The Rise of Zero-Knowledge AI Verification
Cryptographic watermarking via green-list token biasing degrades LLM factuality by up to 37% in specialized domains like medical clinical queries due to low-entropy token collisions EU AI Act mandates synthetic text watermarking for outputs exceeding 200 tokens, with non-compliance penalties reaching €15M or 3% of global turnover, forcing industry adoption despite known quality costs Standard watermark detectors collapse from 70.3% to 4.6% accuracy under mild semantic paraphrasing, revealing ext
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