System Architecture

A breakdown of the key concepts of the Vana network

Vana coordinates user-owned data through the following components:

DataDAOs: Governed Data Collectives

DataDAOs are collectively governed datasets with shared validation rules, governance, and economics. They solve a fundamental problem: mapping non-fungible data to fungible tokens through cryptographic proof of contribution and enforcing dataset economics through granular permissions.

Each DataDAO consists of a Data Liquidity Pool (validation and permissioning logic), VRC-20 tokens (contribution tracking and governance), and access control contracts paired with TEE-managed encryption keys.

L1 Blockchain: Coordination Layer

Vana operates on a standalone EVM-compatible Layer 1 optimized for data coordination. It's designed specifically for private, user-owned data, with a natively paired integration with the secure compute layer.

The L1 stores data contribution proofs, access grants, and smart contracts - but never the raw data itself. Private data remains encrypted with users or their chosen storage providers. The blockchain serves as a decentralized registry of who owns what data and who can access it. This coordination enables private data markets through the secure compute layer that enforces these permissions during execution.

Secure Compute Layer: Privacy-Preserving Execution

Natively paired to the L1 is a secure compute layer that enables computation on private data without revealing the underlying data. The layer consists of TEEs (with and without GPUs) that can:

  • Decrypt data only when jobs are approved onchain
  • Run approved code on private data
  • Return results while keeping raw data private

For example, a researcher can request access to users' Spotify listening history (but not email addresses), train an AI model inside the TEE, and receive only the trained model weights - never seeing the raw data. All compute jobs must be approved onchain and results are written back onchain as the source of truth.

Wallet as Identity: Cryptographic Ownership

Every user is identified by an EVM-compatible wallet address that serves as their cryptographic identity. Users encrypt and sign data contributions with keys they control, creating verifiable ownership proofs.

When delegating access to DataDAOs, users maintain cryptographic control while granting permission to decrypt and use their data. This enables precise attribution across all network layers: the L1 tracks contributions by wallet, TEEs enforce wallet-specific permissions, and rewards flow directly to contributing addresses.

Economic Layer: Dual Token System

Two types of tokens coordinate the network's economics:

VANA Token: The native token used for transaction fees and data access. For data access specifically, users burn both VANA and data tokens (20% VANA, 80% data token ratio). VANA serves as the base trading pair for all VRC-20 tokens, tying the entire network together economically.

VRC-20 Data Tokens: Dataset-specific tokens earned by data contributors and burned for data access. While fully ERC-20 compatible, they include additional functionality that directly ties them to specific datasets through cryptographic contribution proofs and access controls. This enables granular, dataset-specific economics while maintaining compatibility with the broader DeFi ecosystem.

How It All Works Together

When users contribute data to a DataDAO, they receive VRC-20 tokens representing their contribution. Data access requires burning both VANA and the relevant VRC-20 tokens, with computation happening in TEEs that preserve privacy. The L1 coordinates all permissions and economic flows throughout this process.

This creates a unified system where users retain ownership of their data, earn from its use, and enable AI training on previously inaccessible private datasets.