Privacy

The explosion of the AI sector has rapidly reshaped the perception of data value, bringing with it growing concerns about data privacy. The urgent challenge now lies in unlocking data utility while preserving user privacy. To tackle this, developers are exploring a range of Privacy-Enhancing Technologies (PETs), such as MPC, TEE, and FHE. However, each has its limitations: TEE relies heavily on centralised hardware vendors, MPC has execution inefficiencies, and FHE is still maturing in terms of performance.Against this backdrop, Nillion emerged. Nillion team says the original vision behind Nillion was to offer developers a privacy-preserving alternative for building applications that utilize user-contributed data. This vision has become even more essential in the age of artificial intelligence, enabling developers to harness AI’s power without compromising user privacy.Nillion further introduced the concept of Blind Compute, which empowers users to maintain full control over their data, unlocking new opportunities within their ecosystem. Unlike traditional systems where large corporations profit from user data without consent, Nillion shifts the power back to individuals. Users have the freedom to decide what data to share, how it’s used, and how you benefit from it.Following a series of milestone developments, including the launch of its Alpha Mainnet and a community airdrop, Nillion is accelerating its efforts to build a privacy-preserving computational network. On this key occasion, Binance News conducted an in-depth interview with Nillion’s team to unpack the project’s architectural design, product roadmap, and ecosystem strategy—revealing the team’s latest perspectives on the future of privacy computing.What Is Blind Compute?According to official documentation, Nillion is a decentralized data storage and computation network that allows applications to unlock data value while safeguarding user privacy.In traditional systems, performing computations on sensitive data requires decrypting it first, and then re-encrypting the result—an inherently insecure process that exposes data to potential leaks. Nillion takes a fundamentally different approach by enabling computation on encrypted data, a capability it calls Blind Compute.To enable Blind Compute, Nillion integrated multiple PETs. According to the team, the design of Blind Compute is a core component of their mission to build privacy-first computing. During the early development phase, they evaluated a wide range of PET solutions to identify the most suitable approach. The team also mentioned testing technologies such as NIL Message Compute (NMC), but ultimately discontinued them due to insufficient performance efficiency.The Nillion team ultimately selected Multi-Party Computation (MPC) as the foundational technology for Blind Compute. They explained that MPC—especially linear secret sharing schemes—stood out as both the most technically straightforward and secure option. MPC’s low overhead for simple statistical computations makes it ideal for Nillion’s core use cases. The team also believes that MPC offers strong scalability potential for more complex workflows, particularly as macrotrends like improved network communication speeds continue to evolve. Taken together, the security, efficiency, and extensibility of MPC made it the most suitable starting point for implementing Blind Compute.As of now, Nillion has integrated several PETs, including MPC, FHE, TEE, and ZKPs. However, the team has emphasized that integration is ongoing. Future decisions will depend on feasibility, maturity, performance, and above all, alignment with Nillion’s high security standards. Only PETs that balance performance and robust security will be considered.Regarding whether integrating multiple PETs would introduce system-level complexity, the Nillion team stated that in any distributed infrastructure, managing multiple PETs in parallel requires careful attention to avoid issues like instabilities or race conditions.To address this, the team keeps different parts of the stack independent, with nodes running in separate containers and allocated sufficient resources to scale effectively. Additionally, Nillion also minimizes synchronous communication, which helps reduce complexity and enhances system stability.Inside the Nillion Network: A Dual-layer System Built on nilChain and PetnetThe Nillion Network architecture consists of two key components: nilChain, the coordination layer, and Petnet, the orchestration layer. The nilChain is responsible not for computation, but for managing system-level functions including incentive mechanisms, governance procedures, cryptoeconomic security, and inter-cluster coordination.Petnet, by contrast, is where computation takes place. It is a network of nodes equipped with various PET technologies that allow encrypted data to be securely stored and computed. Developers can assign nodes to clusters based on performance, security, geographic distribution, or specific PET requirements—creating flexible, purpose-built networks.The Nillion team explains that the Nillion network distributes responsibilities between a traditional blockchain and an orchestration layer that integrates various PET resources, making them accessible to both developers and users. And the design emphasizes modularity and component independence, ensuring interoperability while allowing developers to select the precise capabilities they need for their target use cases.Nillion’s documentation emphasizes that Petnet represents the future of privacy-enhancing computation. This view is grounded in the inherent complexity and diversity of PETs. As the team explains:“PETs address multiple problems; some even offer different solutions to the same problem, but with tradeoffs in areas such as performance, security, and cost. Therefore, rather than betting on a single technology, Nillion’s Orchestration Layer seamlessly integrates multiple PETs like MPC, FHE, TEE, and ZKPs, optimizing security, cost, performance, and functionality. It operates through Blind Modules (powering the Blind Computer) and SDKs (making them accessible to developers).”The Nillion team stated that Nillion is currently progressing through Levels 2, 3, and 4 of the Petnet evolution roadmap.At Level 2, the SecretLLM SDK integrates NilDB and NilAI.At Level 3, NilDB supports both linear secret sharing and homomorphic encryption, while NilAI is advancing combining TEEs and a specialized MPC protocol for AI model evaluation.At Level 4, NilDB nodes can be deployed in different Clusters, each one featuring unique configurations based on factors such as the number of nodes, their locations, hardware specifications, and security threshold parameters for the linear secret sharing schemes.However, the team acknowledges that achieving full Level 4 functionality presents technical challenges, in particular, NilAI must also support multi-cluster configurations, and developers will need appropriate tooling to identify and select the clusters best suited to their application needs.Regarding cluster management, the Nillion team explains that Nillion allows developers to assemble their own clusters from available node providers, giving them the flexibility to select nodes based on performance and security needs. Developers also have the option to run their own nodes within the cluster for added security. All in all, Nillion enables third parties to contribute nodes, allowing them to be part of any developer-defined cluster.When asked about how Nillion maintains system integrity without relying on a global consensus mechanism, the Nillion team explains: MPC ensures that even a small number of well-behaved nodes can maintain the security of data and computations. By utilizing Shamir’s secret sharing, the system reduces the number of nodes required to uphold the integrity of encrypted data. Users can either run their own nodes or rely on a trusted party to run at least one, making collusion among other nodes ineffective and ensuring overall system stability.Governance & Incentives: Shifting From Tasks to ValueIn 2025, Nillion achieved significant milestones on both the technical and ecosystem fronts. One of the notable developments was the official release of its tokenomics for the NIL token, with 20% allocated to incentivize the community. In line with this, Nillion’s Chief Marketing Officer Charlie Rogers released a statement detailing the logic and evaluation methods behind the drop.To better understand the philosophy and direction behind this airdrop, we asked the Nillion team for more details.They explained that the Nillion airdrop was designed to reward those who have demonstrated long-term value to the ecosystem. Rather than using traditional behavior-driven models (like task completion or check-ins), the airdrop focused on value-based recognition. This included not only technical contributions such as development and verification, but also non-technical forms of support like writing, art, and design that help shape the community culture.As the team emphasized, “We want to recognize those who truly believe in Nillion’s vision and have walked alongside us throughout the journey — not those who simply show up for rewards.”Ecosystem Strategy:AI, DeSci, and DePIN Use Cases of NillionAlongside its community efforts, Nillion has been building out its ecosystem. Many projects are now building on Nillion, including AI training platforms, DePIN infrastructure, and decentralized identity systems.Looking ahead, Nillion team believes that AI agentic implementations will see the strongest adoption, closely followed by use cases in healthcare/DeSci and DePIN. These sectors require secure storage and computation of sensitive data, capabilities that Nillion uniquely enables.To support this growth, Nillion will prioritize:AI: Enabling private, personalized agents that can access and process user data without compromising privacy.Healthcare/DeSci: Powering composable private data in health analytics, allowing individuals to securely share and compute on health data without exposing it.DePIN: Empowering decentralized physical infrastructure networks with secure storage and computation of sensitive real-world data. Nillion enables these systems to analyze data across multiple users without compromising privacy, unlocking new insights and operational efficiencies across logistics, IoT, mobility, and beyond.Nillion also supports developers through its Nucleus program(https://nucleus.nillion.com), a flexible, ongoing initiative tailored to builders at any stage.Key areas of support include:Technical Integration: Hands-on guidance from Nillion’s solutions team to help with SDK usage and integration into Nillion’s technology.Go-to-Market Strategy: Strategic support in refining product marketing positioning, identifying target users, and assistance for launch.Marketing & Visibility: Co-marketing campaigns, product features, and ecosystem exposure to grow your presence and reach.Financial Incentives: Access to network credits and token grants for projects aligned with core focus areas like AI, healthcare, and DePIN.Community & Partnerships: Connect with fellow builders and potential collaborators within Nillion’s growing ecosystem.Looking Ahead: What’s Next for Nillion’s Network and CommunityAs the privacy computing sector evolves rapidly, new players are steadily joining the space, contributing to the accelerated expansion of the ecosystem. In response, the Nillion team stated, "Privacy is not a privilege; it’s a fundamental human right, and it's inspiring to see more projects joining this movement." They emphasized, "At Nillion, we believe privacy isn’t about competition, it’s about collaboration, and we’re proud to see others aligning with the vision we have championed."Amid growing activity in the privacy space, the Nillion team has articulated a clear differentiation strategy: focusing on the usability of PET infrastructure and tooling, orchestrating multiple PET solutions together, and iterating quickly on solutions that address the most pressing technologies today, such as AI and DeSci.At the same time, the team emphasizes that Nillion’s true moat lies not just in technology, but in the strength of its community. “Our Blind Warriors can be found across every corner of crypto Twitter, supporting and amplifying our mission.”Looking ahead, the Nillion team revealed that it will continue advancing network expansion and technical development — including connecting to partner chains and expanding Blind Compute across the entire crypto ecosystem. At the same time, Nillion will keep working to enhance orchestration between the Blind Modules and continue advancing decentralization efforts.Read MoreBinance Introduces Nillion (NIL) on Launchpool: Earn NIL by Staking BNB, FDUSD, and USDCNillion Integrates With NEAR To Enhance Data Privacy And AI ManagementDisclaimerThis article includes third-party opinions and does not constitute financial advice. The content does not represent Binance's position.

WazirX, an Indian cryptocurrency exchange, recently experienced a breach where hackers made away with over \$500 million worth of crypto assets. According to the blockchain security firm PeckShield, the hackers have transferred about 400 ETH, worth roughly \$550,000 to Tornado Cash. Tornado Cash is a privacy tool that allows users to hide the source and destination of their transactions, making it difficult for investigators to track stolen funds. This transfer raises concerns that the hackers may be attempting to launder the stolen funds and evade detection. WazirX has been criticized for its handling of the breach, and many users have expressed frustration over the lack of information and communication from the exchange. The transfer of funds to Tornado Cash further complicates the situation and highlights the challenges of recovering stolen crypto assets.