By blending blockchain and AI, one startup is chasing transparency in a system built on control.
Instead of following the playbook most Chinese AI startups use closed systems, tight regulation, state-friendly platforms, whilst Deep Seek is heading in another direction. DeepSeek-V2 is an open-source, bilingual, and competent, built to handle both English and Chinese with fluency that’s caught the attention of developers on both sides of the firewall.
But the real conversation isn’t just about how the model performs. It’s about what the company is doing next.
The team wants to fuse blockchain with AI infrastructure. It’s not just buzzwords. The idea is to create an environment where things like model training, data handling, and even content outputs can be tracked on-chain. That means more transparency, at least in theory. Every step leaves a record. Nothing can quietly vanish or be altered later. In the open-source world, that’s exciting. But in China’s tech environment? That’s… complicated.
This is a country where AI development doesn’t just happen in code, it moves under policy. Frameworks like the Personal Information Protection Law (PIPL) and the Cybersecurity Law are already strict. Add to that the new AI content rules from the CAC, and it’s clear, anything decentralized is going to raise questions.
And that’s exactly what’s happening.
On platforms like Weibo and WeChat, some users are skeptical whether a blockchain-backed AI system could be used to sidestep censorship. What happens if sensitive content gets pushed out and no one can trace who let it through, or even worse, no one can remove it?
Big players like Baidu and iFlytek aren’t taking that kind of risk. Their models are locked down, made for predictable, permissioned deployment. That’s the path most firms take to stay safe. Deep Seek, by contrast, seems willing to step into grey areas.
The thing is, we still don’t know how far they’ll go with it. There’s no public roadmap showing how blockchain will actually be used inside their stack. And no clarity yet on how they’ll align with Chinese compliance standards, which don’t exactly encourage decentralization.
Somewhere Between Vision and Violation
This could go one of two ways. Maybe Deep Seek finds a middle ground where blockchain helps with traceability, but the system stays within regulatory lines. If that happens, they could end up shaping a new, semi-open model for AI in China.
Or maybe the regulators step in and shut it down before it grows. Wouldn’t be the first time.
HODL Team
Disclaimer: All materials on this site are for informational purposes only. None of the material should be interpreted as investment advice. Please note that despite the nature of much of the material created and hosted on this website, HODL FM is not a financial reference resource and the opinions of authors and other contributors are their own and should not be taken as financial advice. If you require advice. HODL FM strongly recommends contacting a qualified industry professional.
