Why are power hungry GPU’s perfectly fine for AI, but they were a huge problem for proof of work algorithms in Ethereum? Literally the same NVidia GPU’s to mine Ethereum. It was a huge problem so they shifted to Proof of Stake. It was such a big deal that senators were attacking the technology. Power companies were cutting them off.

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Because one is doing something of value and the other is generating fake value lol

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Do you think that crypto has no value at all? Because there are coins out there that are aimed towards efficiency and definitely have some value

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The power / climate arguments will be applied to AI as well. Just need to get to the right spot on the hype / adoption curve. There already is a decent amount of chatter on that front.

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The issue is that AI provides actual value to the end user, and immediately. Crypto is all fake until it becomes real in an instant

An additional aspect is that, while the training can be very resource intensive, the inference process is very much less so.
So once the weights have been determined, many people can reuse and get value from them, just running locally, even on mobile devices.

True, there will continue to be lots of resources devoted to training, and I'm not saying they shouldn't try to improve that aspect, but in fact much effort is put into improving the efficiency of training, whereas by definition "proof of" schemas require heavy computation.

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This is a very good point, training is often a much less frequent cost to pay compared to the constant mining required of crypto

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