Today, Constant will begin underwriting loans for Incognito, a privacy blockchain fueled by its native PRV token.
Constant and Incognito share the same founder but different CEOs. They also share similar DNA: a focus on customer experience, a love of technology, and a passionate commitment to digital rights. Together, they will advocate privacy for the digital economy.
Incognito is fighting for transactional privacy in the multi-billion dollar cryptocurrency market. Despite the advantages of a digital, immutable ledger, it leaves a permanent transaction history for all the world to see. It’s the equivalent of posting your bank statements online in a public forum. Incognito — and many of Constant’s customers — don’t think that’s fair.
“The top three cryptocurrencies — Bitcoin, Ethereum, and XRP — are all transacted on public blockchains,” said Annie Phan, Incognito’s operations lead. “You can see which addresses sent what in under a minute. It’s like a public terminal of every bank transaction ever made, available to anyone with an internet connection — but Incognito is the firewall.”
Incognito uses zero-knowledge proofs and cross-chain bridges to mask cryptocurrency transactions. To transact ethereum privately, for example, you first send ETH to a smart contract vault that authorizes the minting of private ethereum (pETH). After transacting privately on Incognito, you then burn pETH and retrieve ETH from the vault. This way, no-one — not advertisers, censors, or hackers — can track or exploit your data.
Incognito’s effectiveness, however, hinges upon its ability to scale. To help expand the network, Constant offers PRV holders credit and staking rewards. Rather than selling PRV, holders can simply borrow against it while staking their collateral for returns of up to 100%. Holders can then use borrowed funds to buy more PRV (for higher staking rewards) or to finance an Incognito Node, a desktop validator currently retailing for $399.
Constant benefits in two ways. One, it earns interest on PRV loans that it can then reinvest in developing its fully secured P2P lending platform. This will trickle down to better features, rates, and services for its customers. And two, the collaboration promotes transactional privacy in the cryptocurrency space — a subject many of Constant’s borrowers care about.
“We want to be the positive change happening the crypto space,” said Zon Chu, Constant’s CEO. “Privacy rights are under attack in the US and elsewhere and it’s time we stood up for our data. If we can help build a network that gives people control over what they share with the world, perhaps we can spur adoption, too.”
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