Recently, there have been several major developments in the privacy track worth paying attention to.

First, on the technical side. A native privacy-supporting Layer 1 mainnet has just officially launched, marking the second significant milestone. Developers can now deploy smart contracts directly on this ecosystem using Solidity, eliminating the need to choose between "privacy" and "compliance."

The core of this privacy solution is a tool called Hedger, which has just been released for testing. It uses homomorphic encryption combined with zero-knowledge proofs to solve a technical challenge: transaction amounts and account balances are fully encrypted and hidden, but when regulatory authorities need to audit, the data link can be fully traced and verified. What does this mean? Institutional-grade DeFi and regulated asset on-chain are finally backed by a truly usable technical foundation.

On the application side, there is an on-chain trading platform that has deep cooperation with a licensed Dutch exchange, which has already obtained regulatory licenses and plans to officially launch in 2026. The initial plan is to move over €300 million worth of tokenized securities assets onto the chain, targeting institutions and qualified investors. This is not just a promise in a white paper but a project that has obtained licenses and is preparing to launch.

From this perspective, the overall approach is very clear: not pursuing the most flashy technical indicators, but truly solving the biggest bottleneck in bringing traditional finance on-chain — achieving on-chain transactions within a strict compliance framework. This is what to watch for in 2026.