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That already is how it works. Denuvo can not authenticate your game without internet access.

well, right now Denuvo "remote attests" in a Play Integrity "MEETS_BASIC_INTEGRITY" sense that it has no hardware backing and relies on checking your runtime enviroment for signs of tampering manually and obfuscating said checks.

The endgame is certainly flexing the machinery that is being built up over the last 20 years and spawning a SEV-SNP container on your machine that cannot be debugged, inspected and modified in any way. I don't think this is possible as of writing though.

SEV-SNP would actually be a very good outcome. But the Intel equivalent does not exist on desktop SKUs. Meanwhile there's a campaign to make sure every "P"C has a TPM module.

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