AI brokers and blockchain are redefining the digital economic system


Opinion by: Arunkumar Krishnakumar, head of institutional development at Marinade Finance

The rise of the web and social media has redefined how manufacturers attain out to billions of customers worldwide. There’s fixed competitors for customers’ consideration, to the extent that the digital ecosystem is meticulously engineered for distraction. Welcome to the eye economic system, the place engagement metrics are prioritized over significant consumer experiences. 

Persons are bombarded with notifications, ads and content material optimized to seize clicks somewhat than fulfill wants. A 2020 research by The Economist Intelligence Unit discovered that 28% of working hours within the US in data work are misplaced to distraction, highlighting the financial impact of this relentless pursuit of consideration. The race for customers’ consideration has led to vital cognitive, monetary and social prices, necessitating a extra user-centric framework referred to as the intention economic system.

The mechanics of the eye economic system

Digital platforms are designed to seize and retain consumer consideration and lead them by means of a collection of dopamine-generation mechanisms. Algorithms prioritize addictive content material to make sure customers keep engaged and preserve coming again to their platform. For instance, a Google seek for journey insurance coverage will yield outcomes skewed by search engine optimization practices and paid ads, usually pushing customers towards suboptimal selections. 

Equally, although seemingly useful, value comparability web sites prioritize outcomes primarily based on public sale placements somewhat than real relevance. There’s a give attention to expediency somewhat than accuracy when serving the consumer.

This misalignment between consumer intent and system design is economically costly. The 2020 Economist Intelligence Unit research estimated that distractions value the US economic system $391 billion yearly in misplaced productiveness. 

The cognitive toll

An attention-focused digital economic system has taken its toll on customers and creators. With customers, the fixed inflow of notifications hurts focus, reducing productiveness and eroding the capability for deep, crucial considering. A research by King’s School London discovered that 51% of respondents imagine expertise impacts younger folks’s consideration spans.

Content material creators, high quality and economics

For content material creators, the pressures of the eye economic system are equally painful. Creators are locked right into a setup the place they need to produce a steady stream of participating content material to take care of visibility and engagement. That always results in vital stress and burnout.

Creators are compelled to ship sensationalist and low-quality content material. They could resort to clickbait titles, thumbnails or controversial matters to draw views, usually on the expense of accuracy and depth.