Hassan Maishera
Blockchain development firm COTI has announced that it has transformed its structure, pivoting from Directed Acyclic Graph (DAG) technology to embrace Ethereum Layer 2.
In a press release shared with Cryptowisser, the team said this shift positions COTI as a leader in scalable privacy within the Ethereum ecosystem.
A key aspect of COTI's commitment to privacy is the innovative Garbling Circuits technology, a breakthrough in cryptographic protocols. The technology makes it possible for COTI V2 to offer a faster, lighter, and more secure privacy solution, providing a ground for diverse applications including privacy-preserving wallets, decentralized exchanges (DEXs), Private AI training, governance, and beyond.
With this in mind, the COTI Foundation has now launched a $25 million ecosystem growth fund. The fund will help drive the development of privacy-focused initiatives.
The first project to benefit from this fund is Soda Labs, a promising player in cryptographic Multi-Party Computation (MPC), whose breakthrough technology and partnership with COTI are central to COTI’s infrastructure.
The COTI Foundation said Soda Labs will spearhead research efforts to expand practical applications for garbling protocols and other cutting-edge Multi-Party Computation (MPC) protocols, ensuring a secure and scalable privacy network for COTI users.
While commenting on this latest development, Avishay Yanai of Soda Labs said:
“We have long championed the innovation behind garbled circuits in secure MPC, and with this vote of confidence from the COTI Foundation, we can continue building the privacy tools needed for the next generation of web3.”
The partnership with Soda Labs also coincides with COTI's transition to Ethereum Layer 2, reinforcing its commitment to privacy. Per the COTI Foundation, the combined efforts aim to create an end-to-end application, ensuring confidential transactions for clients of all sizes while adhering to regulatory requirements.
Ecosystem Growth Fund for Holistic Development
The COTI Foundation revealed that it has earmarked 400 million COTI tokens, valued at $25 million, to support projects focused on fostering the growth and success of the COTI ecosystem. This COTI Ecosystem Growth Fund encompasses developers, partners, and grants programs, fostering a holistic growth strategy for the COTI V2 ecosystem.
Shahaf Bar-Geffen, CEO of COTI also commented that,
“The COTI Ecosystem Growth Fund represents a monumental step forward in COTI’s evolution to a privacy-centric Ethereum L2. The creation of this fund is integral in driving both the adoption of COTI V2 and the development of applications within the ecosystem”.
COTI V2 is a Privacy-Centric Ethereum Layer 2 that utilizes revolutionary technology to facilitate privacy across Web3 applications. Following a breakthrough in the cryptographic protocol known as "Garbled Circuits," COTI introduces a faster and lighter privacy solution that can be operated on any device, opening up a whole new world of use cases, including privacy-preserving wallets, DEXs, Private AI training, governance, and more.
Meanwhile, Soda Labs is an Israeli-based team specializing in cryptographic MPC protocols. With a focus on garbled circuits, Soda Labs transforms advanced cryptographic technologies into products that enable privacy and enhance security.
