Story Unveils Confidential Data Rails Testnet for Secure Data Use, Monetization

Story, an AI-focused intellectual property blockchain infrastructure project, said April 15 that it had launched the testnet for its Confidential Data Rails, or CDR, aimed at enabling the secure use of sensitive data.

As competition in artificial intelligence expands into a race to secure data, restrictions on the use of high-quality datasets — including internal corporate information and medical and financial data — have emerged as a key constraint. CDR is designed to address that issue by keeping data encrypted while allowing limited use under pre-set conditions.

At the core is a programmable data structure. Data access rights and usage parameters are managed through smart contracts, allowing access only to specific license holders or permitting computation only for a set period or in a designated environment. That allows data to be used for AI training and services without exposing the underlying information to outside parties.

Revenue generated through data usage is automatically distributed to contributors. Even when multiple datasets are combined, proceeds can be split among participants, creating a structure for data-based revenue models.

The system also has broad potential applications. In business-to-business collaborations, companies can build joint AI models without disclosing sensitive internal data. At the national level, it can support global AI use while preserving data sovereignty.

A Story official said the key to AI competition lies not in public data, but in how regulated or sensitive high-quality data is used. CDR would make it possible to preserve data confidentiality while creating economic value, the official added, positioning it as core infrastructure for the next-generation AI data economy.