FHE: The security foundation that drives the integration of AI and blockchain
introduction
I want to write about Mind Network, not only because of the Binance Square essay contest, but also because Mind Network gave me an airdrop of $FHE when I was in the most difficult time (I lost a year's income due to memes), which gave me some hope; if you haven't claimed the airdrop yet, you can check it out: https://agent.mindnetwork.xyz/airdrop
Secondly, $FHE has been listed on Binance’s alpha board, and the on-chain data shows that the market value is currently over 26 million, which is worth paying attention to;
Artificial intelligence (AI) and blockchain technology are both the hottest technologies of today. The integration of AI and blockchain technology is reshaping the future of technology. AI brings intelligent decision-making and automation capabilities to blockchain, while blockchain provides a decentralized and trusted operating environment for AI. However, this integration faces major challenges in data privacy and security.
Fully homomorphic encryption (FHE) is a revolutionary technology that allows computing on encrypted data, providing an ideal solution to these challenges. As a pioneer in the field of FHE, Mind Network is leading the security revolution of Web3 and AI through its innovative products such as AgenticWorld and MindChain. Recently, Mind Network successfully completed a $10 million Pre-A round of financing, with support from Binance Labs, Animoca Brands, etc., demonstrating its industry influence (Mind Network Funding).
Mind Network's project vision is to advance fully homomorphic encryption (FHE) technology for building a fully encrypted Web3 with a focus on AI agents and digital sovereignty.
Financing information shows that the project has raised $12.5 million in two rounds: $2.9 million in June 2023 and a $10 million seed round in September 2024. Mind Network has received support from well-known investors including Binance Labs (Yzi Labs), Cogitent, Hashkey, Animoca Brands, and Chainlink.
Team members include CEO and co-founder Christian Pusateri, and CTO and co-founder George, with further details not disclosed.
Project Vision
Mind Network is committed to building a fully encrypted Web3 ecosystem through fully homomorphic encryption (FHE) technology, with a special focus on AI agents and digital sovereignty. Its innovations include MindChain (the first FHE chain), AgenticWorld (FHE consensus for AI agents), and FHE Bridge (aims to bring the next trillion dollars to Web3). This vision can be said to be very grand. Secondly, the known team members include CEO and co-founder Christian Pusateri, and CTO and co-founder George. Details of other team members are not disclosed, but it is described that the team has extensive experience in AI, cryptography, and security.
What is FHE?
Fully homomorphic encryption (FHE) is an advanced encryption technology that allows arbitrary calculations to be performed on encrypted behavioral data without decryption. In other words, data can be processed in an encrypted state, and the calculation results are still in encrypted form, which are consistent with the plaintext calculation results after decryption. Compared with partially homomorphic encryption (PHE) or limited homomorphic encryption (SHE), FHE supports unlimited addition and multiplication operations and is suitable for complex computing tasks such as AI training and blockchain smart contracts.
FHE is based on lattice cryptography, which not only resists traditional computer attacks, but also has quantum resistance. In 2024, the National Institute of Standards and Technology (NIST) of the United States established FHE as the main post-quantum encryption standard, highlighting its future potential (NIST Standards). In AI and Web3, FHE ensures that sensitive data is always encrypted during processing, providing a solid foundation for privacy protection.
Mind Network与FHE
Mind Network is committed to building a fully encrypted Web3 ecosystem through FHE, protecting data sovereignty and promoting the development of decentralized AI. Its core products include:
AgenticWorld: An AI agent platform deployed on BNBChain and MindChain, using FHE to provide privacy protection and verifiable security. Currently, more than 54,000 AI agents have been launched, and more than 1.2 million tasks have been executed cumulatively, demonstrating its scalability.
MindChain: The first FHE chain designed for AI agents, supporting AI computing and data processing in an encrypted state.
HTTPZ: A zero-trust Internet transport protocol that uses FHE to achieve end-to-end encryption and sets a new security standard for Web3 and AI (Mind Network Website).
Mind Network works with industry leaders, including Binance Labs, Chainlink, and Zama, to develop innovative projects such as HTTPZ. In February 2025, Mind Network launched a Pre-TGE event to prepare for the generation of $FHE tokens and further consolidate its ecosystem (Mind Network Pre-TGE).
Application of FHE in AI and blockchain
FHE has a wide range of applications in the integration of AI and blockchain. The following are key scenarios:
Privacy-preserving AI training: FHE enables AI models to be trained on encrypted data without exposing plaintext data, making it suitable for sensitive fields such as healthcare and finance.
Secure AI reasoning: Users can send encrypted data to AI models, which perform reasoning in the encrypted domain and return encrypted results to ensure data privacy.
Decentralized AI Marketplace: FHE supports AI marketplace on the blockchain, where data owners and developers can trade without leaking data.
Smart Contract Privacy: FHE enhances the security of smart contracts, ensures input and state encryption, and improves the privacy of blockchain applications.
Mind Network’s AgenticWorld uses FHE to provide a secure environment for AI agents. For example, AI agents can perform tasks on encrypted data to ensure confidentiality and integrity. Its integration with the DeepSeek codebase shows that FHE technology has been recognized by the industry (Mind Network Website).
Swarms Shield: Application of FHE in multi-agent systems
The Swarms Shield project, a collaboration between Mind Network and Swarms, is a great example of FHE in multi-agent systems. The project provides enterprise-level security for scenarios such as drone swarms, where AI agents can compute on encrypted data (such as calculating distance without decrypting location data), achieving "blind collaboration". Swarms Shield is integrated into the Swarms framework via the FHE SDK, supporting encrypted session management, data backup, and activity statistics, and is widely used in healthcare, finance, and the Internet of Things (Swarms Shield GitHub).
Swarms Shield Hub Development
Swarms Shield Hub, developed by Mind Network in collaboration with Swarms, is an enterprise-level security system designed to provide secure communication solutions for multiple agents. The project aims to address cross-industry challenges in secure information transmission, such as sensitive data processing in healthcare, finance, and industrial control. The GitHub repository Swarms Shield Hub lists the current development status, including a to-do list and recent commit records.
Features under development include integrated encrypted database storage (MindLake with FHE), FHE voting SDK, and EVM wallet integration. Although the project is still in progress, it demonstrates the potential of Mind Network in real-world applications, especially in providing security and privacy protection for multi-agent systems.
Other potential applications
In addition to the above applications, Mind Network is also developing other products such as MindChain (the first FHE chain designed for AI agents), AgenticWorld (shaping a new paradigm for AI agents through FHE consensus), and FHE Bridge (FHE-protected interoperability, aiming to bring the next trillion dollars to Web3). These projects may still be in the development stage, but official documents and Medium articles (such as AI Agents and Swarm Intelligence) show that they aim to address industry needs such as data sovereignty protection, fair consensus, private voting, secure cross-chain transmission, and trusted AI.
Future Outlook
The importance of FHE will become more and more prominent in the future of Web3 and AI. Mind Network is exploring more applications of FHE through HTTPZ and decentralized confidential computing (DeCC) to provide comprehensive security for the Web3 ecosystem. Just as Chainlink has become the oracle layer of DeFi, Mind Network is positioned as the confidential computing layer of Web3, providing encrypted computing and compliant privacy (Mind Network Web3 Role).
Ethereum co-founder Vitalik Buterin emphasized that privacy infrastructure is an urgent need for Web3 and AI (Mind Network Web3 Role). Mind Network responds to this need through FHE, providing a quantum-resistant security foundation for decentralized applications and AI agents.
Secondly, from the perspective of retail investors, $FHE has been listed on Binance's alpha board and has also participated in the IDO activity of Binance Wallet. It currently has a market value of more than 26 million, which is worth paying attention to. Will it be listed on Binance spot in the future? I think it is likely to be;
in conclusion
Fully homomorphic encryption (FHE) is the cornerstone of the integration of AI and blockchain, providing protection for privacy and security. Mind Network has demonstrated the practical application and future potential of FHE through projects such as AgenticWorld, MindChain and Swarms Shield. With the rapid development of Web3 and AI, Mind Network's innovation will promote a more secure and trusted digital world. Readers can explore the Mind Network ecosystem to learn how FHE shapes the future (Mind Network Website).
