The article discusses the merging of Web3 and Artificial Intelligence (AI), particularly Generative AI, and how the latter is rapidly evolving. It emphasizes the importance of building for where the industry is headed rather than where it is currently, to avoid obsolescence. The article notes 2024 as a pivotal year in Generative AI, with advances in research and engineering. It was also a year when the narrative surrounding Web3-AI moved from speculative hype to genuine utility.

The article further highlights five key trends shaping AI and their potential for Web3. First, it discusses the importance of “reasoning” in large language models (LLMs). Models like GPT-01, DeepSeek R1, and Gemini Flash have placed reasoning at their core, allowing AI to break down complex tasks into structured, multi-step processes. Web3 can provide a decentralized, trustless layer to verify AI reasoning pathways, thus providing a solution to a crucial gap in the current AI ecosystem.

The article also discusses the role of synthetic data in advancing reasoning. Models such as DeepSeek R1 use systems like R1-Zero to generate high-quality reasoning datasets, reducing reliance on real-world datasets and improving model development and robustness. According to the article, synthetic

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