Penumbra

This content is generated by RD AI and is for reference only

Penumbra is a Layer 1 blockchain built on the Cosmos SDK, focused on privacy for cross-chain assets. It uses zero-knowledge proofs (ZKP) and end-to-end encryption to place all assets (including IBC tokens) into a unified shielded pool by default, hiding transaction amounts, asset types, and the identities of sender and receiver. Users can use the Prax wallet or the pcli command-line tool to conduct private transfers, staking, governance voting, and on-chain trading. Its built-in DEX (ZSwap) employs a sealed-bid batch auction mechanism, supporting private swaps and concentrated liquidity market making. Penumbra's design aligns the privacy boundary with the IBC boundary: assets are shielded upon transfer in and unshielded upon transfer out, maximizing privacy.