The goal of Web3 is to let people manage their own money, keep transactions private, and cut out the middlemen which sound like a dream. But making it all work smoothly is actually a lot more complicated than it seems. First, there’s the classic privacy vs. transparency dilemma. Most people want their transactions to stay private. But, to keep things above board and prevent illegal activity, regulators still need some level of transparency. It’s a balancing act that’s hard to pull off in a decentralized space.

Next in line is the cost problem. A lot of Web3 systems run on blockchain networks, which are amazing but can get crowded fast. When everyone’s trying to use the network at once, transaction fees can shoot up, making even the smallest payment costly. No one wants to pay high fees just to send some tokens around, so this is a huge barrier for private payments to go mainstream.

And, of course, there’s the complexity factor. Right now, a lot of Web3 platforms are still a bit clumsy and complicated, which makes them feel like they’re built more for developers than for everyday people. You might need to understand wallets, private keys, and other technical stuff just to send or receive funds.

Key Takeaways

• ENCOINS offers secure, private payments on Web3 with easy to use features for everyone.
• Wallet Mode and Ledger Mode allows you to keep ADA holdings private and make discreet transactions.
• The ENCOINS dApp simplifies managing, minting, importing, and exporting coins, making private transactions stress free.

The Mechanism Behind ENCOINS’ Privacy

ENCOINS is a privacy focused protocol built on the Cardano blockchain, designed to keep your financial activity private while you use Web3. This is how it works, you can create special NFTs, also known as Encoins, that come with secret redeemable values. These values are stored in an encrypted format, which means no one can see the exact amount they represent, giving you extra privacy with each transaction.

Using ENCOINS helps keep the amount of $ADA in your wallet hidden when you’re interacting with other users or decentralized apps. So, even if someone checks out your wallet on the blockchain explorer, all they’ll see is that you have some Encoins, they won’t know their exact value in ADA. And the people you’re transacting with also benefit from this extra layer of privacy, as it keeps both sides of the transaction discreet and secure.

The ENCOINS Wallet Mode and Ledger Mode

In Wallet Mode, you can mint, burn, and transfer ENCOINS using a CIP-30 compatible hot wallet. For now, ENCOINS supports popular wallets like Nami and Eternl, making it easy for users who are already familiar with these wallets to get started without any extra learning curve. Watch how it’s been done here.

From the outside, any blockchain explorer will only see ENCOINS in your wallet, but they won’t be able to determine the actual amount of ADA those ENCOINS represent. This is because ENCOINS uses a unique cryptographic method to separate what you own from what others can see, giving you a layer of stealth that traditional wallets lack. Even if someone is looking at your wallet address on a public blockchain, they won’t be able to figure out the amount of ADA your ENCOINS are worth.

For those who want even more privacy, Ledger Mode offers a powerful, stealthy solution. The ENCOINS Ledger is an on chain script that serves as your hidden, private account. Rather than sending coins directly to a public address, ENCOINS uses an off chain approach by letting users share minting keys with each other.

When you want to send coins to someone in Ledger Mode, you don’t actually send the coin directly. Instead, you share the minting keys off-chain. To receive a coin, the recipient simply imports the minting key and re-mints the coin on their end. This clever approach means transactions remain private, as the actual transfer happens quietly off the main blockchain. Check the full video on how to use Encoins protocol with Ledger Mode

Getting Familiar with ENCOINS dApp Functions

The ENCOINS dApp has several built in functions designed to make it easy to manage ENCOINS, whether you’re minting new coins, importing or exporting coins, or finalizing transactions.

Importing Coins

ENCOINS gives you the option to import coins that you receive from others. In Wallet Mode, these known coins are held in your current wallet, while in Ledger Mode, they are stored at the ENCOINS Ledger script address. To import a new coin, simply press the Import button and enter the minting key provided by the sender. Once imported, the coin will appear in your wallet or ledger, ready for you to use.

Exporting Coins

If you want to share your coins or back them up, ENCOINS lets you export coins in two different ways. Exports only the selected coins, allowing you to manage specific coins separately. Exports all known coins at once, which is great for backing up your entire collection. Exported coins can be easily shared with other users or imported into another wallet using the Import All button. This makes it simple to manage ENCOINS across multiple devices or wallets.

Minting New Coins

Minting new ENCOINS is straightforward. All you need to do is enter the $ADA value you want for each coin. The trick is that the values need to be whole numbers between 0 and 1,048,575. Once you’ve entered an $ADA value, hit the + button to add the coin to your transaction. You can also burn any existing coins at this stage, and once you’re ready, check your transaction balance, then press Send request to complete the minting or burning transaction.

Receiving Coins in Ledger Mode

Receiving ENCOINS in Ledger Mode requires a quick finalizing transaction to ensure the coins are under your full control. Once you receive a coin in Ledger Mode, start by importing the coin so it shows up in your Known Coins. Then, select the coin, press Add Change, and hit Send request. This quick step finalizes the transaction and places the coin fully in your control. On Ledger Mode, you get an extra layer of security and privacy, ideal for those who want total discretion with their holdings.

ENCOINS takes the complexity out of private payments in Web3, combining the security and privacy features users need with an experience that anyone can use. Using Wallet Mode for everyday privacy and Ledger Mode for stealth transactions, they make it possible to control your assets without sacrificing usability or cost effectiveness. ENCOINS might just be the perfect fit for you.