> For the complete documentation index, see [llms.txt](https://priceai.gitbook.io/priceai-whitepaper/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://priceai.gitbook.io/priceai-whitepaper/priceai-protocol.md).

# PriceAI Protocol

[PriceAI ](https://priceai.ai/) uses and adopts zk-SNARKs , a novel form of zero-knowledge cryptography. The strong privacy guarantee of [PriceAI ](https://priceai.ai/) is derived from the fact that shielded transactions in [PriceAI ](https://priceai.ai/)can be fully encrypted on the blockchain, yet still be verified as valid under the network’s consensus rules by using zk-SNARK proofs.

The acronym zk-SNARK stands for “Zero-Knowledge Succinct Non-Interactive Argument of Knowledge,” and refers to a proof construction where one can prove possession of certain information, e.g. a secret key, without revealing that information, and without any interaction between the prover and verifier.

“Zero-knowledge” proofs allow one party (the prover) to prove to another (the verifier) that a statement is true, without revealing any information beyond the validity of the statement itself. For example, given the hash of a random number, the prover could convince the verifier that there indeed exists a number with this hash value, without revealing what it is.

In a Zero-knowledge “Proof of Knowledge” the prover can convince the verifier not only that the number exists, but that they in fact know such a number – again, without revealing any information about the number.

“Succinct” zero-knowledge proofs can be verified within a few milliseconds, with a proof length of only a few hundred bytes even for statements about programs that are very large.


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