The central theses
- Panther Protocol has raised over $ 8 million from over 140 investors for its privacy-focused DeFi solution.
- The protocol will allow users to imprint 1: 1 secured, privacy-protecting synthetic assets.
- By using zk-SNARKs, such assets obscure all information that is involved in on-chain trading.
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Panther Protocol, an end-to-end privacy protocol that can be used in DeFi, has raised $ 8 million from over 140 investors in a private token sale.
Panther offers DeFi data protection
Panther Protocol, one of DeFi’s latest privacy solutions, has raised $ 8 million in a funding round. The increase came from over 140 attendees, including Alphabit Fund, Arcanum Capital, Black Dragon, DeepVentures, Defiants, Ellipti, Mondwal, Protocol Ventures, Kosmos VC, Rarestone Capital and Titans Ventures.
The funds will be used to develop the protocol, which is interoperable with a number of DeFi applications.
Privacy is now considered one of the missing pieces of the DeFi puzzle. While DeFi brings a permissionless and non-liable financial system to the world, many of those looking to preserve their identities find it awkward to use. When a person’s real identity is tied to a blockchain address, all transactions they make through that address can be easily tracked. For example, many high net worth Uniswap traders find it difficult to execute their trades efficiently due to the visibility of Ethereum. Such large traders are at risk of being led by other traders or bots.
Panther hopes to solve these problems. As planned in its roadmap, the protocol will allow users to deposit cryptocurrencies from a variety of chains and mint secured synthetic assets called zAssets. Each zAsset is private.
According to the team, anyone can issue private synthetics of various digital tokens, including TC, zETH and zUSDT. These tokens can then be used for various DeFi applications. Oliver Gale, CEO and Co-Founder of Panther Protocol, said in a press release:
“We believe zAssets will become an ever-growing asset class for users who want their transactions and strategies the way they should always be: private. Stablecoins, utility tokens and NFTs are all imbued with privacy. “
The power of zk-SNARKs
zAssets uses zk-SNARKs, a type of cryptographic evidence that shows that someone has information without revealing it. The same technology is used in one of the leading privacy coins, Zcash. These assets obscure the information involved in an on-chain trade, including the wallet addresses and the assets being exchanged. This way, all metadata associated with blockchain transactions remains private.
The project will support zAssets across multiple blockchains called “peerchains”. Panther’s peerchains initially include Ethereum, Polkadot, Solana, Cosmos, Flare, Binance Smart Chain and Avalanche.
In addition to zAssets, the project is also planning the implementation of several dark pools called “Panther Pools”. These are used to accumulate liquidity and execute trades. Those who bring liquidity into the pools, so-called “privacy miners”, are rewarded with the native token of the Panther network, ZKP.
According to the project’s litepaper, Panther Pools will enable institutional and retail users to use zAssets to disguise peer chains and act in compliance.
If successful, the project will be a competition for several existing solutions that achieve data protection with Ethereum’s smart contracts. This includes Ethereum bridge networks like Secret Network and Incognito as well as transaction mixers like Tornado.Cash.
Panther can also be used compliantly through “selective private disclosures” in any public blockchain so that financial privacy can be brought into line with regulations.
After the fundraising campaign, the team will offer its ZKP tokens as part of a public sale.
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