Privacy-focused cryptocurrency has not too long ago surged in value, prompting a number of blockchains to combine the token into their ecosystems.
On Oct. 16, Solana, the world’s second-largest sensible contract platform, launched wrapped ZEC via the Zolana bridge. Nevertheless, these wrapped tokens operate as commonplace Solana Program Library (SPL) tokens and don’t supply the privateness protections inherent to native Zcash. They’re backed 1:1 by native ZEC however don’t conceal balances or transaction knowledge.
Encifher addresses this limitation by re-wrapping tokens into encrypted assets like eZEC, enabling personal, encrypted swaps on Solana via cutting-edge totally homomorphic encryption (FHE). This know-how ensures that delicate transaction data stays hid, restoring ZEC’s native privateness on the quick Solana community.
“To actually make ZEC personal on Solana, it must be re-wrapped into encrypted property like eZEC, the place balances and transfers are hidden, but composable with Solana DeFi. That’s how ZEC’s unique imaginative and prescient, privateness on the asset stage, can really stay on Solana,” Encifher’s social media deal with Encrypto.trade said in a post on X.
Encifher makes use of highly effective encryption to conceal consumer balances and switch particulars on-chain. Transactions are secured and validated via zero-knowledge proofs, whereas delicate knowledge stays accessible solely to approved events utilizing threshold decryption protocols.
This method encrypts consumer balances with threshold ElGamal encryption and shops the encrypted knowledge off-chain in a safe knowledge availability layer, whereas the Solana blockchain handles cryptographic pointers to these balances with out exposing the precise values.
Consider EIGama encryption as a treasure chest that opens solely when a sure variety of trusted associates come along with their very own particular keys. Which means no single pal can entry the chest alone, making certain added safety.
The setup permits customers to maintain and switch encrypted ZEC tokens confidentially, successfully reworking Solana’s public blockchain right into a privacy-preserving surroundings that is still totally suitable with decentralized finance purposes. The system prevents transaction linkability and deal with reuse by using ephemeral accounts that exist for just one transaction lifecycle, making evaluation by third events successfully unattainable.
So, with Encifher, Solana customers acquire a method to reclaim ZEC’s unique promise of asset-level privateness on a blockchain identified for velocity and low value, bridging one of the best of each worlds.
Encifher’s privacy-preserving options have been applied on high of Jupiter, Solana’s main decentralized alternate, enabling customers to commerce encrypted tokens whereas preserving their privateness.
ZEC’s value has surged 380% to $375 this month, CoinDesk knowledge present. Per some observers, the sharp rally has been catalyzed by the upcoming ZEC halving, the debut of Grayscale ZEC Belief and Hyperliquid itemizing.
