AMA Recap with MindChats, MindV Epoch 1: Introducing MindV

On October 3rd, the brand-new MindChats series: MindV Epoch1 officially kicked off.

Chris (Mr.Block Founder), Mike (EtherFi CEO), and Kong (Puffer Head of Growth) participated in the discussion, with over 1,000 people watching online.

Recording MindV Epoch 1: https://x.com/i/spaces/1yNGagnoXydxj

Time Stamps

Introduction and Backgrounds (07:00)
Fully Homomorphic Encryption (FHE) and Mind Network’s Use Case (11:04)
Puffer’s Base Rollup and Liquidity Fragmentation (14:16)
Mind V and FHE Use Cases for Restaking Partners (18:26)
Privacy and Confidential Compute in Web3 (28:43)
Points System and Incentives (35:09)
Supporting Solo Stakers and Enhancing Decentralization (39:32)
Embracing Meme Culture (52:06)
Competitor Investment and Collaboration (58:28)

Chris (Mr.Block): Can each of you give a brief introduction about yourself?

• Chris (Mr.Block): I’m Chris, and I’m the host of today’s AMA. I’m an angel investor, advisor, and Youtuber, involved in several crypto projects including Mind Network, Puffer, and EtherFi. Since 2019, I’ve been creating tutorial videos about DeFi, and I’ve gained a deep understanding of these projects.
• Kong (Puffer): I’m Kong, Head of Growth at Puffer. Puffer is an LRT (Liquidity Restaking Token) project with about $1.4–1.5 billion in Total Value Locked (TVL). We’re launching an exciting new product called “Unify,” a base rollup solution designed to address liquidity fragmentation in Ethereum and improve the overall user experience in Web3. The rollup aims to bring gas fees back to the Ethereum main chain, allowing for instant withdrawals and a smoother user experience.
• Mike (EtherFi): I’m Mike, co-founder and CEO of EtherFi. Our mission at EtherFi is to make decentralized finance (DeFi) simpler and more accessible for everyday users. We offer several integrated products, including staking solutions (EtherFi Stake), DeFi strategies (EtherFi Liquid), and a credit card and wallet solution (EtherFi Cash). These products provide users with a comprehensive set of tools to save, invest, and spend in crypto without relying on traditional banks.

Chris (Mr.Block): Christian, could you briefly introduce Mind Network?

• Christian (Mind Network): Mind Network is an FHE (Fully Homomorphic Encryption) layer for Proof of Stake (PoS) networks and AI. Our project focuses on encrypted computation, allowing data to be processed securely while supporting advanced AI and machine learning applications. Our goal is to enhance blockchain security by enabling encrypted computations without exposing the underlying data, which helps boost privacy and trust in the ecosystem.

Chris: Christian, what is Fully Homomorphic Encryption (FHE), and how does it fit with restaking projects like Puffer and EtherFi?

• Christian (Mind Network): FHE is a technology that allows computing on encrypted data without decrypting it. This approach significantly reduces attack vectors and enhances data security because sensitive information remains encrypted throughout the entire process. At Mind Network, we’ve been a pioneer in FHE for two years, and its applications in Web3 are growing quickly.FHE helps create a private shared state for consensus computations, which secures validator networks by reducing the opportunities for bad actors to manipulate or attack nodes. By enforcing this private shared state, we solve problems like the “lazy node problem,” ensuring that each validator performs its duties honestly. Overall, FHE represents a transformative shift toward making blockchain environments more secure and decentralized.

Chris: Kong, could you explain Puffer’s motivation behind the base rollup, and how will FHE be beneficial in that context?

• Kong (Puffer): Our base rollup aims to address liquidity fragmentation in Ethereum. Fragmentation affects the efficiency and cost of transferring value across different chains and L2 solutions, which ultimately hinders user experience. We were approached by Justin Drake from the Ethereum Foundation to collaborate on solving this issue, and that led us to develop the base rollup.This rollup leverages Ethereum validators to process L2 transactions instead of centralized sequencers, thereby bringing gas fees back to the Ethereum chain. It enhances decentralization and scalability while providing users with instant withdrawals, which is a significant improvement over current L2 solutions that require users to wait for several hours or even days.With FHE, our network’s validators can validate transactions without decrypting the data, which helps maintain user privacy. This feature allows us to improve throughput without compromising security, which is critical for making our rollup solution scalable and privacy-preserving.

Chris: Mike, what are the use cases for Mind V and FHE within EtherFi’s ecosystem?

• Mike (EtherFi): With FHE and Mind V, we can enhance the privacy of transactions within EtherFi Cash, our credit card and wallet solution. For instance, FHE can make cashback rewards and other features private so users can interact without revealing sensitive details. This aligns with our mission of simplifying crypto adoption while also protecting user privacy.

Chris: Christian, we have heard about a couple of use cases for Mind V. Are there other potential applications you foresee that could be of interest to other projects as well?

• Christian (Mind Network): I believe that FHE has use cases beyond just what we’ve discussed, particularly in governance and privacy enhancement. Our vision at Mind Network is to provide a stack that allows users to participate in governance without revealing their identities or sensitive information. Think of it like what major asset managers like BlackRock have done — they separated the monetary value of assets from voting rights. In a similar way, we enable users to use their staked assets for governance across the ecosystem without actually moving those assets.FHE can be applied anywhere privacy and security are priorities, and we plan to work with our partners to expand the adoption of these privacy-enhancing technologies across the entire Web3 ecosystem.

Chris: Christian, beyond FHE, what other cryptographic technologies does Mind Network rely on or consider implementing?

• Christian (Mind Network): At Mind Network, we use a range of cryptographic solutions to create a “confidential compute” basket of tools. These include Zero-Knowledge Proofs (ZKP) for input/output validation, Multi-Party Computation (MPC) for selective decryption when needed, and, of course, FHE for keeping data encrypted in computation. ZKP helps maintain data privacy throughout the process, while MPC provides flexibility when decryption under specific conditions is necessary. We see these technologies as complementary tools that will help achieve the long-term vision of a fully encrypted web.

Chris: Kong, will Puffer continue to use a points system for Unify’s rollout, or are you considering other approaches?

• Kong (Puffer): We’ll continue with a points system for Season 2, but we’re committed to ensuring it’s designed fairly. One issue we’ve seen is that users end up with millions of points, which ultimately don’t translate into much value, leading to dissatisfaction. Our goal is to make sure the points earned are proportionate to real incentives, and we’ll focus on providing meaningful rewards for contributors, builders, and creators who support our project.

Chris: Kong, with staking increasingly relying on centralized services, what is Puffer doing to support solo stakers and enhance decentralization?

• Kong (Puffer): Supporting solo stakers is crucial for keeping Ethereum decentralized. Many users choose centralized services like Lido for convenience, but we’re working to make solo staking accessible by lowering barriers such as reducing the minimum staking requirements. Decentralization is key to the security of the network, and we want to ensure that anyone interested can become a validator without facing steep entry hurdles.

Chris: Mike, is EtherFi taking steps to empower solo stakers?

• Mike (EtherFi): We launched an initiative called “Operation Solo Staker” early in our protocol’s life to subsidize the hardware costs associated with solo staking, making it more accessible. We had ambitions to scale this program significantly, but we got caught up in other priorities. Nevertheless, I still think it’s a crucial initiative that we intend to revisit in the future. Decentralization is important, and making sure individual users can easily participate in the network is a big part of that.

Chris: Christian, Kong, and Mike, how are your projects embracing meme culture?

• Christian (Mind Network): Meme coins have shown their ability to grab attention, and it’s all about capturing that attention in this industry. Over the next 12 months, I think we’ll see some of the more savvy meme coins — those that have built a strong community — acquire real technology. For example, Shiba Inu is beginning to embrace confidential compute and is developing its own blockchain. Meme coins have proven to be an effective way to engage users, and I wouldn’t be surprised if some eventually evolve into more legitimate projects.
• Kong (Puffer): I agree with Christian. Memes are a relatable way to build community and liquidity. At Puffer, we’re open to meme projects as long as they provide value to the ecosystem and aren’t just trying to exploit users. We’ve seen projects like NFTs transition from being seen as nonsense to now building real, meaningful value — like what Pudgy Penguins are doing — and I think the same can happen with meme tokens.
• Mike (EtherFi): To be honest, meme culture isn’t a big focus for us right now. We did try something with our Ether Fan NFT project, but it didn’t really take off as much as we’d hoped. I guess you could say we haven’t quite figured out how to master the meme game yet.

Chris: If you had to invest in a competitor’s project (not your own) for the next 10 years, who would it be and why?

• Mike (EtherFi): I’d invest in Puffer. They have a strong technical team, and I think they’re building some deep and impressive tech. I also see opportunities for collaboration between our projects, especially when it comes to expanding into rollups.
• Kong (Puffer): My pick would be EtherFi. They’re doing an excellent job, and I really appreciate their focus on consumer applications. We’re more infrastructure-focused, so we’re actually quite complementary. EtherFi’s continued growth even after the TGE (Token Generation Event) speaks volumes about their approach.
• Christian (Mind Network): For me, it would be Zama, a confidential compute provider. Their team is incredibly passionate, and they’re willing to put in the effort to push the boundaries of cryptography. They’re also a “pick-and-shovel” play, meaning they service nearly all the FHE projects in Web3. If I’m putting my investor hat on, Zama’s dedication and broad portfolio make them an excellent choice.

Chris: What are the next steps for the listeners who are interested in participating with Mind Network?

• Christian (Mind Network): If you’re interested, you can visit our dashboard at dap.mynetwork.xyz to start participating and earning points. You can also participate in activities and earn rewards through our partners like EtherFi and Puffer.

Chris: Could you elaborate on Mind Network’s Tokenized Governance Value (TGV)?

• Christian (Mind Network): TGV stands for Tokenized Governance Value, which refers to the governance potential that we’re unlocking from other projects’ TVL without requiring assets to move out of their vaults. We’re not trying to compete with other restaking projects — our goal is to be complementary to them. We allow users to point their assets toward governance in other networks while their assets remain secure in their preferred vaults. As of now, we’ve accumulated close to $4 billion in TGV, which shows that users are keen on utilizing their staked assets to make meaningful contributions in decentralized governance.

About Mind Network

Mind Network is the first Fully Homomorphic Encryption (FHE) layer for AI and Proof-of-Stake (POS) Networks. The layer accepts restaking tokens from ETH, BTC, and AI bluechips and operates as an FHE validation network, bringing consensus, data, and cryptoeconomic security to Decentralized AI, DePIN, EigenLayer, Symbiotic, and Babylon AVS, and many critical POS networks.

Mind Network is backed by Binance Labs, Hashkey, Big Brain, Chainlink, and received an Ethereum Foundation Grant for their FHE research on Ethereum.

For more insights and updates on Mind Network’s innovations, visit their website and socials:

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