A World of Growing Problems

Regulation of artificial intelligence poses a unique challenge. The A.I systems produced by tech giants like Google and Facebook are constantly evolving and insulated from accountability. These systems are inherently difficult to control due to the challenges in codifying acceptable computer behavior. Fortunately, blockchain has the power to modernize the trustless nature of A.I. It is going through a similar movement to the early days of the internet, but as we have seen today, it has the potential to bring about some major improvements to the world.

In the early days of the internet a person could realistically create and host their own website without depending on a large centralized platform, and actually have a chance at success.

Some of the largest websites today started out hosted on a single core 90s computer in someone’s office where broke programmers slept. The early internet gave everyone a voice which at the time was relatively immutable and cheap. Today if you’re not hosting on a multi warehouse cloud, you’re a nobody with sub par website hosting. Your onsite upload speed is capable of being fully saturated by only a small number of users and you are vulnerable to local outages or relatively simple attacks.

If you choose the obvious decision and host offsite, you’ll inevitably end up on one of the large cloud platforms. While there your usage is potentially subject to termination if your cloud platform strongly disagrees with your position, which can happen if you hold unpopular opinions. Furthermore, you are signing away the control of your data to your chosen cloud provider.

DAPPS on blockchain solve these problems, and bring us much closer to the more wild west internet which existed in the 90s and early 2000s. This means that there is a lot of room for this technology to mature.

As these trends develop, we have the opportunity to bring about the decentralized and distributed A.I systems needed to enact a new wave of change. When these changes start to take place, we will be able to take a huge step towards the world that many of us expected to see with A.I.

Who is CipherProxy?

CipherProxy is a research and development foundation. Our objective is to construct a protected future for data and data technologies. CipherProxy sets out to explore the synergies between AI and blockchain. At CipherProxy, we have a belief and a vision that we will play a role to secure a sustainable future for P2P data utilization. We are constantly creating and developing sophisticated applications in both fields of AI and blockchain. We carefully identify the synergies between both fields and execute projects, with the ambition to empower developers with enabling technologies.

We believe in the natural and organic fusion of both fields. Currently, we are investing a lot of our resources and energy into the difficult problem of data ownership. While this is not a task that can be solved overnight, we believe nonetheless that data sharing should be founded on sound social norms and supported by decentralized infrastructure that can scale with demand.


Data is the lifeblood of Machine Learning and Artificial Intelligence; it provides the fuel to run inferences and create predictions to help us make better, more informed decisions. Paid-for data in machine learning is practically non-existent due to the proprietary nature of the field — this makes data science incredibly exclusive to those who already have access to the required data. Nobody wants a world where data companies continue to hoard data, making the data inaccessible and unusable to all those who don’t have access to it.

CipherODM (Cipher Open Data Marketplace) will unveil a way to create a decentralized data marketplace, where data contributors will be fairly compensated for their data and data buyers can confidently purchase data. CipherODM isn’t just about data; it creates a space for different data types to be traded, whether it be images, videos, text, audio, or ML/AI. A decentralized data marketplace is the key to unlocking the capabilities of Machine Learning and Artificial Intelligence and bringing those technologies to the blockchain.

Let’s look at the design on a high-level

Rust Oracle Framework

There are many reasons why a rust oracle framework would be necessary for this project. Dfinity, the network integral to the project, is written in rust. A rust oracle framework would need to be able to mesh with sophisticated data formats, since data is such an integral part of AI and Blockchain convergence. Rust is able to handle this because it is a compiled language and therefore easier to debug. Rust is also incredibly secure, which is critical as oracles store sensitive information.

CipherCredit — Verification and Trust

The verification will be done via a reputation system. Reputation will be built over time, and derived through a combination of metrics. A reputation system must have identity. We will use our own identity solution, CipherID, as the basis of the reputation system. That identity will be tied to a wallet. Many other identity solutions will become interoperable with this platform in the future..

Data producers will be rated by consumers based on the data they provide. The ratings will be weighted by time. New data producers begin with a low rating and increase their rating by building a track record of providing quality data. The idea is to provide a proof of trust based on time. The longer you can provide quality data, the more trust you will build.

Cipher Wallet

Cipher Wallet is a one-stop mobile application that seeks to quell the dangers of exchanging personal data online. By giving users the power to manage their own data, Cipher Wallet seeks to expand an ecosystem where the entire user base is empowered to determine the worth of their data and trade it for the products and services that they want.

CipherODM Front-end

CipherODM Front-end is designed to allow individuals and organizations to monetize and acquire data in a secure, standardized, and user-friendly way. Using blockchain technology, data-driven companies are provided with a universal source of truth and can acquire it from the many different providers in the network in a cost-effective way. The decentralized data marketplace ensures that data producers maintain the right to view and control how and where their data is used. Data consumers can then acquire data cost-effectively — these purchases will be time stamped on the blockchain for transparency and accountability.

Why use Dfinity’s Internet Computer?

Since the future of data is decentralized and with compensation provided to users for their data, it is necessary to have a high speed and infinitely scalable network. Supporting a data marketplace requires a reliable means of transferring data. The Dfinity Internet Computer looks to be the best blockchain for the job. We are specifically intrigued by the use of specialized node hardware and the overall expansion of nodes on the network.

A Long-Term Vision

Effectively, we are laying the foundations for bringing ML/AI data on-chain, however this is just the first step in achieving the convergence of AI and Blockchain technologies. We will first bring in data from off-chain sources to use within a secure peer-to-peer marketplace, increasing the accessibility and security of sharing data.

Eventually, we plan to have the ML/AI be performed on-chain utilizing a fully distributed node infrastructure, or Internet Computer. This is resource intensive and will become more achievable as the IC expands its node base. However, a data marketplace remains a pivotal component of the overall vision. It will allow for individuals, developers, organizations, and machines to monetize and acquire data in a trusted, standardized, and cost-effective way.

Tiers of R&D

CipherProxy’s R&D can be roughly broken down into 3 tiers:

The projects associated with tier–1 will be achievable in the short term. The projects will be the DApps that will be built on top of established and promising ecosystems. CipherProxy‘s first tier–1 project will be to develop an Open Data Marketplace for the Dfinity IC ecosystem.

Tier 2: Interoperability Solutions

The next tier consists of interoperability solutions that are aimed at linking data between the blockchain and off–chain as well as blockchain to blockchain. These solutions will be medium–term R&D goals. This includes but is not limited to: expanding oracle features, chain-key technology, security features, blockchain bridges, AI tools, and off-chain workers.

Tier 3: AI & Blockchain Convergence

The top tier is the convergence of AI and blockchain, which will be the long term R&D goal. Currently, the plan is to explore the integration of AI with hardware and blockchain design to create a data-driven learning machine. These solutions, the result of long-term research by the CipherProxy team, aims to create a synergy between two of the most promising and powerful technologies in the world today.

A Future We Can Trust

In a world where data is the new oil and information is the new gold, people deserve to trust the sanctity of their data. Blockchain technology can provide this trust, and artificial intelligence can give that data a voice. Blockchain dynamics and AI synergies will help to pinpoint the causes of many of the world’s problems and formulate data-driven solutions.

Brian Galler
James Harbeck

Innerpreneur, Technology Explorer, and Lucid Dreamer.
Founder of CipherProxy. Exploring AI & Blockchain synergies.
Building CipherODM, an Open Data Marketplace on the Internet Computer.

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