The Ethereum Foundation (CRYPTO: $ETH) has launched a new system that lets users pay for artificial intelligence (A.I.) models without revealing their identity.
The system, called zkAPI, is part of the "Open Anonymity Project," an open-source A.I. privacy initiative and it is now live on the Ethereum mainnet.
The Open Anonymity Project says that its aim is to develop infrastructure where privacy and sovereignty is foundational and people are in control.
To use the new zkAPI system, users first deposit tokens such as Ethereum into a vault contract on the ETH network, which records the user's balance as a private note.
To spend the tokens, software on the user's device generates a zero-knowledge proof which shows that its request is backed by a funded note, though it does not reveal which note or funds
A zkAPI server checks the zero-knowledge proof and issues a temporary API key with a spending cap.
The user then sends their prompts directly to the A.I. model provider along with that key, and when it expires, the server deducts the usage from the user's private balance.
A serial number called a "nullifier" is also published each time a user pays for A.I. usage. The Ethereum Foundation says that A.I. chat and agents are the first use cases for the system.
Other listed applications include blockchain queries, image and video generation, VPN bandwidth, and machine-to-machine payments between A.I. agents.
Ethereum is trading at $2,765.00 U.S. on Oct. 2.