đInnovative Use Cases and dApps
Secure on-chain AI
FHE enables AI models to operate directly on encrypted data without ever seeing the plaintext. This allows for privacy-preserving AI computations on sensitive blockchain data. Use cases include personalized recommendations, credit scoring, and fraud detection without exposing individual user data.
Real World Assets
FHE facilitates the tokenization and trading of real-world assets (RWAs) on the blockchain while maintaining confidentiality. Asset details, ownership information, and transaction history can remain encrypted, allowing for compliant and private representation of assets like real estate, commodities, or intellectual property on-chain.
Confidential DeFi
This includes confidential lending and borrowing, where loan amounts, collateral values, and interest rates remain hidden. It also allows for private automated market makers (AMMs) and yield farming without revealing individual positions.
Confidential Voting
Blockchain-based voting systems can use FHE to ensure vote confidentiality while maintaining transparency and verifiability. Votes are encrypted, tallied homomorphically, and only the final result is decrypted, preventing both voter coercion and manipulation of intermediate results.
Blind Auctions
FHE allows for truly blind auctions on the blockchain. Bid amounts remain encrypted throughout the auction process, preventing price manipulation and ensuring fairness. Only the winning bid is revealed at the end, maintaining the integrity of the auction mechanism.
Confidential ERC20
Transaction amounts and account balances remain encrypted, visible only to authorized parties. This brings security to token transfers while maintaining the ability to verify total supply and perform necessary compliance checks.
Fully on-chain gaming
Game states, player moves, and random number generation can all be performed on encrypted data, ensuring that neither players nor game operators can cheat or gain unfair advantages by accessing hidden information.
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