If “DeFi” (decentralized finance) is any kind of future, the rise of privacy-oriented financial blockchain projects will be crucial. We’ve come to expect privacy in our “normal” financial lives, so we’d expect it in the blockchain and crypto world, whatever they may claim.
We saw this rumblings begin in May, when Secret Networks Blockchain, a privacy-first smart contract platform, attracted investments from Arrington Capital and Blocktower Capital. Furthermore, it was evident when decentralized finance firm Siena Network raised $11.2 million from institutional investors and public backers.
It was no coincidence that Sienna is built on the aforementioned secret network. Thus today Ciena is launching its ‘automated market maker’, CienaSwap, which works on its platform. Siena token holders can now convert tokens to their private counterparts and then swap them or place them in liquidity pools to earn yields.
This means users can avoid the lack of privacy on exchanges that allow others to see what users are doing and with “arbitrage” on those transactions.running“- A major weakness of crypto transactions today.
There are also Uniswap, PancakseSwap and other DEXs in the crypto ecosystem playing in this privacy space. However, where SiennaSwap differentiates, it says, is its privacy-preserving features, which, it claims, address the ongoing issue. Sienna is also part of the Cosmos ecosystem, with lots of new projects being launched, virtually every day, further expanding its wide offering.
The SiennaSwap launch follows a $11.2 million private and public sale of its tokens in May, when the organization raised $10 million in private sales from investors such as Magnus NGC, Inclusion Capital, Lotus Capital, FBG, Skyvision Capital and others.
It is perhaps also worth noting that the Sienna network is a ‘carbon-friendly’ proof-of-stake (PoS) blockchain that requires a very low energy proof-of-work chain like bitcoin, which requires a large amount of Miners are required to use electricity.
Secret Foundation founder Tor Baer said: “The launch of Siena is a major turning point for Secret’s DeFi ecosystem and DeFi in general. Providing privacy by design to users is critical to securing and scaling these new financial platforms, Which means Sienna is set to create a new burst of growth.