TON Launches Cocoon: Decentralized AI Network Rewards GPU Owners

 

TON Launches Cocoon: Decentralized AI Network Rewards GPU Owners

In a major development in the blockchain and artificial intelligence sectors, Telegram CEO Pavel Durov officially unveiled Cocoon at Blockchain Life 2025 in Dubai. Cocoon, formally known as the Confidential Compute Open Network, is a decentralized AI compute network built on The Open Network (TON) blockchain. The platform introduces a novel system where GPU owners can earn TON tokens for providing private AI inference capabilities, effectively creating a decentralized marketplace for AI computation.

The network is set to launch in November, with Telegram serving as the first major corporate client. Applications for both GPU providers and developers opened immediately following the announcement, signaling a fast-tracked rollout. Cocoon’s model allows individuals to contribute computing power through graphics processing units (GPUs) and receive cryptocurrency rewards in return, offering a potentially transformative new avenue for monetizing idle hardware.

A New Era for AI and Blockchain Integration

Cocoon’s approach is anchored in confidential computing, which ensures that data remains encrypted throughout the entire AI processing workflow—even GPU providers executing the computation cannot access sensitive user information. This architecture addresses growing concerns about centralized AI systems, which often collect and store vast amounts of user data for corporate purposes. By decentralizing AI workloads, Cocoon empowers users with greater control over their data while providing affordable computational resources for developers.

Max Crown, CEO of the TON Foundation, emphasized the broader implications of the network: “Leveraging Telegram’s billion-strong user base and TON’s high-performance blockchain infrastructure, Cocoon has the potential to redefine how billions interact with AI in their daily digital lives. This is not just about computing power—it is about reclaiming digital freedom in an era dominated by centralized tech giants.”

The launch comes amid rising scrutiny of AI platforms operated by companies like OpenAI, Google, Amazon, and Microsoft. Critics argue that these systems collect sensitive user information, including prompts, patterns, and metadata, creating significant privacy risks. Cocoon positions itself as an alternative, challenging the monopoly of Big Tech while demonstrating the utility of blockchain technology in addressing privacy and decentralization concerns.

Economic Incentives for GPU Owners

Cocoon’s economic model is designed to attract widespread participation from GPU owners globally. By contributing processing power, users can earn TON tokens in a secure and automated manner. The network integrates transparent on-chain reward mechanisms, ensuring that participants are fairly compensated based on their computing contributions.

AlphaTON Capital, a Nasdaq-listed digital asset infrastructure company and major TON treasury holder, announced substantial investments in the necessary network hardware. This financial backing is expected to accelerate adoption and create robust infrastructure capable of supporting high-volume AI inference tasks across multiple industries, including fintech, healthcare, and e-commerce.

Developer Opportunities and Ecosystem Growth

For developers, Cocoon offers access to low-cost AI infrastructure without requiring large capital expenditures or reliance on centralized cloud providers. The decentralized system enables real-time AI processing while maintaining data confidentiality, which could open doors for startups and enterprises aiming to integrate AI solutions without sacrificing privacy or security.

The network also supports integration with existing decentralized applications (dApps) and blockchain ecosystems. Developers can deploy AI models directly onto the Cocoon network, facilitating the creation of next-generation applications that leverage both blockchain transparency and AI processing power. This aligns with TON’s broader mission to provide scalable, high-performance infrastructure for a decentralized web.

Telegram’s Role and Strategic Implications

Telegram’s participation as Cocoon’s first major client signals the messaging giant’s commitment to exploring blockchain-based AI solutions. The platform already boasts over a billion users worldwide, providing a vast user base for testing and refining decentralized AI applications. Telegram’s involvement ensures that Cocoon will have immediate utility, with real-world data and user interactions helping to optimize network performance and security.

Pavel Durov framed Cocoon as a response to two decades of eroding digital freedoms. He highlighted that users increasingly rely on centralized services that control and monetize personal information. By decentralizing AI computation and compensating contributors with cryptocurrency, Cocoon offers a model where users retain ownership of their data and benefit directly from their participation.

Potential Challenges and Future Outlook

Despite its promise, Cocoon faces regulatory and technical challenges. The integration of decentralized AI networks must navigate evolving privacy laws and international regulations governing digital assets and AI usage. Additionally, scaling the network to handle global computational demand will require significant technological innovation and community engagement.

However, the combination of Telegram’s ecosystem, TON blockchain infrastructure, and robust investor backing positions Cocoon to make a meaningful impact. Analysts predict that decentralized AI networks could reshape industries by providing more equitable access to computing resources while reducing reliance on centralized cloud providers.

Max Crown noted, “This is more than a technological advancement; it is a paradigm shift. We are creating an ecosystem where users, developers, and corporations can coexist, benefit economically, and maintain trust in the system.”

Conclusion

Cocoon represents a significant milestone at the intersection of blockchain and artificial intelligence. By compensating GPU owners for decentralized AI computation, the network challenges traditional centralized models, addresses privacy concerns, and incentivizes participation through cryptocurrency. As TON and Telegram continue to expand the network, Cocoon could redefine how AI services are delivered and consumed globally.

For investors, developers, and tech enthusiasts, the launch of Cocoon signals both opportunity and innovation. The project embodies the broader trend of decentralization in the digital economy, highlighting how blockchain technology can empower individuals, secure data, and transform AI infrastructure.

Cocoon is scheduled to go live in November 2025, and the coming months will likely be critical in determining its adoption, scalability, and impact on the decentralized AI landscape.

Source

Writer @Ellena

Erlin is an experienced crypto writer who loves to explore the intersection of blockchain technology and financial markets. She regularly provides insights into the latest trends and innovations in the digital currency space.

 

 Check out other news and articles on Google News

Disclaimer:

The articles published on hokanews are intended to provide up-to-date information on various topics, including cryptocurrency and technology news. The content on our site is not intended as an invitation to buy, sell, or invest in any assets. We encourage readers to conduct their own research and evaluation before making any investment or financial decisions.

hokanews is not responsible for any losses or damages that may arise from the use of information provided on this site. Investment decisions should be based on thorough research and advice from qualified financial advisors. Information on HokaNews may change without notice, and we do not guarantee the accuracy or completeness of the content published.