AI is the new frontier of technology, touching industries from healthcare to finance and beyond. While it’s amazing, the centralized nature of AI development raises big questions about data security, ethics, and trust.
Centralized systems operate in silos, using opaque data sources and proprietary algorithms. These closed systems leave users wondering where the data comes from, how it’s processed and can you really trust the output. Recent events have brought this to the forefront, and we need decentralized solutions that prioritize transparency, accountability, and user trust.
The Problem with Opaque AI Practices
The trust deficit in centralized AI is largely due to opaque data practices. A big example is Google’s $60 million a year deal with Reddit to access user-generated content and train AI models like Gemini.
While these agreements allow AI developers to access huge datasets, they also raise questions about consent and data ownership. Users are often not aware that their content on platforms like Reddit is being used for commercial purposes. Lack of explicit consent and transparency creates a chasm between AI developers and the public.
Using unverified or poorly curated data sources can lead to harmful AI outputs. There have been cases where AI systems like chatbots have made dangerous recommendations, including self-harm.
These examples highlight the consequences of not validating data and the risks of deploying AI without proper safeguards. In centralised models, accountability for these failures is diffuse and ends up with the end user.
Dr. Max Li, founder and CEO of decentralized cloud provider OORT, tells Cryptonomist that decentralization addresses critical issues in AI, including transparency, trust, and accountability.
“Traditional centralized systems act like black boxes,” he explained, “where users lack visibility into how data is sourced, processed, or utilized.”
He highlighted the benefits of decentralization, stating, “By redistributing control across a global network, no single entity holds absolute authority. This not only enhances transparency but also empowers users, offering verifiable ownership of their data and greater insight into the AI process.”
How OORT Is Changing the Way We Build AI
OORT is creating a new approach to AI development by using decentralized infrastructure to solve these problems. Unlike traditional centralized systems, OORT’s platform distributes the AI development process across a global network of nodes.
This network includes data centers, personal devices, and other computing resources, as well as a decentralized cloud that is scalable and secure.
OORT uses blockchain to ensure transparency and traceability throughout the AI development process.
Blockchain’s immutable ledger records data provenance, model training, and deployment so you can audit and verify the system. This not only increases security but also addresses privacy concerns, as users have visibility into how their data is being used.
Transparency in AI development is key to building trust. OORT’s decentralized framework removes the black box of centralized systems and gives developers and users verifiable insights into data usage and algorithmic processes. This is a big step forward in making AI systems accountable.
Fixing AI’s Achilles’ Heel: Transparency Through Community
A key part of OORT’s approach is the DataHub platform, where data is community-generated and preprocessed. In contrast, traditional AI models use data collected in ways that are inaccessible or opaque to the public.
OORT’s DataHub involves the user in the data lifecycle, so data contributors are active in ensuring quality and integrity.
DataHub runs on the blockchain, so every contribution is recorded and verified. This reduces the risk of bias or manipulation as data is validated before being used in AI models.
Contributors are incentivized through token rewards so their interests are aligned with the broader goal of building trustworthy AI applications.
Image source: OORT DataHub
OORT also has a patented Proof of Honesty (PoH) algorithm used by its Layer 1 Olympus protocol to further ensure data integrity. This algorithm checks that all processes, from data collection to AI model training, adhere to predefined standards.
By ensuring data is not tampered with, and models work as intended PoH adds an extra layer of security and reliability.
Dr. Li stressed the importance of community involvement in fostering trustworthy AI systems.
“Community involvement is at the heart of trustworthy AI,” he explained. “On platforms like DataHub, contributors actively curate and validate data, ensuring it is high quality and free from bias.”
He contrasted this approach with traditional AI, where data often originates from opaque or questionable sources, leading to unreliable outcomes.
“By incentivizing the community to participate in the AI development process,” Dr. Li added, “we create a collaborative system where everyone has a stake in building ethical, transparent, and robust applications.”
Decentralized AI in Action: OORT’s Real-World Wins
OORT’s decentralized solutions are not just concepts, they have been used in real world scenarios with measurable results. One example is Githon Technology who used OORT’s AI to enhance customer support.
Using OORT’s platform, Githon Technology reduced customer support costs by 40% and achieved 95% user satisfaction. This case study shows the practical benefits of decentralized AI, from cost savings to better user experience.
Decentralization also means resilience and scalability. Centralized systems have single points of failure, OORT’s decentralized infrastructure can adapt to changing demand and risk. That’s why it’s a good option for businesses looking for reliable and scalable AI.
Why Decentralization Is the Missing Puzzle Piece in AI
Decentralization is not just a tech shift but a philosophical one. It’s about systems that put user empowerment, transparency, and trust first. OORT is an example of this by creating a platform where developers and users can build accountable and reliable AI applications.
Decentralized models solve many of the problems of centralized systems, from opaque data practices to security vulnerabilities. They also create opportunities for innovation by enabling collaboration across a global network of contributors. As more developers and organizations move to decentralized platforms, the AI industry will become more inclusive, ethical, and sustainable.
Dr. Li explained how decentralization reshapes the dynamics of AI by addressing critical challenges.
“It helps solve big issues like data sourcing, remuneration for data contribution, system transparency, and accountability,” he says.
He emphasized the inclusive nature of this approach, adding, “Instead of one group being in control, everyone—data contributors, developers, and users—gets a say.”
For technologists and developers, engaging with decentralized AI platforms like OORT means shaping the industry’s future. By contributing to these systems, you can build applications that push the boundaries of tech and align with societal values of trust and transparency.
The problems of centralized AI mean we need a new approach. Decentralized platforms like OORT solve the problems of trust, transparency and data integrity. As the AI landscape evolves, decentralization will be key to building systems we can rely on and trust. OORT’s vision of a transparent, community-driven AI ecosystem is the way forward, we can have confidence in the tech and its impact on society.