SBCJuly 31Flashbots

Cooperative General Intelligence_

Cooperative General Intelligence is a speculative search for institutions that can use private, dispersed information without gathering it into one omniscient system. Matt Liston starts with agents that make commitments inside confidential environments, then asks what forgetting, bounded extraction, private oversight, and selective information markets could make possible—and which enforcement, attribution, and leakage problems remain unsolved.

speaker Matt Listonruntime 24:14format talk + Q&Areading time ~11 min

Watch on Youtube

tl;dr

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Private information can remain dispersed while still supporting useful decisions.

Agents inside confidential environments could inspect information, commit to bounded behavior, forget rejected context, or reveal only a limited result, allowing a buyer to use expertise without automatically acquiring the underlying private material. Every output still leaks something, so privacy is a measured boundary rather than a binary promise.

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Those primitives open an institutional spectrum between markets and firms.

Private information markets, hiring and routing systems, competitive oversight, and branching negotiations could coordinate pockets of knowledge without reducing every contribution to a public price or placing everything inside one organization. The proposal remains conditional on enforceable commitments and on dispersed information retaining value beside increasingly capable models.

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The hardest work begins after the mechanism sketch.

Hardware attestation covers only simple boundaries; richer commitments invite side channels, strategic monitors, uncertain escalation, expensive attribution, and unavoidable leakage from each action. Competitive oversight may help, but it eventually needs an external ground-truth process, and no single fuzzy resolution mechanism is presented as a practical answer.

If you're new to any of this

Cooperative General Intelligence is Matt Liston’s speculative design space for agents that can use private information without pooling everything into one public, all-knowing system. The talk asks whether selective memory, confidential computation, and software that connects across systems could support new institutions for cooperation.

Treat it as a set of hypotheses, not a finished protocol: the proposed mechanisms still face hard questions about trust, enforcement, attribution, and information leakage.

›A bit more background

A trusted execution environment, or TEE, is a processor-protected area intended to isolate code and data from other software. Attestation can provide evidence about the environment and code that ran, but protection still depends on hardware, implementation, and protocol assumptions. Conditional Recall is a research proposal that uses trusted execution so an agent can inspect information and later commit to forgetting specified context. That is stronger than asking a model not to remember, but it remains a proposed protocol rather than proof that every copy or consequence vanished. Composability is the ability to combine capabilities into larger systems. Public Ethereum contracts compose because the network can execute and inspect their rules; a component moved offchain or into confidential hardware changes what others can verify, access, and rely on.[2][3][4]

The economic references explain why information boundaries matter. Hayek argued that useful knowledge is dispersed and that prices help coordinate action without collecting it in one mind. Coase contrasted market coordination by prices with coordination inside firms, emphasizing that markets also have costs: parties must discover prices, negotiate, monitor, and enforce exchanges. Liston uses those poles to imagine confidential agents that route private information, oversee one another, or assemble temporary institutions without revealing every input. The synthesis is explicitly speculative. Neither Hayek nor Coase establishes that a TEE-based agent network will work, and the technical sources do not resolve governance, leakage, or enforcement. They provide vocabulary for a design question, not evidence that Cooperative General Intelligence already exists as a complete system.[5][6][2][3]

Show slides
01

The thought experiment begins with a missing answer

I was invited at the last minute, without a synchronized deck or a finished protocol. Cooperative General Intelligence is the umbrella I use for a question linking conditional recall and information markets. This is a design exploration, not a report that a deployed CGI system works.

The question that haunts me is whether there are benefits to genuinely dispersed information even if an ASI has access to everything at once and can simulate holding some information back. Does genuinely dispersed information still enable something that simulated separation does not, or is separation only a cost? I do not have an answer. The rest of the talk explores the institutional primitives that might matter if the answer is yes.

“Are there any structural benefits to retaining dispersed information over having a single monolithic intelligence, with access to all information simultaneously?”

— Matt Liston

My foundation for the rest is agents plus commitments. The agents may run in TEEs—or in an ordinary cloud environment with explicit trust assumptions—but the environment must not leak its information. TEEs alone do not guarantee complex behavioral commitments, so the design also needs monitoring and competitive mechanisms that can enforce those commitments.

02

A buyer can inspect information without keeping it

Information markets have an old sequencing problem. A seller needs to convince a buyer of the value of information, but the buyer has to look at a piece of it and cannot reliably forget after refusing the price. There is no Men in Black amnesia scanner or magic pill that makes the buyer forget what they have already seen.

Agents running in TEEs with behavioral commitments can change that sequence. A buyer-side agent looks at a piece of information inside the confidential environment and decides whether to purchase it. If the buyer declines, the agent destroys that context and proves that it destroyed the context. The claim is not that hardware erases every consequence everywhere. It is narrower: an enforceable behavioral commitment can make rejection include forgetting.

That guarantee belongs to the whole agent-and-commitment system. The protected environment contains the context; the behavioral rule and its monitoring make the destruction step meaningful. Without that chain, the seller has not escaped the information paradox after a rejected sale.

03

A one-number answer still leaks information

Bounded extraction changes what the buyer purchases. Instead of acquiring a private archive, the buyer pays to execute one task over it. Imagine a venture investor who lacks materials-science expertise and needs help evaluating a startup. A diligence agent can buy the right to access all of a researcher’s private context inside the protected environment, yet only output a number in the range of zero to one. The researcher’s information remains private; the investor receives a decision signal.

The researcher retains the underlying notes; the investor receives a decision signal. Yet, as I stress, every returned signal leaks some information. A score, a binary answer, or even the decision to transact reveals something. Repeated questions can reveal more, and a carefully chosen query may extract much more than its small output type suggests.

“Even in this scheme, the information is leaked.”

— Matt Liston

The promise is controlled access, not perfect secrecy. Each task can return only a bounded result, but the system still has to measure how much information escapes each time it runs. The primitive is private information remaining in separate pockets while agents execute over it—not a claim that no information leaves.

04

An inspector sees more state but publishes less

Forgetting and bounded extraction combine in what I call a superset-state agent. One class of agents acts for users—making money in DeFi, buying and selling goods, or handling other tasks. A second class can inspect the first group’s weights, actions, environment, and private resources under a commitment not to leak that wider state. The inspector can compute across the boundary even when the underlying state remains inside its separate pockets.

Today, a model provider can watch what its agents and users are doing and run classifiers over that activity. My version moves the inspector into a confidential environment and restricts what it can reveal. It sees broader state than the agents it oversees, while the rest of the system receives only a bounded output.

Forgetting, bounded extraction, and superset-state inspection can compose with attribution incentives, decision markets, challenge markets, and auctions. I also imagine connections that are stranger than markets—something like neuronal links between separate pockets of information—but that part of the sketch is explicitly more speculative.

05

Failure traces, hiring records, and reviews become routable

Failure traces are the cleanest example. Companies and researchers accumulate valuable records of approaches that did not work, often for good reasons that prevent publication. A constrained agent could inspect those failures and steer a new process away from dead ends. The buyer receives a change in search direction rather than the sensitive trace itself.

A hiring market makes the privacy stakes personal. Someone who wants to leave a job may not want the current employer to know they are talking to recruiters. The worker could place a rich profile—résumé, code, completed tasks, workplace communications, and private negotiation terms—inside an encrypted environment. Employer agents inspect that profile and negotiate before either side reveals interest publicly. For the result to be credible, the work history needs authentic receipts rather than self-asserted claims, and the actual hire may still move into a human process.

Routing can use information people hesitate to publish, such as negative reviews or a transaction graph. An agent buys access to those private signals and routes buyers, sellers, or other agents without exposing the entire graph. Branching negotiations add another possibility: agents reveal strategies to one another, explore terms, then forget abandoned branches before settling on an agreement.

06

Confidential agents open space between markets and firms

We currently have a wall between what markets can do and what firms can do. Markets are effective at aggregating dispersed information, but they collapse that information into a price in order to preserve its privacy. Firms enable trust and can operate on private information, but they are inflexible. I am interested in institutions between those poles: combinations of private agents that compute, bargain, and route without placing every input in one company or one public market.

This only matters under the condition I stated at the beginning: dispersed information must retain some structural advantage. If an ASI can see everything and separation is simply inferior, the spectrum may collapse toward the monolithic model. CGI is my name for exploring the other case, where private pockets of information remain valuable enough to coordinate.

07

Three enforcement tiers end in public escalation

The largest caveat is that commitment enforcement remains adversarial. Attestation may establish a simple boundary: a particular program ran in a particular protected environment. It does not by itself prove that a flexible agent forgot a context, obeyed negotiation rules, resisted side channels, or avoided collusion with another agent.

“Commitment enforcement is like a cat and mouse game.”

— Matt Liston

I break commitment enforcement into three broad categories. TEE attestation can probably solve some simple commitments. For another category, a deterministic program can inspect a given output and sign a key that enables the tool call only when the rule passes. The much larger and harder category needs competition between monitoring agents: they watch private activity and try to detect misalignment or rule-breaking without leaking the underlying information.

One sketch lets a monitor stake on whether misconduct occurred and lets other monitors join either side. The private contest still needs a terminal resolution. In rare escalations, the disputed activity has to leave the confidential environment and reach an external judge that can evaluate the ground truth.

Attribution is its own hard problem. Exact attribution is computationally expensive. Every cheaper method makes a trade-off. Markets can provide immediate attribution, but they lack enough look-ahead to capture a contribution whose value becomes clear only later.

“Shapley is optimal for a lot of this, but computationally a nightmare.”

— Matt Liston

Finally, every action inside a private system still reveals something to an observer about what the system contains. That leakage problem is less central than commitment enforcement or attribution, but it does not disappear. Any useful design has to measure what each output or action exposes.

08

Questions from the room

Audience

Fuzzy commitments and optimism beyond TEEs

Matt Liston

We are not yet at a practical frontier, so we do not know what happens when these systems are tested. Many commitments are quantifiable; fuzzier ones would need competitive oversight, which becomes an oracle problem, and I would not want a fuzzy resolution mechanism.

Audience

Using private negative information

Matt Liston

A research system could pool failed approaches privately and use them to rule out routes without publishing the underlying failures. The same idea might let competing AI labs reduce wasted compute while keeping sensitive information private.

A

Supplied deck, not shown in sequence

The speaker opens by saying there are no actual slides. The supplied deck is a later semantic summary rather than a synchronized visual record, so its useful pages appear only here and should not be read as evidence that these frames accompanied particular sentences or establish any chronology among them.

This frame restates the opening question: whether structurally dispersed information retains benefits when a future monolithic intelligence could integrate everything, even if that integration is delayed or selectively simulated.

Minimal slide titled “Monoliths vs markets,” asking about the eventual benefit of retaining structurally dispersed information under delayed integration.
slide 02The deck frames dispersed intelligence as monoliths versus markets.

The next frame condenses the assumed infrastructure. Agents run inside confidential environments and make behavioral commitments, while monitoring mechanisms address promises that hardware isolation cannot establish on its own.

Minimal “Agents + Commitments” slide naming TEEs and monitoring mechanisms.
slide 03Agent commitments combine confidential execution with monitoring beyond hardware attestation.

The primitives are forgetting rejected context, extracting only a bounded result, and letting a superset-state agent inspect broader private activity without gaining permission to publish that state.

“Primitives” slide listing forgetting, bounded extraction, and a superset-state agent.
slide 04Forgetting, bounded extraction, and superset-state inspection form the proposed primitives.

The proposal composes those primitives with incentives and coordination mechanisms. Markets, challenges, auctions, attribution, and less familiar agent connections become candidate ways to coordinate private pockets of information.

“Composes with” slide listing attribution incentives, decision and propose/challenge markets, auctions, neural connections, and global-workspace ideas.
slide 05The primitives compose with markets, auctions, attribution, and agent connections.

Possible applications range from expertise and private failure data to oversight, routing, and negotiations. Each uses computation over protected context while attempting to constrain what the result reveals.

“Enables” slide listing private information markets, competitive oversight, routing, and program equilibrium, with examples from expertise to failures.
slide 06Private information markets, oversight, routing, and negotiation become possible applications.

This frame presents the institutional axis: markets aggregate dispersed knowledge by compressing it into prices, while firms lower coordination costs by operating across private information inside boundaries.

“Markets vs Firms” slide contrasting price compression of private information with firms' lower transaction costs and use of private information.
slide 07Markets compress information into prices; firms coordinate it behind boundaries.

The closing frame names the unresolved work. Complex commitments need enforcement, contributions need tractable attribution, and every action over private state needs an accounting of information leakage.

“Problems” slide listing commitment enforcement, attribution complexity, and measurement of information leakage.
slide 08Commitment enforcement, attribution, and leakage measurement remain open problems.

Glossary

conditional recall — A protocol concept in which an agent can inspect information for a task and later attest that specified context was erased or forgotten, enabling conditional access without permanent retention.[2]

trusted execution environment (TEE) — An isolated processing environment intended to protect code and data from the rest of a system and support attestation about what ran. It does not by itself prove complex behavior.[3]

composability — The ability to combine independently defined mechanisms into a larger system. Here, private computation, commitments, markets, monitoring, and bounded outputs are composed while retaining their separate constraints.[4]

transaction cost — A cost of arranging, coordinating, monitoring, or enforcing an exchange beyond the nominal price. Institutional design changes which transaction costs sit in a market, a firm, or an agent protocol.[6]

References

  1. [01]Flashbots at SBC 2026 — Flashbots CollectiveFlashbots’ event recap lists the Agentic MEV agenda, speakers, and recordings.
  2. [02]Conditional Recall — arXivGame-theory paper exploring agents that can credibly commit to forgetting information.
  3. [03]Trusted Execution Environment — NIST Computer Security Resource CenterNIST defines a trusted execution environment as a processor-protected area or enclave.
  4. [04]Introduction to smart contracts — ethereum.orgPrimer on Ethereum programs that execute rules encoded in smart contracts.
  5. [05]The Use of Knowledge in Society — American Economic ReviewHayek explains how prices coordinate knowledge dispersed throughout an economy.
  6. [06]The Institutional Structure of Production — NobelPrize.org / Nobel FoundationCoase examines why firms exist and how transaction costs shape institutions.