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Layer-1 protocol Near has engaged blockchain security company Nym to deliver end-to-end encryption and metadata privacy solutions for its ecosystem.
Nym, which offers blockchain-agnostic layer-0 privacy infrastructure, will utilize its mixnet technology to encrypt and obscure blockchain traffic and communications throughout the Near Protocol ecosystem.
Concealing off-chain metadata traffic will safeguard transaction information during exchanges and establish a barrier against malicious entities attempting to de-anonymize users via access to IP addresses.
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A statement from the collaborating entities indicates that Near users will gain access to ecosystem decentralized applications (DApps), decentralized finance protocols, and non-fungible tokens with enhanced security and privacy.
Nym’s integration seeks to enhance privacy within the Near ecosystem, considering that permissionless blockchains generally permit transaction data and certain off-chain details to be accessed by knowledgeable users, including IP addresses and geolocation information.
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This creates a pathway for unwanted surveillance, targeted attacks, and cybercrime. A comment from Nym CEO Harry Halpin underscores the significance of privacy-preserving tools in advancing the emerging Web3 landscape:
“Blockchain technology is a large change in digital communications but it’s an open secret that by their very nature, blockchains are not private. Only weaving privacy into the fabric of Web3 can ensure its success.”
Nym’s mixnet safeguards blockchain traffic from in-depth analysis by dividing data into encrypted packets that are subsequently dispatched to “mix nodes” globally. “Cover traffic” is randomly added to the mix to enhance the obfuscation of the communication system, significantly complicating metadata analysis.
Near Foundation CEO Chris Donovan remarks that Nym’s technology will provide ecosystem participants with greater privacy while utilizing the protocol and emphasizes the principle of privacy-enhancing services:
“Privacy is a fundamental human right and a cornerstone of the Web3 vision to create a more secure, user-centric and user-empowered web.”
As Cointelegraph reported in October 2023, Nym Technologies initiated a $300 million fund to discover and support Web3 projects focused on building security-oriented infrastructure. The fund will initially aim to back wallets and platforms that manage private keys interacting with and controlling access to DApps, as well as remote procedure call protocols and open-source Web3 tools and services.
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