GPT-4 apps BabyAGI and AutoGPT could have disruptive implications for crypto

GPT-4 apps BabyAGI and AutoGPT could have disruptive implications for crypto

April 11. 2023

By Tristan Greene

Crypto users are getting excited over the prospect of automating their trades with future-facing technologies built with the GPT-4 API.

A recent spate of applications built on OpenAI’s GPT-4 API has the crypto community buzzing with designs toward the development of a fully-autonomous, self-correcting cryptocurrency trading bot.

Two such apps, dubbed “BabyAGI” and “AutoGPT,” have received particular notice, with many users attempting to build crypto trading applications on top of them.

The big idea behind both apps involves task management for GPT-4. Currently, GPT-4 excels at natural language processing, as is evidenced by the demonstrable usefulness of the ChatGPT interface, but it has no capacity for memorization.

Applications built on the GPT API are basically limited to single-session use, meaning the model can’t recall information from previous interactions. This has to do with the amount of data (referred to as the number of “tokens”) that individual queries require, as well as GPT’s tendency to hallucinate — a problem that becomes increasingly noticeable as token counts rise.

Users are, essentially, starting with a clean slate whenever they query the machine. In terms of building a crypto trading application capable of self-correction and historiographic analysis — adjusting to real-time market conditions while simultaneously keeping short and long-term trends in focus — this means even the most robust bot built on the GPT API would typically require heavy human supervision.

Some clever developers may have discerned a potential method for circumventing these limitations by building applications that take advantage of GPT’s ability to generate code and connect to external sources.