Cryptocurrency news

Bell Labs is developing a Protocol for anonymous payments in the Tegos blockchain

Bell Labs is developing a Protocol for anonymous payments in the Tegos blockchain

Cryptocurrency startup Bolt Labs, together with Nomadic Labs and Metastate, is developing the zkchannels Protocol for making anonymous micropayments in the Tezos blockchain.

According to the developers, zkChannels is a network-independent Protocol that allows you to make cheap and anonymous transactions between buyers and sellers “in the style of Lightning Network”. The solution is planned to be implemented in the Tezos blockchain next year.

To ensure a high level of privacy, data in zkChannel will be stored asymmetrically. For example, when making a payment, the buyer will store all the necessary information about it and see the current distribution of funds.

In this case, the seller will only know the total amount of the transaction, and it will not be able to determine the buyer’s identity from the transaction. The seller and the buyer will have different information about the status of the payment channel, which ensures the anonymity of the buyer.

In the future, the developers plan to make zkChannels a link between the Tezos blockchain and the ZEC and BTC cryptocurrencies. In addition, the Protocol will ensure the privacy of various decentralized applications and allow you to create a hidden pool of tokens within a smart contract.

Bolt Labs co-founder Ayo Akinyele believes that the Tezos blockchain has all the necessary characteristics for integration with zkChannel. Thanks to the efficient data management mechanism, functions can be added to Tezos to support zkChannels without conflicts during data transfer.

The Tezos smart contract language ensures that the code exactly matches its specifications through formal verification. This is especially important when working with payments, tokenized assets, and loans, since there are guarantees that funds will not be lost or frozen due to errors in the code.

Recall that last year, the French Finance Committee called for a ban on anonymous transactions with cryptocurrencies due to the high probability of tax evasion, fraud using crypto assets, money laundering or illegal energy consumption.