Labyrinth: Empowering User-owned privacy in public Blockchains - A Look at Our Latest Progress

Labyrinth: Empowering User-owned privacy in public Blockchains - A Look at Our Latest Progress

Latest updates and improvements of Labyrinth protocol and app

Labyrinth is a multi-chain modular framework that makes private transactions easy and secure on EVM chains. It enables shielded accounts while meeting compliance requirements through a decentralized network. Our goal is to make compliant privacy a standard for all on-chain activities, ensuring every EVM address has a private, compliant account layer.

For developers, our plug-and-play SDK allows seamless privacy integration into dApps. Whether it's transfers, swaps, staking, yield farming, lending, payroll, or token vesting, Labyrinth ensures user balances and actions remain private. It simplifies zero-knowledge proofs (ZKPs) and compliance, making privacy more accessible.

Latest Updates

Strategic Partnerships

After the Shielding Summit in Brussels, we announced our first strategic partnership with 0xbow. 0xbow provides Association Sets for on-chain compliance and AML, helping to legitimize on-chain privacy. Backed by Vitalik and Bankless Ventures, 0xbow enables users to prove non-association with illicit activities. This is a major step toward making privacy a norm in DeFi.

User-Focused Testing & Network Expansion

Last month, we launched a community-only private testing phase for our user-facing app. This allows us to gather early feedback and improve the protocol's UX and efficiency. We are currently live on Optimism and Ethereum testnet. Once testing is complete, we will create a template for faster expansion to other chains. If you’re interested, you can join our private beta program and help shape the future of private transactions.

Enhanced Private Transfers

With Labyrinth-shielded pools, users can send and receive assets with full privacy without leaving the EVM blockchain. There is no need to withdraw assets. Transactions remain completely hidden from block explorers, including sender/receiver details, asset value, and asset type.

For compliance, users can download transaction data for tax or legal purposes and selectively reveal it to trusted entities. This balance of privacy and compliance is only possible with Labyrinth Protocol.

Private compliant transactions powered by Labyrinth

Key Improvements in the Labyrinth Protocol

1. Swap Feature Added

Users can now swap tokens directly within the protocol. We’ve integrated Uniswap and added bundler support, ENS integration, and stablecoin (USDC) fee payments. More swap options will be available soon to ensure the best possible rates.

Swap Integration with ENS support, pay fee in stablecoin and bundler
Swap Integration with ENS support, pay fee in stablecoin and bundle

2. Lower Gas Fees

With the zk-based queued Merkle tree upgrade and optimized shielded transaction memos, gas fees are now 50-55% lower. Private transactions are now more affordable and efficient.

3. Improved Compliance Options

We updated Selective De-Anonymization (SeDe) compliance to offer multiple trusted revoker options. Users now have control over who can initiate the revoke process for compliance purposes. More details will be shared in an upcoming blog post. For for an overview of how this approach for compliance works can be found here.

Multiple revoker support for selective de-anonymisation
Multiple revoker support for selective de-anonymisation

What’s Next for Labyrinth

In the coming days, we will roll out new features, including:

  • Staking with Lido
  • Earning yield through Aave
  • Batch transactions for payroll and token vesting

Our vision is to bring full privacy to all on-chain transactions. With community support and feedback, we can make blockchain privacy a reality. Whether you’re a DeFi power user, institution, business, or a casual crypto holder, Labyrinth gives you full control over your privacy for multiple use cases.

Get Involved

If you're interested in integrating the Labyrinth SDK to provide private DeFi solutions, we’d love to hear from you. Visit our website for more information.