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Cryptocurrency News Articles

Privacy-Focused, EVM-Compatible L1 Networks: A Deep Dive

Jun 25, 2025 at 11:35 pm

Exploring the rise of privacy-focused, EVM-compatible L1 networks like Moca Chain and Litecoin, and their impact on decentralized finance and digital identity.

Privacy-Focused, EVM-Compatible L1 Networks: A Deep Dive

The crypto space is buzzing with innovation, particularly around Layer-1 (L1) networks that prioritize privacy and maintain compatibility with the Ethereum Virtual Machine (EVM). This intersection is crucial for creating a decentralized ecosystem that's both user-friendly and secure. Let's dive into the key developments and trends shaping this landscape.

Moca Chain: Decentralized Identity Management on an EVM-Compatible L1

Moca Foundation's upcoming Moca Chain is making waves with its focus on decentralized identity and data authentication. Slated for a testnet launch in Q3 2025 and mainnet deployment by year's end, this EVM-compatible L1 aims to give users control over their digital identities, moving away from vulnerable, centralized login systems. Yat Siu, co-founder of Animoca Brands, emphasizes the goal of eliminating the risks associated with centralized data silos. The integration of AIR Kit gives Moca Chain immediate access to a massive potential user base.

Litecoin's MWEB: Privacy Without Sacrificing Speed

Litecoin's MimbleWimble Extension Block (MWEB), launched in May 2022, continues to gain traction, showcasing the demand for on-chain privacy that doesn't compromise speed or scalability. With over 90% of miners and nodes validating MWEB blocks and a significant amount of LTC locked into the private layer, MWEB's adoption speaks volumes. Its opt-in approach to privacy, balancing transparency with user control, is proving to be a winning formula. The upcoming LitVM project promises to bring smart contract capabilities to Litecoin, further expanding its utility.

EVM Compatibility: Bridging the Gap

EVM compatibility is a recurring theme. The success of projects like Oku launching on Etherlink (an EVM-compatible L2 on Tezos) highlights the importance of interoperability. Etherlink leverages Tezos's security and low fees to offer a CEX-like experience in a decentralized environment. This integration and others like LayerZero are facilitating seamless asset and data transfers between Tezos, Ethereum, and other EVM-compatible ecosystems.

The Future of Privacy and DeFi

The convergence of privacy and EVM compatibility on L1 networks represents a significant step forward for the decentralized web. While Moca Chain focuses on identity and Litecoin's MWEB emphasizes transactional privacy, the underlying trend is clear: users are demanding greater control over their data and financial activities. The rise of user-friendly interfaces and cross-chain compatibility will undoubtedly fuel further adoption.

My Take: A New Era of User Empowerment

Personally, I'm incredibly excited about these developments. The combination of privacy features with the robust ecosystem of EVM-compatible networks has the potential to onboard a new wave of users to DeFi. For example, with Moca Chain's focus on decentralized identity management, users can have full control of their data, and they can choose which applications to connect to, similar to how you connect your wallet to various dApps. This level of empowerment is what's been missing in the traditional web.

So, keep an eye on these projects. The future of blockchain is looking brighter – and more private – than ever before. Who knows, maybe one day your grandma will be using a privacy-focused L1 to manage her digital identity... now that's something to look forward to!

Disclaimer:info@kdj.com

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