Hinkal Introduces Shared Privacy Protocol for Cross-Chain DeFi Security

The new protocol aims to enhance privacy in decentralized finance, particularly benefiting institutional investors.

Hinkal, a leader in multi-chain privacy solutions, has announced the launch of its Shared Privacy Protocol, which promises to revolutionize privacy in decentralized finance (DeFi). This protocol uses a mechanism called anonymity staking to enable cross-chain privacy, addressing the liquidity fragmentation across various blockchains.

With institutional investors increasingly participating in crypto markets, the demand for privacy in DeFi trading has surged. Hinkal’s protocol establishes a unified pool of shielded liquidity across different blockchains, allowing traders and decentralized applications (dApps) to utilize the full value of this pool regardless of the chain they operate on. This approach, described as an "EigenLayer for Privacy," aims to mirror traditional finance privacy standards in the DeFi space.

Georgi Koreli, co-founder and CEO of Hinkal, stated, "Ensuring complete privacy on-chain is a critical step in enabling the full adoption of crypto as an asset class across the institutional financial sector. The launch of the Shared Privacy Protocol is a key milestone in unleashing the power of community and breaking privacy barriers in crypto."

The protocol offers several benefits:

• Stakers: Deploy assets to the protocol, generating yield while maintaining flexibility.

• Traders: Utilize an expanded shielded pool to obscure trading strategies and maximize capital across chains.

• Developers: Integrate new privacy capabilities seamlessly into their platforms.

Evgeny Gokhberg, founder of Re7 Capital, emphasized the protocol’s significance: "A compliant solution enabling discrete liquidations without disclosing transaction data is necessary for us to efficiently operate in DeFi markets, and Hinkal’s Shared Privacy Protocol is the solution we have been searching for a long time."

Hinkal’s solution employs zero-knowledge proofs to enable private smart contract wallet experiences, allowing users to interact with dApps from private addresses without withdrawing assets for obfuscation. Founded by Stanford graduates Giorgi and Nika Koreli, Hinkal aims to provide an institutional-grade protocol for full control over on-chain assets.

photo source / Blockonome