- The Cocoon decentralized AI network launched on the layer-1 blockchain The Open Network (TON), linked to the Telegram messaging app.
- GPU owners can rent computing power to Cocoon, earning Toncoin (TON), TON’s native token, by processing user requests.
- Pavel Durov highlighted Cocoon’s role in reducing costs and improving privacy compared to centralized AI service providers.
- Decentralized AI platforms use blockchain to enhance data integrity, transparency, and trustless communication among nodes.
- A 2025 poll showed 77% of respondents believe decentralized AI offers greater societal benefits than centralized systems.
The decentralized AI network, Cocoon, became operational on Sunday. Built on The Open Network (TON), a layer-1 blockchain affiliated with the Telegram messaging platform, Cocoon was developed to address privacy concerns and reduce reliance on centralized AI service providers. The launch was announced by Telegram co-founder Pavel Durov at the Blockchain Life 2025 conference held in Dubai, United Arab Emirates, in October.
Cocoon allows individuals possessing graphics processing units (GPUs) to lease their computational resources to the platform. These GPU owners process AI requests from users and receive rewards in Toncoin (TON), the native cryptocurrency of the TON blockchain. Early transactions indicate that rental of GPU computing power is already generating earnings for participants. According to Durov, “Centralized compute providers such as Amazon and Microsoft act as expensive intermediaries that drive up prices and reduce privacy. Cocoon solves both the economic and confidentiality issues associated with legacy AI compute providers.”
The network aims to counter risks associated with centralized AI, which can concentrate influence in governments and corporations, potentially threatening user privacy and Cybersecurity. David Holtzman, chief strategy officer of the Naoris decentralized security protocol, described how blockchain technology helps by verifying information sources, maintaining tamper-proof records, and enabling trustless communication within distributed computing nodes.
In 2024, AI experts from the Dfinity Foundation, which supports the Internet Computer Protocol (ICP), and executives from decentralized AI firm Onicai, proposed seven ethical guidelines for AI development. These include employing permissionless blockchain networks to secure transparency and data integrity.
Further emphasizing the positive view of decentralized AI, a poll by the Digital Currency Group (DCG) in May revealed that 77% of 2,036 participants believe decentralized AI offers more societal benefits compared to centralized AI systems.
✅ Follow BITNEWSBOT on Telegram, Facebook, LinkedIn, X.com, and Google News for instant updates.
Previous Articles:
- Metroid Prime 4 Launches This December on Switch and Switch 2
- Shiba Inu Investment Lost 26% Over One Year Ending July 2025
- S&P Downgrades Tether USDT Amid Reserve Transparency Concerns
- BRICS Challenges US Dollar, But Replacement Unlikely: Standard Chartered
- Bitcoin Hits Resistance at $93K Despite Market Optimism
