies. It compares different charge of robo-advisor platform and analyze non-performing loans rate to show the advantage of intelligence risk control. It also introduces five types and characteristic of blockchains, and uses ripple as example to show application of blockchains in cross-broader payments.