ENCOINS can be used as any other native asset on Cardano: they can be traded, gifted, or used in other DeFi protocols that support them. They can also be used in ENCOINS Ledger, our upcoming shielded accounts system.
ENCOINS is a decentralized private accounts and payments protocol on the Cardano blockchain[1]. It is a privacy protocol that utilizes encrypted coins and Zero-knowledge proofs to protect user information[3]. ENCOINS allows users to transact with private amounts with only the coin’s value being known to the interaction parties[2]. The ENCOIN holder can send cryptographic proof to the buyer of the ADA value, allowing the transaction to take place[2]. Users can mint ENCOINS by sending a sum of ADA to the smart contract, which will issue NFTs related to the ADA sent[2][5]. Later, the users can burn the ENCOINS to redeem the ADA held in the smart contract[3]. ENCOINS Core provides privacy when it comes to the amounts of transactions, but all ENCOINS transfers are visible on the blockchain[2]. The information about the parties involved in the transaction can be kept private if there is a way to create a private transaction sub-ledger on the Cardano blockchain, which ENCOINS Ledger makes possible[2][3]. ENCOINS Ledger creates a private sub-ledger where participants’ encrypted coins are locked, adding more privacy to ENCOINS transactions on the Cardano blockchain[3].
Citations: [1] https://encoins.io [2] https://adapulse.io/encoins-looks-to-bring-native-privacy-tokens-on-cardano/ [3] https://cardanospot.io/news/encoins-privacy-protocol-cardano [4] https://www.cardanocube.io/projects/encoins [5] https://encoins-crypto.medium.com [6] https://youtube.com/watch?v=3gns1etdRFc