How Distributed Ledger Technology (DLT) Will Restore Trust in AI

Rebuilding Trust in AI Through DLT

During the 2024 U.S. election campaign, a deepfake video falsely alleging voter fraud went viral, showcasing AI's potential for misuse. In healthcare, biased data has led to flawed outcomes, jeopardizing patient care. Meanwhile, opaque algorithms have destabilized financial markets, further eroding trust in artificial intelligence. These incidents highlight a critical issue: AI’s risks are escalating, and public confidence is dwindling.

Enter Distributed Ledger Technology (DLT): a solution to restore trust in AI. By bringing transparency, accountability, and ethical governance, DLT is paving the way for a more trustworthy and fair AI ecosystem.

Breaking Open the AI ‘Black Box’

AI systems often function like "black boxes," with opaque processes hiding how decisions are made. This lack of transparency undermines trust, particularly in critical fields like healthcare and finance.

DLT disrupts this model by creating an immutable ledger that records every data input, training update, and system change. This ensures traceability and accountability in AI decision-making processes.

Case in Point:
ProveAI utilizes DLT to secure AI training data and updates, ensuring compliance with ethical standards such as the EU AI Act. This approach provides a verifiable foundation for fair and reliable AI outcomes.

Ensuring Data Integrity

Poor-quality data is a persistent challenge for AI. A 2024 survey by Precisely revealed that 64% of businesses find AI unreliable due to unverified or biased data.

DLT offers a solution by anchoring real-time data to decentralized networks, ensuring it remains accurate, transparent, and immutable. For AI systems leveraging Retrieval Augmented Generation (RAG), DLT ensures only verified, tamper-proof data is used, minimizing risks of misinformation or bias.

Notable Applications:

• Fetch.ai: Optimizes logistics and energy efficiency through DLT-secured external data.
• Ocean Protocol: Facilitates tokenized data sharing, protecting user privacy while ensuring high-quality datasets.

Combatting Misinformation

The rise of deepfakes poses a significant threat to truth and trust. In 2024, Ofcom reported that 43% of people aged 16+ encountered at least one deepfake online.

DLT-powered platforms like Truepic tackle this challenge by integrating blockchain-based image authentication, timestamping, and media verification. By incorporating such verified data into AI workflows, DLT enhances fact-checking capabilities and reinforces trust in AI-generated content.

Decentralized Governance for Ethical AI

Centralized governance models often struggle to manage AI’s complexities, leading to slow innovation and ethical blind spots. DLT-powered Decentralized Autonomous Organizations (DAOs) offer an alternative by enabling transparent, stakeholder-driven decision-making.

Example:
SingularityNET uses a DAO framework to align AI projects with ethical principles, ensuring inclusivity and accountability while fostering innovation.

Global Standards and the Path Forward

As AI increasingly relies on cross-border data, the need for secure, transparent systems like DLT has never been greater. Initiatives such as the MediLedger Network in pharmaceuticals and the European Blockchain Services Infrastructure (EBSI) are leading the way, but global regulatory alignment is essential to avoid fragmentation.

Governments, enterprises, and civil society must collaborate to establish universal standards. DAOs can also evolve to provide flexible governance as AI technologies advance.

Conclusion: A Call to Action

AI's risks will only grow if left unchecked. Now is the time for decisive action to ensure AI aligns with humanity’s best interests. DLT offers the foundation for a future of ethical AI—transparent, accountable, and equitable. It’s up to us to act boldly and make that vision a reality.