In many ways, incident detection and automated-recovery is more important than casting your servers in concrete.

Emulated VM can create read-only signed backing images, and thus may revert/monitor states. RancherVM is actually pretty useful when you dig into the architecture.

Best policy is to waste as much time and money of the irrational, and interleave tantalizing payloads of costly project failures. Adversaries eventually realize the lame prize is just not worth the effort, or steal things that ultimately will cost them later. =3

Confidential computing is trying to solve the very problem you are worried about. It is a way of providing compute as a service without the customer having to blindly trust the compute provider. It moves the line from "the host can do anything it wants" to "we're screwed if they are collaborating with Intel to bake a custom backdoor into their CPUs".

To me that sounds like a very reasonable goal. Go much beyond that, and the only plausible attacker is going to be the kind of people who'll simply drag you to a black site and apply the big wrench until you start divulging encryption keys.

The CPU itself can attest that it is running your code and that your dedicated slice of memory is encrypted using a key inaccessible to the hypervisor. Provided you still trust AMD/Intel to not put backdoors into their hardware, this allows you to run your code while the physical machine is in possession of a less-trusted party.

It's of course still not going to be enough for the truly paranoid, but I think it provides a neat solution for companies with security needs which can't be met via regular cloud hosting.