Polygon wallet launches USDC and USDT private payment features

ChainCatcher reports that, according to market sources, Polygon Labs launched a stablecoin privacy payment feature in its consumer wallet on Monday. This feature was developed in collaboration with the privacy protocol Hinkal and currently supports USDC and USDT.

It is reported that the Polygon wallet has now added a "Privately Send" option, allowing users to send stablecoins on Polygon via the Hinkal shielded pool. On-chain, the sender, recipient, and transfer amount are not publicly visible. Relevant transfers are verified using zero-knowledge proofs, enabling external observers to confirm that a valid transfer occurred without revealing the participants or the amount.

Polygon Labs stated that this feature is aimed at institutional payment scenarios and is designed to address the problem of excessive transparency in public blockchain payments. The design also includes built-in Know Your Transaction (KYT) screening and operates in a non-custodial manner, meaning that no operator holds user assets during the transfer process.