Will on-chain AI governance lead to algorithmic black-boxing? As AI systems integrate with blockchain for transparent decision-making, the promise of decentralized control clashes with the risk of opaque algorithms. On-chain governance ensures verifiable rules and immutability, fostering trust. However, complex AI models, often proprietary or mathematically intricate, can obscure decision logic, creating a "black box" where outcomes are traceable but processes remain unclear. This tension challenges accountability: how can stakeholders govern what they don’t fully understand? Solutions like explainable AI or open-source models could mitigate black-box risks, but scalability and security concerns persist. Balancing transparency with efficiency is key—on-chain AI must avoid trading one form of opacity (centralized control) for another (algorithmic obscurity). Effective governance demands clear, accessible mechanisms to ensure trust without sacrificing innovation.