Phala Network provides a trustless execution environment for AI agents, using Trusted Execution Environments (TEEs) to ensure compute confidentiality and tamper-proof operation. After sunsetting its Polkadot parachain in November 2025, Phala migrated fully to an Ethereum Layer 2. Its Phala Cloud product lets developers deploy AI agents and confidential virtual machines (CVMs) on a pay-as-you-go basis. AI agents on Phala can interact with on-chain smart contracts via AI-Agent Contracts with no gas fees for low-latency operations. Key features: - TEE-based confidential compute for AI agent execution - AI-Agent Contracts enabling agents to interact with on-chain smart contracts - Phala Cloud: pay-as-you-go CVM hosting with $400 free credits for new users - Multi-agent networking with caller-pays execution cost model - No gas fees for agent-to-agent calls within the network - Ethereum L2 foundation (migrated from Polkadot in November 2025)
Phala Cloud: pay-as-you-go billed by the hour. New users receive $400 in free credits and one free CVM instance.