Recently, the situation with new coins being launched has been interesting; Binance Alpha seems to be working hard to break the 'old rule' of prices dropping immediately after launch. What truly gives hope for change is the launch of $FHE. It debuted with a relatively low market cap, survived the airdrop's sell-off, and the price began to rise slowly. Now its market cap is just over 20 million, which is quite good for a tech-based project, leaving plenty of room for future growth 🤔.
Currently, the hot topics in the crypto market revolve around MCP (multi-AI agent collaboration), and the fully homomorphic encryption technology behind FHE is crucial for the privacy protection of multi-AI AGENT collaboration. Today, I will introduce FHE and its project partner Mind Network in simple terms to friends who are just starting out in trading. I am also participating in the #MindNetwork全同态加密FHE重塑AI未来 essay activity and welcome everyone to actively participate in the discussion. But I must remind you, always do your own research (DYOR) before investing!
I. What exactly is FHE? Explained in one sentence
FHE, short for 'Fully Homomorphic Encryption', simply put, means that data is encrypted from start to finish but can still be computed and collaborated normally. What does this mean? You can give data to AI for analysis, prediction, and decision-making without fear of leaks, achieving 'working in an encrypted state' 💪. This technology is impressive, but ordinary users don't need to understand it too deeply; just remember it can make AI reliable, protect privacy from being leaked, and make the AI black box transparent.
II. What major moves is Mind Network making?
Mind Network is not simple; it is the first FHE blockchain project specifically designed for AI agents. It is incubated by Binance Labs and has received funding from the Ethereum Foundation, with investment from big names like Animoca and Chainlink, ensuring both technology and funding 💰.
It proposes a super cool new concept - AgenticWorld, a world composed of millions of AI agents. These AI agents can not only think independently but also collaborate with each other, and importantly, privacy protection is ensured. Mind Network serves as the foundation of this 'AI world', providing FHE secure computing, consensus mechanisms, encrypted communication, an on-chain collaboration platform MindChain, and a unified agent interaction protocol Hub system.
III. How does FHE differ from MPC and ZK?
ZK (Zero-Knowledge Proof), MPC (Multi-Party Computation), and FHE all relate to privacy collaboration but have their own characteristics:
- ZK: Prove things are real without revealing specific information, particularly suitable for protecting privacy, often used in identity permission verification. For example, if you want to access an adult content website that requires age verification, ZK can directly encrypt and prove your age without filling in your birthday 🎂. However, it needs to design passwords for specific verification content, suitable for protecting important but simple identity data.
- MPC: supports multiple parties to compute together while keeping data confidential, particularly useful in scenarios like cross-institution data analysis and financial audits📊.
- FHE: In the AI field, it shows clear advantages, keeping data encrypted from start to finish. Even if the encrypted data is handed over to a third party for computation, there is no need to worry about leaks, providing AI with a super strong lock for data security and privacy, promoting AI development in fields that demand high data security.
Let me give you another example: If you stay up late trading and worry about your health, you go to the hospital for a check-up. You don't want the female doctor to know about your kidney issues, and MPC and FHE can encrypt data throughout the examination and computation process. MPC ensures that each medical department only knows its own data, and the final result is derived from the encrypted integration of multiple departments; FHE delivers the encrypted results from multiple departments to a comprehensive computing institution for conclusions. In this way, your privacy is preserved, allowing you to confidently ask the female doctor for her contact information!
IV. What key issues does FHE address?
Let's look at the points that users are most concerned about:
- Not wanting to disclose privacy: Mind Network uses FHE, allowing AI to see only encrypted data, yet still able to analyze and compute. You can provide AI with encrypted transaction records and medical reports, and it can still give investment advice and health analysis without seeing the original data 📃.
- Secure collaboration between AIs: Different AI agents connect tasks through a Hub, with all information encrypted by FHE, eliminating the need for mutual trust and the fear of being spied on 👀.
- Preventing AI from misleading people: Mind Network supports 'verifiable computation', allowing you to verify whether AI is making decisions using reliable models or just making things up.
- Cross-chain, cross-AI system collaboration: Mind Network connects multiple chain systems, including Ethereum, Solana, and BNB Chain, allowing AIs on-chain to collaborate seamlessly while using FHE to protect privacy.
Now, going to the hospital, don’t you feel more confident!
V. What are the key application scenarios for FHE?
Imagine, would you let AI access your identity data freely? Would you trust a non-transparent 'black box AI' to handle sensitive information? If the answer is no, then FHE's solution comes into play:
- You authorize AI to use encrypted data; it cannot decrypt but can analyze within a specified scope;
- Throughout the process, you hold the key, able to revoke authorization and disconnect at any time🔌;
- Authorization can be very flexible, such as 'one-time use only' or 'can only use when I am online'.
In practice:
- AI + Privacy
- Healthcare: AI reads encrypted health examination reports and provides health advice;
- Finance: Encrypt asset data and optimize investment portfolios;
- Chat/Recommendation Systems: Read encrypted social preferences without disclosing privacy. For example, the 'World AI Health Hub' in collaboration with Mind Network and ZAMA allows hospitals to encrypt and share patient data, with AI analyzing diagnoses while fully protecting patient privacy, also promoting cross-institutional medical AI collaboration.
- AI + Decentralization + Multi-agent
- In the DeFi field: multiple AI agents analyze on-chain data for risk assessment, arbitrage, and optimizing lending portfolios;
- Game: AI NPC interacts with players, remembers player behavior, while protecting data🎮;
- DAO Governance: Anonymous voting, consensus modeling, and on-chain governance proposals are all encrypted and verifiable. For example, in collaboration with Phala Network, combining TEE with FHE ensures the privacy of game AI decision-making, protects player data and virtual assets, and achieves secure transactions in a decentralized gaming economy.
- Enterprise-level AI collaboration: The Swarms Shield system supports encrypted communication between multiple agents, preventing commercial secrets from being leaked, suitable for supply chain management and financial analysis.
VI. How does FHE build infrastructure for AI Agents?
In the Mind Network architecture, each agent has these superpowers:
- Identity recognition: The on-chain identity system ensures that you and your AI are independently identifiable;
- Secure environment: FHE protects data from being leaked;
- Decentralized deployment: AIs can run on any node, without fear of being monopolized by major platforms;
- Verifiable computation: Output results can be verified for authenticity using ZK/FHE;
- Controllable authorization: You can precisely control which data, when, and which AI can access it 🔐.
To realize the future AgenticWorld, three key elements are needed:
- Data security: AI can handle data but cannot steal it;
- Computational transparency: The AI decision-making process can be verified;
- Trustless collaboration: Encrypted collaboration between AIs without the need for mutual trust 🤝. FHE is the key to achieving all of this, serving as the cryptographic cornerstone supporting the collaboration of millions of agents.
VII. What does the future hold for the combination of AI and blockchain?
One could say that AI is the brain🧠, blockchain is the skeleton, and FHE is the skin. Without FHE, data is like 'running naked', making it hard for even the most powerful AI to take effect.
- Consensus mechanism among agents: FHE can make the AI voting process fully encrypted, with results that are real and trustworthy;
- Multi-chain collaboration: FHE Bridge allows AI agents on different chains to share data without disclosing privacy;
- End-to-end encryption: With FHE, AI computes on the user side, keeping privacy within the device.
Mind Network is advancing two highly promising protocols:
- DeCC (Decentralized Confidential Computing): Making computation no longer reliant on centralized servers;
- HTTPZ: The next generation of 'zero trust' internet protocols, where data is encrypted throughout. And FHE is the only underlying technology supporting these visions.
VIII. Is $FHE worth investing in? My view
- Narrative perspective: AI + security is the big direction for the next decade, and Mind Network happens to hit the intersection of three hot tracks: AI Agent, privacy computing, and FHE 🚥.
- Implementation capability: Already partnered with major players like DeepSeek and Chainlink, with mainnet and products launched, application scenarios are clear.
- Token mechanism: $FHE has completed TGE, and staking to activate agents creates positive incentives, with reportedly high annual yields, allowing for actual participation 💰.
- Risks: FHE technology still has implementation challenges; although it has been deployed, its performance has bottlenecks; also pay attention to the gap between short-term speculation and long-term development ⚠️.
Investment advice:
Mid to long-term investors: If you are optimistic about the future of the AI ecosystem, consider staking FHE to participate in Agent training collaboration, allowing deep project involvement while playing and earning 🎯. Mind Network is currently holding a staking event with an annualized return of up to 400%. Log in to the official website, stake more than 10 FHE, lock for one month, and you can launch your own on-chain AI agent; if interested, you can learn more.
Short-term investors: From a technical analysis perspective, if the flag pattern is established, 0.089 is a good risk-reward position; if it breaks the flag pattern, pay attention to the support level at 0.078, and the short-term target price can be seen around 0.12 📈.
That's the sharing about $FHE, hope it helps everyone! If there are any inaccuracies, feel free to point them out. Again, please remember to do your own research (DYOR) before investing!