Terms of Service

Effective Date: November 10, 2025

Distributed AI Systems, Inc. ("DAISI," "we," "us," or "our") operates the decentralized AI inference platform available at daisi.ai (the "Site") and through the DAISI Host App, Orchestrator, Consumer SDKs, and REST/gRPC APIs (collectively, the "Services"). These Terms of Service ("Terms") govern your access to and use of the Site and Services, whether as a Host, Consumer, or visitor.

By accessing the Site, downloading the Host App, using the Orchestrator, integrating our SDKs/APIs, or otherwise using the Services, you agree to these Terms. If you do not agree, do not use the Services.

We are in early Alpha. Features may change rapidly, and uptime is not guaranteed.

1. Definitions

• Host: An individual or entity running the DAISI Host App (desktop or background service) on Windows, Linux, or macOS to provide WebGPU-accelerated inference.
• Consumer: An individual, business, or application using SDKs, REST/gRPC APIs, or the Orchestrator to submit prompts, agents, or workflows.
• Orchestrator ("Orc"): Our Cosmos DB-backed server that handles session setup, task allocation, and streaming.
• Session: A full-trust connection flow (Consumer → Orchestrator → Host) using secret keys (SK) and client keys (CK).

2. Eligibility

You must be 18 years or older and capable of forming a binding contract. You may not use the Services if you are barred from doing so under applicable law.

3. Accounts and Security

• You are responsible for maintaining the confidentiality of your account credentials.
• Hosts may create teams with roles: Owner, Manager, User.
• API keys are issued per account and must be kept secret. Report lost keys immediately.
• We may suspend or terminate accounts for suspicious activity.

4. Host Responsibilities and License

By running the Host App:

• You grant DAISI a limited, revocable license to benchmark your hardware, route tasks, and stream results.
• You may set maximum requests per minute, storage folders, and opt in/out of DAISI FS.
• You agree to automatic model downloads (GGUF format) and heartbeat signals to the Orchestrator.
• You may rename hosts, change listening ports, and manage models/shards locally.
• Background service may run when the UI is closed and only when the system is idle (configurable).

Prohibited Host Conduct:

• Tampering with inference results.
• Running malicious models or code.
• Exceeding self-imposed request limits to harm network stability.

5. Consumer Responsibilities

• You are responsible for all prompts, agents, and workflows submitted via SDK or API.
• You must specify scale (cheap/fast/good), max pay per token, and architecture type.
• RAG file shards are processed locally on Hosts; you retain ownership but grant temporary processing rights.

Prohibited Consumer Conduct:

• Submitting illegal, harmful, or abusive content.
• Attempting to reverse-engineer Host connections or bypass the Orchestrator.
• Overloading the network with spam requests.

6. Task Allocation and Auctions

• Tasks are allocated via a differential-privacy combinatorial double auction (Zhai et al.).
• Prices are determined automatically; Consumers may increase bids to raise priority.
• Failed or challenged tasks are re-inserted with higher valuation.
• We use optimistic fraud proofs (interactive bisection on model DAG) rather than zk-SNARKs.

7. Payments and Cash Payouts

• Hosts earn cash (USD) via Stripe or bank transfer—no blockchain or tokens.
• Minimum payout threshold and schedule are displayed in the dashboard.
• Consumers pay via integrated payment processor at session creation.
• All payments are final. Chargebacks may result in account termination.
• We may deduct fees for payment processing and platform maintenance.

8. Slashing and Reputation

• Hosts failing challenges lose reputation and may be slashed (payouts withheld).
• Repeated malicious behavior results in permanent removal.
• Consumers filing frivolous challenges may be penalized.

9. Intellectual Property

• You retain ownership of your prompts, outputs, models, and data.
• DAISI owns the Orchestrator, SDKs, Host App binaries, and auction algorithms.
• You grant DAISI a worldwide, royalty-free license to use anonymized usage data for improvement and marketing.

10. Alpha Disclaimer and No Warranties

THE SERVICES ARE PROVIDED "AS IS" AND "AS AVAILABLE" WITHOUT WARRANTIES OF ANY KIND. WE DO NOT GUARANTEE:

• Uptime, accuracy, or completeness of inference results.
• Compatibility with future OS or GPU updates.
• That Hosts will remain online or complete tasks.

In Alpha, expect bugs, downtime, and data loss. Backup your models and shards.

11. Limitation of Liability

TO THE MAXIMUM EXTENT PERMITTED BY LAW:

• OUR TOTAL LIABILITY SHALL NOT EXCEED THE AMOUNT YOU PAID US IN THE PAST 12 MONTHS (OR $100 FOR HOSTS).
• WE ARE NOT LIABLE FOR INDIRECT, INCIDENTAL, OR CONSEQUENTIAL DAMAGES, INCLUDING LOST PROFITS OR DATA LOSS.
• Hosts assume all risk of hardware wear, electricity costs, and internet usage.

12. Indemnification

You agree to indemnify and hold DAISI harmless from claims arising from:

• Your prompts or outputs.
• Your violation of these Terms.
• Your Host’s processing of third-party tasks.

13. Termination

• We may suspend or terminate your access at any time, with or without cause.
• Upon termination, earned but unpaid payouts will be processed minus any slashing.
• You may delete your account via dashboard; data is removed within 30 days (except financial records).

14. Governing Law and Dispute Resolution

These Terms are governed by Texas law (without regard to conflict of laws). Any dispute shall be resolved exclusively in state or federal courts in Brazoria, Texas. You waive class-action rights.

15. Changes to Terms

We may update these Terms. Continued use after posting constitutes acceptance. Material changes will be emailed to registered users.

16. Contact

Questions? Email legal@daisi.ai Distributed AI Systems, Inc., 2880 Broadway Bend Drive, Building 1, Pearland, TX 77584 United States

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Last updated: November 10, 2025 See our Privacy Policy for data handling details.