The Role of Blockchain in Pursuing Truth

In an age of AI-generated content abundance and concerns over censorship, analysts at the research and brokerage firm Bernstein asserted that blockchain technology has a unique role in the pursuit of truth.

Looking back on recent events, including Facebook founder Mark Zuckerberg’s acknowledgment of consenting to COVID-related censorship in 2021, Telegram CEO Pavel Durov’s arrest in France for failing to moderate content, and X’s feud with Brazil over refusing to remove alleged misinformation, the analysts highlighted the “immutability of ledger” trait of blockchain as a means to prevent censorship.

While traditional media increases its fact-checking, especially amid the U.S. election cycle, and X moderates content through its community notes feature, Telegram takes a more extreme stand against censorship. Unlike other messaging apps, Telegram relies on decentralized storage instead of end-to-end encryption, which complicates data retrieval. The platform also utilizes blockchain for cross-border money transfers and integrates blockchain apps with its crypto wallet. Despite displaying a commitment to privacy, Telegram faces pressure from governments to cooperate on severe issues like child abuse and illicit activities. Analysts noted that Telegram opposes censorship, fearing it could suppress political views and freedom of speech.

Questions Surrounding Truth and Censorship

Chhugani, Sapra, and Chindalia raised critical questions about truth: What is truth? Who determines what is true? Should governments regulate truth and pressure media to censor content? How should AI content be moderated compared to human-generated material?

Blockchain-Based Social Media and Market Democratization

Attempts to launch decentralized social media platforms on blockchain—like Farcaster and Lens—have had modest user traction and face challenges with users preferring centralized platforms. However, blockchain’s democratization of markets allows users to tokenize events, which relays truth by adding “skin in the game.”

An example is the Polygon-based decentralized predictions platform, Polymarket, during the run-up to the U.S. presidential elections. If users believe traditional polls are biased, they can turn to Polymarket for odds that might diverge from conventional polling.

As of Monday, U.S. Vice President Kamala Harris’s odds dropped to 47% on Polymarket, while Donald Trump’s odds rose to 51%. This represents a shift from the candidates being tied at 50-50 earlier, reflecting contrast with national polling favoring Harris 47% to 44%.

Addressing AI-Generated Content

The Bernstein analysts suggested that advances in zero-knowledge proofs could help certify human content and distinguish it from AI-generated material, stating, “As AI brings about abundance, productivity, and creativity, blockchain balances it by pursuing truth, scarcity, and decentralization of power.”