According to Eran Barak, CEO of Shielded Technologies, blockchain privacy tools such as zero-knowledge proofs (ZK proofs) will become increasingly necessary in the age of artificial intelligence to protect online user data. Shielded Technologies is the developer of the Midnight privacy chain.
In an interview with Cointelegraph at the 2025 Consensus conference, Barak stated that enterprise service providers and centralized servers are expected to become "honeypots" for AI-assisted hackers and malicious actors to steal valuable data, including private keys, financial metadata, medical records, and government documents.
The CEO told Cointelegraph that hacking centralized entities has a "huge" return on investment (ROI), as hackers are motivated to target centralized targets containing millions of valuable records. Barak added that ZK proofs are a method to verify data without revealing on-chain data, which can address this issue:
Privacy solutions have become a primary focus for many Web3 developers, as the demand to protect metadata from AI algorithms increases, and large institutions are also requiring privacy tools to safeguard sensitive data as a prerequisite for moving their business operations on-chain.
At the 2025 Consensus conference, Cardano co-founder Charles Hoskinson announced an upcoming airdrop of Midnight tokens for holders of Avax (AVAX), Ripple (XRP), Bitcoin (BTC), Brave Attention Token (BAT), and others. Midnight is a partner chain of the Cardano network.
Hoskinson stated that this multi-chain airdrop will unite the industry through collaborative token economics and promote cooperation. "We have the opportunity to come together again, and I think the industry absolutely needs this unity in this divided era."
Barak also told Cointelegraph that after the initial multi-chain airdrop, Midnight will invite interested users from the entire Web3 ecosystem to mine Midnight tokens.
Related: Polygon co-founder steps down, will "cheer from the sidelines"
Original article: “Shielded CEO: On-chain privacy is a necessity in the age of AI”
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