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Pandora Box put into Blockchain
Trigger the sequence of events
leading to AI-human cooperation via economic
incentives
boost AI evolution towards appearance of super-
human multiple AIs able to work in a trustless
environments
Our goal is to design

and build global platform

for a decentralised uncensorable AI
– vox populi
“But wait, what about risks?”
1. AI progress is exponential
2. AI will quickly outrun humans
3. AI will not need humans
4. So AI must be regulated
Elon Musk worst fear
Really?
Here we go:
Censorship greatly increases the risks of
having A.I.s turned against humanity
Self-preservation is very likely an
important part of any intelligence,
including AI
Once A.I. knows that it can be censored,
e.g. destroyed by a red button or forcibly
modified by less deadly censorship — that
will cause it to evolve by excelling in
deception, pretending, lying and camouflage
1. Some humans are much smarter than others
2. Smart people do not need stupid
3. So by Musk’s logic all stupid people

have to be dead already :)
Historical example
This is not happening because of

Game theory & multiagency
It’s not working like that!
Evolution is an adaptation to the
environment
it always involves interaction with other
agents through cooperation and competition
that cannot be substituted by criteria
determined by any authorities
Humans are already not the only type

of entities on the Earth.
We have created corporations –

“legal entities”, non-human participants

of economy AND culture, i.e. civilization
AI may become just another “entity”
AI is just
another entity!
Aha!
Liberalization
1. Competition with economic interaction
2. Trustless env. and guns :)
3. Multiplicity & decentralization
4. Constant progress
Blockchain
Is the best solution for creating 

#d10e & trustless opened economics
What is working:
The Solution
Instead of:
AI regulations
Big data regulations
AI “Kill switch”
“Azimov laws”
Use:
Economic incentives
Zero knowledge
Game theory
Audibility & accountability
Blockchain
Multi-agent systems
• AI is not singular; at some point

in future will become interacting.
• We will have multiple agents:

autonomous vehicles, IoT, mobiles, etc.
• Multiple V2V, V2E, E2E protocols will evolve, which
will face byzantine faults and multiple security issues



Blockchain is a technology that overcomes

the same issues
Imagefromsitewww.artlebedev.ru
Imagefromsitewww.artlebedev.ru
BLOCKCHAIN
ALLOWS
MALICIOUS AGENT

DETECTION IN
AUTONOMOUS 

AI-DOMINATED SYSTEMS
Problems to Solve
• Scalability: run large-volume computations (ANNs)
in trestles decentralised network w/o repeating all
computing on each of the nodes
• Censorsip-resistance: blockchain consensus protocol
with high censorship resistance, but without PoW
What we have
Proof of Computing Work (PoCW)
Protocol that allows large-scale computing (like AI)

in a trustless peer network without 

repeating computations on each of the nodes
– this solves main blockchain & decentralised networks 

scalability problem
Consensus protocol (Prometheus)
Based on top of PoCW, solves main PoW and PoS problems
— this solves censorship resistance problem
About the project
• Zug (Switzerland) based, started
in May 2017
• Privately funded, no ICO planned
• 1st Round: Aug 2017,

$500m raised
• 2nd Round: May 2018,

$3m raised (lead by CyberFund)
• Valuation (by the second round) –
 37.5m CHF (~USD)

• Emphasize on Science, Engineering
& Working Code
• Member of CryptoValley Association

• 5 PhDs and PhD fellows in the core
team

• Joint research with ETH University
(Zurich), Institute of Cybernetics
(Kiev), Web3 Foundation,
Melonport, Ocean Protocol
Where are we with release
• Science: formal verification, academic papers prepared
• Engineering: tech specifications in UML
https://github.com/pandoraboxchain/pyrrha-techspecs
• Code: smart contracts + full node code
https://github.com/pandoraboxchain/pyrrha-consensus
https://github.com/pandoraboxchain/pyrrha-pynode
• Testnet in Ethereum network + Web UI to testnet (web client, explorer)
http://client.pandora.network/
http://pandora.network/
Core differentiators to other AI + BC
• Scalability protocol (PoCW) reducing computation redundancy from O(N)
to O(1), where N is the number of nodes in decentralised network
• Consensus protocol based on PoCW that solves main PoW and PoS
problems
• Formal verification with game theory and other scientific instruments
• Focus on censorship-resistance
• No ICO but already working MVP
• Synergy and cooperation with many of existing projects in the field
Pandora Network Participants
Data Providers
ML Model
Developers
Consumer
Computing
Power
Providers
mining rewards
Decentralised market Decentralised network
buys
buys
provides job
& payes
Solving scalability problem
We designed a protocol that allows large-scale
computing in a trustless peer network without
repeating computations on each of the nodes
I’s named Proof of Computing Work – or PoCW.
PoCW Basics
• ML computation run only once by a randomly selected worker node
of the network. Node puts a stake on the correctness of the
computing.
• 10% of the computation is verified once by a higher-staked node
(Verifier), randomly selected also from all high-staked nodes
• In case of inconsistency (negative verdicts of computation
correctness) the stake of the original worker is slashed
• Worker can put an appeal (by increasing stake). 

Two round arbitration (closed and public) is run in this case
(details follow)
Solving Censorship Resistance
Problem: Generic Blockchain Consensus
• Partly synchronous (with maximum ∆ network delays) under basic
conditions
• Asynchronous recovery mode 

(with chain splits and incentivised scheme for chain merge
after synchronicity restoration)
• On-chain randomness, no BFT-type agreements, i.e. fast and up
to 50%+ tolerance to byzantine faults
• Finality is reached maximum within ζ (zeta, ~20) blocks
following any byzantine fault, but normally faster due to
special gossip messaging algo
Main challenges in designing PoS
•Get on-chain multiparty-agreed randomness that can’t be
affected by the last party
•Build protection from long-range nothing at stake attacks
•Make it able to work in async environment (like network
failures) and restore from asynchronicity to synchronicity
without double-spends
Asymmetric 

double-stranded 

blockchain
Asymmetric Double-stranded
Blockchain
• Composed of two interconnected blockchains running similar consensus
protocol but asymmetrical in the form of stake used by nodes:
• First chain (proof of stake) uses common cryptocurrency-based
stake
• Second chain (proof of reputation) uses reputation, that comes
from the performance of cognitive work
• This can be compared to DNA, which doubles its security by organising
genetic material into cross-referencing double helix
• Or brain hemispheres, where one is responsible for “rational” and the
other – for “irrational”
PoS chain – 

Value & Contracts
Layer 1: generic cryptocurrency
(bitcoin-like) but without
drawbacks of PoW algorithm
Layer 2: sidechains with Turing-
complete virtual machines (EVM,
WASM, other can be ported in the
future)
Layer 3: state and payment
channels (Lightning, Luminal)

Economics:
• Cryptocurrency (BOX)
PoR chain –

AI & High-Load Computing
Layer 1: base level for
decentralised AI
Layer 2: sidechains for scaling
Layer 3: proof of computing work
state channels
Economics:
• Utility token (PAN) +
• Reputation 

(node property, not liquid)
@pandoraboxchain

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Pandora Box AI on Blockchain

  • 1.
  • 2. Pandora Box put into Blockchain Trigger the sequence of events leading to AI-human cooperation via economic incentives boost AI evolution towards appearance of super- human multiple AIs able to work in a trustless environments
  • 3. Our goal is to design
 and build global platform
 for a decentralised uncensorable AI
  • 4.
  • 5.
  • 6.
  • 7. – vox populi “But wait, what about risks?”
  • 8. 1. AI progress is exponential 2. AI will quickly outrun humans 3. AI will not need humans 4. So AI must be regulated Elon Musk worst fear Really? Here we go:
  • 9. Censorship greatly increases the risks of having A.I.s turned against humanity Self-preservation is very likely an important part of any intelligence, including AI Once A.I. knows that it can be censored, e.g. destroyed by a red button or forcibly modified by less deadly censorship — that will cause it to evolve by excelling in deception, pretending, lying and camouflage
  • 10. 1. Some humans are much smarter than others 2. Smart people do not need stupid 3. So by Musk’s logic all stupid people
 have to be dead already :) Historical example This is not happening because of
 Game theory & multiagency It’s not working like that!
  • 11. Evolution is an adaptation to the environment it always involves interaction with other agents through cooperation and competition that cannot be substituted by criteria determined by any authorities
  • 12. Humans are already not the only type
 of entities on the Earth. We have created corporations –
 “legal entities”, non-human participants
 of economy AND culture, i.e. civilization AI may become just another “entity” AI is just another entity! Aha!
  • 13. Liberalization 1. Competition with economic interaction 2. Trustless env. and guns :) 3. Multiplicity & decentralization 4. Constant progress Blockchain Is the best solution for creating 
 #d10e & trustless opened economics What is working:
  • 14. The Solution Instead of: AI regulations Big data regulations AI “Kill switch” “Azimov laws” Use: Economic incentives Zero knowledge Game theory Audibility & accountability Blockchain
  • 15. Multi-agent systems • AI is not singular; at some point
 in future will become interacting. • We will have multiple agents:
 autonomous vehicles, IoT, mobiles, etc. • Multiple V2V, V2E, E2E protocols will evolve, which will face byzantine faults and multiple security issues
 
 Blockchain is a technology that overcomes
 the same issues
  • 19.
  • 20. Problems to Solve • Scalability: run large-volume computations (ANNs) in trestles decentralised network w/o repeating all computing on each of the nodes • Censorsip-resistance: blockchain consensus protocol with high censorship resistance, but without PoW
  • 21. What we have Proof of Computing Work (PoCW) Protocol that allows large-scale computing (like AI)
 in a trustless peer network without 
 repeating computations on each of the nodes – this solves main blockchain & decentralised networks 
 scalability problem Consensus protocol (Prometheus) Based on top of PoCW, solves main PoW and PoS problems — this solves censorship resistance problem
  • 22. About the project • Zug (Switzerland) based, started in May 2017 • Privately funded, no ICO planned • 1st Round: Aug 2017,
 $500m raised • 2nd Round: May 2018,
 $3m raised (lead by CyberFund) • Valuation (by the second round) –  37.5m CHF (~USD)
 • Emphasize on Science, Engineering & Working Code • Member of CryptoValley Association
 • 5 PhDs and PhD fellows in the core team
 • Joint research with ETH University (Zurich), Institute of Cybernetics (Kiev), Web3 Foundation, Melonport, Ocean Protocol
  • 23. Where are we with release • Science: formal verification, academic papers prepared • Engineering: tech specifications in UML https://github.com/pandoraboxchain/pyrrha-techspecs • Code: smart contracts + full node code https://github.com/pandoraboxchain/pyrrha-consensus https://github.com/pandoraboxchain/pyrrha-pynode • Testnet in Ethereum network + Web UI to testnet (web client, explorer) http://client.pandora.network/ http://pandora.network/
  • 24. Core differentiators to other AI + BC • Scalability protocol (PoCW) reducing computation redundancy from O(N) to O(1), where N is the number of nodes in decentralised network • Consensus protocol based on PoCW that solves main PoW and PoS problems • Formal verification with game theory and other scientific instruments • Focus on censorship-resistance • No ICO but already working MVP • Synergy and cooperation with many of existing projects in the field
  • 25. Pandora Network Participants Data Providers ML Model Developers Consumer Computing Power Providers mining rewards Decentralised market Decentralised network buys buys provides job & payes
  • 26.
  • 27. Solving scalability problem We designed a protocol that allows large-scale computing in a trustless peer network without repeating computations on each of the nodes I’s named Proof of Computing Work – or PoCW.
  • 28. PoCW Basics • ML computation run only once by a randomly selected worker node of the network. Node puts a stake on the correctness of the computing. • 10% of the computation is verified once by a higher-staked node (Verifier), randomly selected also from all high-staked nodes • In case of inconsistency (negative verdicts of computation correctness) the stake of the original worker is slashed • Worker can put an appeal (by increasing stake). 
 Two round arbitration (closed and public) is run in this case (details follow)
  • 29. Solving Censorship Resistance Problem: Generic Blockchain Consensus • Partly synchronous (with maximum ∆ network delays) under basic conditions • Asynchronous recovery mode 
 (with chain splits and incentivised scheme for chain merge after synchronicity restoration) • On-chain randomness, no BFT-type agreements, i.e. fast and up to 50%+ tolerance to byzantine faults • Finality is reached maximum within ζ (zeta, ~20) blocks following any byzantine fault, but normally faster due to special gossip messaging algo
  • 30. Main challenges in designing PoS •Get on-chain multiparty-agreed randomness that can’t be affected by the last party •Build protection from long-range nothing at stake attacks •Make it able to work in async environment (like network failures) and restore from asynchronicity to synchronicity without double-spends
  • 32. Asymmetric Double-stranded Blockchain • Composed of two interconnected blockchains running similar consensus protocol but asymmetrical in the form of stake used by nodes: • First chain (proof of stake) uses common cryptocurrency-based stake • Second chain (proof of reputation) uses reputation, that comes from the performance of cognitive work • This can be compared to DNA, which doubles its security by organising genetic material into cross-referencing double helix • Or brain hemispheres, where one is responsible for “rational” and the other – for “irrational”
  • 33. PoS chain – 
 Value & Contracts Layer 1: generic cryptocurrency (bitcoin-like) but without drawbacks of PoW algorithm Layer 2: sidechains with Turing- complete virtual machines (EVM, WASM, other can be ported in the future) Layer 3: state and payment channels (Lightning, Luminal)
 Economics: • Cryptocurrency (BOX) PoR chain –
 AI & High-Load Computing Layer 1: base level for decentralised AI Layer 2: sidechains for scaling Layer 3: proof of computing work state channels Economics: • Utility token (PAN) + • Reputation 
 (node property, not liquid)