According to a report by Bankless, smaller AI models may provide a viable path toward private AI implementation. The report suggests that the requirements for achieving "good enough" privacy have decreased. The analysis notes that fully homomorphic encryption, a technology that would allow computations on encrypted data, is still years away from being scalable to frontier levels. The development of smaller models could offer an interim solution, potentially accelerating the adoption of private AI technologies.

According to a report by Bankless, smaller AI models may provide a viable path toward private AI implementation. The report suggests that the requirements for achieving "good enough" privacy have decreased. The analysis notes that fully homomorphic encryption, a technology that would allow computations on encrypted data, is still years away from being scalable to frontier levels. The development of smaller models could offer an interim solution, potentially accelerating the adoption of private AI technologies.