Faraday.dev is an offline AI chat application that offers an immersive experience with AI-generated characters. Developed by Ahoy Labs Inc., it allows users to have private conversations without any data being sent to external servers. The application supports large language models like Llama 2, and it runs locally on your device, ensuring complete data privacy. The setup process is user-friendly, requiring no developer skills, and provides a seamless chat experience with GPU acceleration and support for multiple communication channels including Discord and Twitter.