
What Ethereum’s Privacy Limits Mean For AI And DeFi
Imagine an Ethereum DeFi team in early 2026 building an AI-powered credit scoring protocol. They hit a familiar wall. The model depends on sensitive financial and behavioral data, inputs that cannot safely touch a public blockchain without exposing users or triggering regulatory scrutiny. The traditional workaround is equally familiar. Teams push the sensitive logic off-chain to centralized servers. In doing so, they reintroduce single points of failure, trust assumptions, and a larger attack surface, undermining the decentralization they set out to achieve. This irony has defined much of Web3’s last decade. Public blockchains excel at transparent finance, yet they struggle…








