The integration of Artificial Intelligence (AI) and blockchain technology (BT) into diploma generation and verification systems enables the digitalization of services in higher education institutions (HEI). These technologies have the potential to prevent misuse, protect identity and privacy, decentralize services, and automate processes. AI employs advanced pattern recognition and anomaly detection algorithms to ensure the integrity of academic certificates stored on the blockchain. By using smart contracts on the blockchain, artificial intelligence algorithms may automate and optimize the verification process, thereby diminishing the administrative load linked to validating academic qualifications. This review paper provides insights into how AI-driven algorithms can streamline the generation of digital diplomas, enhance authentication mechanisms, and mitigate fraudulent activities. Additionally, it highlights the potential of AI-powered analytics for optimizing blockchain-based systems, facilitating seamless interoperability, and ensuring trustworthiness in academic credential verification.