An On-Chain Firewall is a security mechanism implemented directly within a blockchain protocol to filter, restrict, or monitor transactions based on predefined rules. Unlike traditional firewalls, it operates within the decentralized network’s logic, leveraging smart contracts to enforce security policies. This system aims to prevent malicious activities, enforce compliance, or protect network resources by vetting transactions before they are processed. It provides a native security layer for decentralized applications.
Context
On-Chain Firewalls are discussed in news concerning blockchain security and regulatory compliance, particularly for enterprise-grade decentralized applications. The technical challenges of implementing such systems without compromising decentralization are a key area of research and development. Their potential to enhance security and meet regulatory requirements for institutional adoption makes them a significant innovation. This technology represents an important step towards more controlled and secure on-chain environments.
The Proof of Inference Model (PoIm) enables cost-effective, on-chain machine learning inference to function as a real-time transaction firewall, mitigating billions in DeFi exploits.
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