The evolving Polkadot ecosystem brings another great use case to the ever-expanding innovative product package.
Confidentiality for transactions
The cryptocurrency space started with an ethos of financial inclusion and privacy. This meant trading in a completely private and secure way when viewing all such transactions in a public and immutable database, namely the blockchain.
Down the line, this use case has lost its significance and has opened up to much larger applications such as (but not limited to) blockchain, smart contract services, decentralized identities, oracles, tokenized assets, non-duplicate tokens, hips.
Then came Ethereum, with the blockchain expression, as an operating system that allows developers to create their own use cases on the blockchain. High-speed blockchains like Polkadot, Cardano, and others soon followed.
But while the story of privacy disappears somewhere in between, a relatively new project is running in the Polkadot ecosystem in this regard. For the inexperienced, Polkadot ranks among the top ten cryptocurrencies in the world in terms of market capitalization, enabling a common set of validators to secure multiple blockchains, providing economic scalability.
Bringing privacy to it, Phala Network is the first secret smart contract network, whose founders were built on Substrate and aimed to provide confidential computing and data protection services for businesses and users.
The project will serve the entire Polkadot ecosystem as one of the Polkadot parachains or as projects commissioned by Polkadot and run on Polkadot to make the whole ecosystem better.
Benefits of Phala
Phala’s two products are pLIBRA and Web3 Analytics. The first is a hidden computing component created for Libra by the Web3 foundation. Web3 Analytics is a tool that analyzes user data and output results without violating personal privacy.
As the network grows to serve more people and their communities, more use cases will be added and emerged on the network.
In terms of technology, Phala implements a Trusted Media Execution (TEE) design that allows confidential data to run in an isolated and private environment, resulting in only authorization.
This allows two separate, different organizations to share sensitive data with each other without worrying about a possible data leak.
Another benefit of Phala is its interoperability features that allow any two blockchains to interact with each other in a special way.
As of today, the Phala Network has 1 billion resources of PHA token and its main network was launched last year. It has a market value of over $ 41 million and its current circulating supply is 142 million.