In the Web3 era, TEE (Trustable Execution Environment) is becoming a key cornerstone for data security and privacy computing. From MEV protection to AI computing, from decentralized finance to the DePIN ecosystem, TEE is building a safer and more efficient crypto world. This report will take you into delving into this cutting-edge technology and reveal how it can reshape the future of Web3.

Chapter 1: The Rise of TEE – Why is it the core puzzle of the Web3 era? 1.1 What is TEE?

Trusted Execution Environment (TEE, Trusted Execution Environment) is a hardware-based secure execution environment that ensures that data is not tampered, stolen or leaked during the calculation process. In modern computing systems, TEE provides additional security for sensitive data and computing by creating an isolated area independent of the operating system (OS) and applications.

Core features of TEE

Isolation: TEE runs on the CPU Protected area, isolated from operating systems, other applications, and external attackers. Even if the hacker breaks through the main operating system, the data and code inside TEE remain secure.

Integrity: TEE ensures that code and data are not tampered with during execution.

With Remote Attestation, TEE can verify externally that it executes trusted code.

Confidentiality: TEE internal data will not be accessed externally, and it cannot be read even by device manufacturers or cloud providers. The Sealed Storage mechanism is adopted to ensure that sensitive data remains safe after the device is powered off.

1.2 Why does Web3 need TEE?

In the Web3 ecosystem, privacy computing, secure execution and censorship resistance are core requirements, and TEE happens to provide this critical capability. Currently, blockchain and decentralized applications (DApps) are facing the following problems:

1.2.1 Privacy issues on blockchain

Traditional blockchains (such as Bitcoin, Ethereum) have complete transparency The characteristics of all transactions and smart contract data can be viewed by anyone. This brings the following problems:

User privacy leak: Purchase on DeFi transactions, NFTs In scenarios such as social applications, the flow of funds and identities of users may be tracked.

Enterprise data leakage: Enterprises want to use blockchain technology, but sensitive data ( Such as trade secrets and medical records) cannot be stored on the public chain.

TEE Solution: Through the TEE+ smart contract combination, developers can build private computing contracts, only Authorized users can access the calculation results, while the raw data is hidden from the outside. Secret Network (TEE-based privacy smart contract platform) has implemented this model, allowing developers to create DApps that protect users' privacy.

1.2.2 MEV (Miner Extractable Value) problem

MEV (Miner Extractable Value) refers to a miner or block Producers use the transparency of transaction information to arbitrage when packaging transactions. For example: Front-running: Miners or robots pre-submit transactions before users trade to make profits. Sandwich Attack: Attack TEE Solution: Through TEE, transactions can be sorted in a private environment to ensure miners The transaction details cannot be seen in advance.

Flashbots is exploring the TEE+ Fair Sequencing scheme to reduce the impact of MEV on DeFi.

1.2.3 Web3 computing performance bottleneck

The computing power of public chains is limited, and on-chain computing is expensive and inefficient . For example: Ethereum Gas is expensive, and the cost of running complex smart contracts is extremely high. Blockchain cannot efficiently support itComputational tasks such as AI computing, image processing, complex financial modeling, etc.

TEE Solution: TEE can be used as the core component of a decentralized computing network, allowing smart contracts to outsource computing tasks to a trusted environment for execution and return trusted Calculation result.

Representative project: iExec (providing a decentralized cloud computing platform based on TEE).

1.2.4 Trust issues in DePIN (decentralized physical infrastructure)

DePIN (Decentralized Physical Infrastructure Networks) is a new trend in the Web3 field, such as: Helium (decentralized 5G network), Filecoin (decentralized storage), Render Network (decentralized rendering)

DePIN relies on trustless computing and verification mechanisms, and TEE can be used to ensure the trustworthiness of data and computing tasks. For example: a data processing device can perform calculation tasks within the TEE to ensure that the calculation results have not been tampered with. TEE combines remote proof technology to provide trusted computing results to blockchain to solve the fraud problem in the DePIN ecosystem.

1.3 Comparison of TEE with other privacy computing technologies (ZKP, MPC, FHE)

At present, privacy computing technologies in the Web3 field mainly include:

TEE (trusted execution environment)

Advantages: High efficiency, low latency, suitable for high throughput computing tasks, such as MEV protection, AI computing, etc.

Disadvantages: Relying on specific hardware, there are security vulnerabilities (such as SGX attacks).

ZKP (zero knowledge proof)

Advantages: Mathematically prove the correctness of data, no need to Trust third parties.

Disadvantage: high calculation overhead, not applicable to large-scale regulationsModal calculation.

MPC (multi-party computing)

Advantages: No need to rely on a single trusted hardware, suitable for Decentralized governance and privacy payment.

Disadvantages: Low computing performance and limited scalability.

FHE (full homomorphic encryption)

Advantages: It can be performed directly in the encryption state Computing, suitable for the most extreme privacy needs.

Disadvantages: The calculation overhead is extremely large and it is difficult to commercially apply.

Chapter 2: Technical insider of TEE - In-depth analysis of the core architecture of trusted computing

Trust Execution Environment (TEE) is a hardware-based secure computing Technology aims to provide an isolated execution environment to ensure the confidentiality, integrity and verifiability of data. With the rapid development of blockchain, artificial intelligence and cloud computing, TEE has become an important part of the Web3 security architecture. This chapter will deeply explore the core technical principles, mainstream implementation solutions and their applications in data security.

2.1 Basic principles of TEE

2.1.1 TEE working mechanism

TEE support through hardware , create a protected isolation area inside the CPU to ensure that code and data are not accessed externally or tampered with during execution. It is usually composed of the following key components:

Secure Memory: TEE uses a dedicated encrypted memory area (Enclave or Secure World) inside the CPU. The data inside cannot be accessed or modified by external programs.

Isolated Execution: Code running in TEE is independent of the main operating system (OS). Even if the OS is attacked, TEE can still ensure data security. .

Sealed Storage: Data can be encrypted with a key and stored in a non-secure environment. Only TEE can decrypt this data.

Remote Attestation: Allows remote users to verify that TEE has run trusted code to ensure that the calculation results have not been tampered with.

2.1.2 TEE's security model

TEE's security model relies on the minimum trust assumption (Minimal Trusted Computing Base, TCB), i.e.:

Trust only the TEE itself, but not the main operating system, driver or other external components.

Use encryption technology and hardware protection to prevent software and physical attacks.

2.2 Comparison of the three mainstream TEE technologies: Intel SGX, AMD SEV, ARM TrustZone

At present, the mainstream TEE solutions are mainly composed of three chips: Intel, AMD and ARM Provided by the manufacturer.

2.2.1 Intel SGX (Software Guard Extensions)

TEE technology launched by Intel , first appeared in Skylake and subsequent CPUs. Provide a secure computing environment through Enclave (encrypted isolation zone), suitable for cloud computing, blockchain privacy contracts, etc.

Core features. Enclave-based memory isolation: Applications can create protected Enclaves that store sensitive code and data.

Hardware-level memory encryption: The data in Enclave is always encrypted outside the CPU and cannot be read even if the memory is dumped.

Remote proof: Allows remote verification Enclave to run untampered code.

Light: Enclave memory limit (early 128MB, scalable to 1GB+). Vulnerable to side channel attacks (such as L1TF, Plundervolt, SGAxe). Complex development environment (need to write specialized applications using the SGX SDK).

2.2.2 AMD SEV (Secure Encrypted Virtualization)

TEE technology launched by AMD , mainly used for secure computing in virtualized environments. Suitable for cloud computing scenarios, providing virtual machine (VM) level encryption protection.

Core features

Full memory encryption: using the CPU internal key to the entire VM Memory is encrypted.

Multiple VM isolation: Each VM has an independent key to prevent different VMs on the same physical machine from accessing each other's data.

SEV-SNP (latest version) supports remote proofing to verify the integrity of VM code.

Light: only for virtualized environments, not for non-VM applications. The performance overhead is high, and encryption and decryption increase the computing burden.

2.2.3 ARM TrustZone

The TEE solution provided by ARM is widely used in mobile Devices, IoT devices and smart contract hardware wallets.

Secure World (safe environment) and Normal World (normal environment) are provided through CPU-level partitions.

Core features

Lightweight architecture: does not rely on complex virtualization technologies, Suitable for low-power devices.

System-level TEE support: supports secure applications such as encrypted storage, DRM, and financial payments.

Hardware-based isolation, different from SGX's Enclave mechanism.

Limitations: Security level is lower than SGX and SEV, because Secure World relies on the implementation of device manufacturers. Development is limited, some functions can only be opened by device manufacturers, and third-party developers have difficulty accessing the full TEE API .

2.3 RISC-V Keystone: The future hope of open source TEE

2.3.1 Why do you need open source TEE?

Intel SGX and AMD SEV are proprietary technologies and are limited by manufacturers. RISC-V, as an open source instruction set architecture (ISA), allows developers to create customized TEE solutions to avoid security issues in closed source hardware.

2.3.2 Key features of Keystone TEE

Based on the RISC-V architecture, completely open source. Supports flexibility The security strategy of developers can define their own TEE mechanism. It is suitable for decentralized computing and the Web3 ecosystem, and can combine blockchain for trusted computing.

2.3.3 Future development of Keystone

may become a critical infrastructure for Web3 computing security, avoiding dependence on Intel or AMD. The community promotes stronger security mechanisms, Reduce the risk of side channel attacks.

2.4 How does TEE ensure data security? From encrypted storage to remote authentication

2.4.1 Sealed Storage

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Remote server can verify whether the code run by TEE is trustworthy. Prevent malicious tampering. In the Web3 field, the environment that can be used to verify the execution of smart contracts is trustworthy.

2.4.3 Side channel attack protection

The latest TEE design uses memory encryption, data access randomization and other means to reduce the risk of attack. The community and vendors continue to fix TEE-related vulnerabilities, such as Spectre, Meltdown, and Plundervolt.

Chapter 3: Application of TEE in the crypto world - From MEV to AI computing, a revolution is taking place

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3.1 Decentralized computing: How to use TEE to solve the bottleneck of Web3 computing?

Blockchain has the advantages of censorship resistance and high credibility due to its decentralized characteristics, but there are still significant bottlenecks in terms of computing power and efficiency. Current decentralized computing platforms (such as Akash and Ankr) are trying to solve these problems through TEE to provide a high-performance and secure computing environment for the Web3 ecosystem.

3.1.1 Challenges of Web3 computing

Constrained computing power: Ethereum and other areas Smart contracts on blockchain are slow to execute and cannot handle large-scale computing tasks such as AI training or high-frequency financial computing.

Data privacy issues: On-chain computing is transparent and cannot protect sensitive data, such as personal identity information, trade secrets, etc.

High computing costs: Running complex computing (such as ZK proof generation) on the blockchain is extremely costly, limiting the expansion of application scenarios.

3.1.2 Akash & Ankr: TEE-enabled decentralized computing

Akash Network

Akash provides a decentralized cloud computing market that allows users to rent computing resources. TEE in itApplications include:

Privacy computing: Through TEE, users can run confidential computing tasks in a decentralized environment without exposing code and data.

Trustful computing market: Akash ensures that the leased computing resources have not been tampered with through TEE, improving the security of computing tasks.

Ankr Network

Ankr provides decentralized computing infrastructure, especially in Web3 cloud services and RPC fields have advantages. TEE application in Ankr:

Secure remote computing: Use TEE to ensure that the computing tasks executed in the cloud run in a trusted environment to prevent data leakage.

Censorship resistance: TEE combines a decentralized computing architecture, allowing Ankr to provide censorship-resistant computing resources for privacy DApps.

3.1.3 Future Outlook

As the demand for Web3 computing grows, TEE will become Standard components of decentralized computing networks make them more competitive in terms of privacy protection, efficiency and security.

3.2 Trust MEV Transaction: Why is TEE the optimal solution?

MEV (maximum extractable value) is the core issue in blockchain transaction sorting, involving complex strategies such as arbitrage, sandwich attacks, and clearing. TEE provides a trustless MEV solution through trusted computing and crypto transactions, reducing the possibility of evil committed by miners and validators.

3.2.1 Current status and challenges of MEV

Front-running: Miners can snatch the sandwich attack before user transactions.

Sorting Centralization: Flashbots and other MEV solutions still rely on a centralized sorter.

Information leakage risk: The current MEV bidding system may expose transaction lettersand affect fairness.

3.2.2 TEE-enabled MEV solution

Flashbots & TEE: Flashbots Explore TEE as a key technology for trustless transaction sorting (MEV Boost). Transactions can be encrypted and sorted within TEE, preventing miners or validators from tampering with transaction order.

EigenLayer & TEE: EigenLayer guarantees the fairness of the restaking mechanism through TEE and prevents malicious manipulation of MEVs. Remote proof is performed through TEE to ensure that the MEV bidding system is not manipulated.

3.2.3 Future Outlook

TEE can provide "trustless sorting" in the MEV field and "privacy transactions", reduce miner manipulation, improve fairness, and provide a fairer trading environment for DeFi users.

3.3 Privacy Protection Computing & DePIN Ecosystem: How does Nillion build a new generation of privacy network empowered by TEE?

Privacy computing is an important challenge in the Web3 ecosystem, especially in the field of DePIN (Decentralized Physical Infrastructure Network). TEE provides strong privacy protection for projects such as Nillion through hardware-level encryption and isolation execution.

3.3.1 Nillion's privacy computing solution

Nillion is a blockchain-free The decentralized privacy computing network combines TEE and MPC (multi-party computing) to achieve data privacy protection:

Data sharding processing: encrypted computing through TEE, Prevent sensitive data breaches.

Privacy Smart Contract: Nillion allows developers to build private DApps, and data is only visible inside TEE.

3.3.2 Application of TEE in the DePIN ecosystem

Smart Grid: Use TEE to protect user energy data privacy and prevent abuse.

Decentralized storage: In combination with Filecoin, ensure that data is stored in TEE Internal processing to prevent unauthorized access.

3.3.3 Future Outlook

Nillion and Similar projects may become the core infrastructure of Web3 privacy computing, in which TEE plays an indispensable role.

3.4 Decentralized AI: How to use TEE to protect AI training data?

The combination of AI and blockchain is becoming a hot trend in the Web3 field, but AI training faces data privacy and computing security issues. TEE can protect AI training data, prevent data breaches, and improve computing security.

< p style="text-align: left;">3.4.1 Bittensor & TEE

Bittensor is a decentralized AI computing network that uses TEE to protect AI training Data privacy of the model.

Using remote proof, ensure that the AI ​​computing nodes have not been tampered with, and provide trusted AI computing services.

3.4.2 Gensyn & TEE

Gensyn allows developers to run AI training tasks in a decentralized environment, and TEE ensures data confidentiality

Combining zero-knowledge proof (ZKP) and TEE, it realizes credibility verification of decentralized AI computing.

3.5 DeFi Privacy and Deletion Centralized Identity: How to use TEE to protect smart contracts?

3.5.1 DeFi Privacy Issues

Traditional Smart contracts are transparent, all transaction data are public, and there is huge demand for privacy DeFi.

user hopesWe hope to protect transaction data, such as balances, transaction records, etc.

3.5.2 Secret Network & TEE

Private smart contract: Secret Network uses TEE protection Smart contract execution makes transaction data visible only within TEE.

Decentralized Identity (DID): TEE can be used to store user identity information to prevent identity leakage, and also supports KYC compatibility.

3.5.3 Future Outlook

TEE will be in the field of DeFi privacy and decentralized identity Play an increasingly important role in providing stronger privacy protection for decentralized finance.

Chapter 4: Conclusion and Outlook-How will TEE reshape Web3?

Trustable Execution Environment (TEE) has shown great potential in many scenarios as one of the important technologies in the field of encryption. With the continuous development of the Web3 ecosystem, the role of TEE will become more critical, especially in the fields of decentralized infrastructure, privacy protection computing, smart contracts, etc. This chapter will summarize the current status of TEE technology, look forward to how it can drive Web3, and analyze potential business models and token economics opportunities in the crypto industry.

4.1 How does trusted computing drive the development of decentralized infrastructure?

4.1.1 Necessity of decentralized computing

With the rise of decentralized technology, tradition The centralized computing architecture is gradually unable to meet the needs of the Web3 ecosystem. Decentralized computing can not only improve the security and fault tolerance of the system, but also enhance the transparency and censorship resistance of the network. However, decentralized computing systems face many challenges: Trust issues: Instability in trust between nodes may lead to data tampering or untrustworthy results.

Privacy Issue: In a decentralized environment, how to protect user data privacy has become a major problem.

Performance problems: Decentralized computing may face uneven distribution of computing resources and low throughput, etc.Performance bottleneck.

4.1.2 The role of TEE in decentralized infrastructure

TEE technology is positive It is the key to solving these problems. By providing a protected, isolated computing environment, TEE provides the following support for decentralized computing systems:

Detrustworthy computing: Even if not complete In the case of trust, TEE can also ensure the integrity of the computing process and the confidentiality of the data.

Privacy protection: TEE can perform encrypted calculations without leaking data to protect user privacy.

Enhanced performance: With the development of hardware TEE solutions, computing throughput is expected to be significantly improved.

TEE will become the core technical support in decentralized computing networks (such as Akash and Ankr), promoting the maturity and popularization of decentralized infrastructure.

4.2 Potential business models and token economics opportunities for TEE

4.2.1 TEE-driven business models

As TEE technology gradually becomes popular, many emerging business models and platforms are beginning to emerge. Here are several major business models:

Decentralization Computing market: Platforms such as Akash, Ankr, etc. allow users to rent computing resources through decentralized computing markets, and ensure the credibility and privacy of computing through TEE.

Privacy computing service: Companies that provide TEE-based privacy protection computing services can provide data encryption and computing protection services for the financial, medical, insurance and other industries, and make profits The mode is mainly charged according to the calculation task.

Distributed computing and storage: TEE can be applied in decentralized storage and computing platforms to ensure data security and trustworthiness in distributed systems. Business opportunities include revenue from storage fees and calculating service fees.

Blockchain infrastructure provider: provides dedicated hardware or software tools to enable Web3 projects to run smart contracts and executions in a TEE environmentDecentralized Application (DApp).

4.2.2 TEE's token economics opportunities

In the Web3 and crypto ecosystem , TEE can be deeply integrated with token economics to bring new value creation opportunities. Specific opportunities include:

Tokenized computing resources: Decentralized computing platforms can exchange computing resources through tokens, and users and node operators can use Cryptocurrency participates in computing tasks, submitting and verifying data, and the exchange of all computing resources and tasks is performed through smart contracts.

Token incentives for TEE services: TEE-based privacy computing services can use tokens as user incentives or payment methods to ensure the smooth execution of privacy computing tasks and verify.

Decentralized identity and data exchange: TEE can provide technical support for decentralized identity (DID) systems to ensure user data privacy while also pursuing tokenization to promote the popularization of decentralized identity and data exchange.

4.3 Key development directions of TEE in the crypto industry in the next five years

4.3.1 Deep integration of TEE and Web3

In the next five years, TEE technology will play a more important role in Web3, especially in the following key areas:

Decentralization Finance (DeFi): TEE will be widely used in DeFi protocols to ensure users' transaction privacy and credibility in computing processes, while improving the security of smart contracts.

Privacy calculation: With the improvement of privacy protection regulations in various countries, privacy calculation will become a core component of Web3. The combination of TEE with privacy computing technologies such as Zero Knowledge Proof-of-the-Knowledge (ZKP), homomorphic encryption (FHE) will provide Web3 with a more trusted privacy protection solution.

Decentralized Artificial Intelligence (AI): TEE provides a secure computing environment for decentralized AI, supporting the security training and inference of AI models, thereby realizing Decentralized intelligent applications.

Cross-chain computing: with the zoneWith the continuous expansion of the blockchain ecosystem, TEE will promote trusted computing between different chains, making cross-chain asset exchange and data processing more secure and efficient.

4.3.2 TEE's hardware and protocol innovation

With the continuous development of TEE technology , hardware and protocol innovations will drive their performance and security improvements:

Hardware innovations: such as RISC-V Keystone and Intel TDX (Trustable Execution Extensions) Next-generation hardware TEE solutions are expected to surpass existing solutions in terms of performance, security and scalability.

Protocol innovation: The integration of TEE with multi-party secure computing (MPC), zero-knowledge proof (ZKP) and other technologies will promote new privacy protection protocols and trustlessness The birth of the agreement.

Decentralized hardware platform: The decentralized computing hardware platform will break through the traditional single supplier model and promote more small nodes to participate in the trusted computing ecosystem. This will maximize the utilization of decentralized computing resources.

4.3.3 The evolution of regulatory compliance and privacy protection

With global privacy protection The stricter regulations, TEE's innovation in compliance will be a key development direction in the next five years:

Multi-country compliance solutions: TEE technology will be based on different and regional privacy protection regulations (such as GDPR, CCPA, PIPL) are adapted and innovated to ensure that the decentralized computing environment complies with global data protection requirements.

Transparent privacy computing: The combination of TEE and technologies such as ZKP will make the privacy computing process verifiable, thereby enhancing regulatory authorities’ trust and promoting compliance implementation.

Chapter 5 Summary

TEE technology has wide application potential in the Web3 ecosystem. It can not only provide a trustless computing environment, but also effectively protect user privacy. With the continuous development of TEE technology, it will play an increasingly important role in decentralized computing, privacy protection, smart contracts and other fields, promoting the maturity and innovation of the Web3 ecosystem. At the same time, TEE will also give birth to new business models and token economics opportunities, bringing more prices to the crypto industryValue creates opportunities. In the next five years, with hardware innovation, protocol development and regulatory adaptation, TEE will become one of the indispensable core technologies in the crypto industry.