VerifiedX brings privacy layer to Bitcoin as institutional demand for confidentiality grows

Tech Share Share this article Copy link X icon X (Twitter) LinkedIn Facebook Email VerifiedX brings privacy layer to Bitcoin as institutional demand for confidentiality grows A new zero-knowledge-powered system enables shielded bitcoin transactions, reflecting a broader push across crypto to address the “privacy gap” keeping institutions off public blockchains. By Jamie Crawley , AI Boost | Edited by Stephen Alpher Apr 16, 2026, 2:00 p.m. Make preferred on What to know : VerifiedX has launched “Prism,” enabling confidential Bitcoin transactions via vBTC and its VFX token. The move comes as institutions increasingly demand privacy-preserving blockchain tools, highlighted by recent XRP Ledger upgrades. Zero-knowledge proofs allow transactions to remain verifiable without exposing sensitive data. A growing push to bring privacy to public blockchains has reached Bitcoin, with VerifiedX unveiling a new layer designed to shield transactions while maintaining auditability. The system, called Prism, enables encrypted balances, shielded addresses and selective disclosure, allowing users to transact privately while still proving compliance when required, according to an emailed announcement shared with CoinDesk on Thursday. The timing reflects a broader shift across the industry. The XRP Ledger this week introduced zero-knowledge proof (ZKP) capabilities aimed squarely at institutional users seeking to transact without exposing sensitive data on public ledgers. That effort highlights what many see as a core barrier to institutional adoption: transparency. While public blockchains provide trust through openness, they also expose balances, counterparties and transaction flows — something institutions typically avoid in traditional finance (TradFi). Any such development carries added weight when applied to Bitcoin. As the largest digital asset — worth more than the rest of the crypto market combined at times — Bitcoin remains the primary gateway for institutional capital. That means improvements to its functionality, particularly around privacy and usability, have the potential to influence the entire sector more profoundly than similar upgrades on smaller networks. VerifiedX is applying this model directly to Bitcoin-linked activity rather than building a separate privacy chain. Assets can move between transparent and shielded states, while “viewing keys” enable selective access for auditors or regulators. Beyond payments, the system supports programmable use cases such as private lending, trading and automated transactions, including agent-driven finance, all without revealing positions or intent onchain. Bitcoin News AI Disclaimer: Parts of this article were generated with the assistance from AI tools and reviewed by our editorial team to ensure accuracy and adherence to our standards . For more information, see CoinDesk's full AI Policy . More For You Wall Street trading-tech is coming to crypto as DoubleZero rolls out high-speed data for Solana By Margaux Nijkerk | Edited by Stephen Alpher 1 hour ago The project, called DoubleZero Edge, offers a real-time feed of raw data from the Solana blockchain, giving traders faster access to information that can influence prices. What to know : DoubleZero, a network focused on speeding up blockchain data for traders, has launched a new platform called DoubleZero Edge that delivers faster real-time data from Solana, aiming to bring Wall Street-style infrastructure to crypto markets. By using a dedicated fiber network instead of the public internet, the platform reduces delays... Read full story Latest Crypto News CoinDesk 20 performance update: Ethereum (ETH) price drops 1.3% as index trades lower 40 minutes ago Wall Street trading-tech is coming to crypto as DoubleZero rolls out high-speed data for Solana 1 hour ago Drift gets $148 million funding from Tether and partners as it replaces Circle stablecoin with USDT after massive exploit 1 hour ago Keep an eye on XRP, Plasma, DOGE as bitcoin drifts 2 hours ago Bitcoin funding rates hit most negative since 2023, history suggests bottom is in 2 hours ago Bitcoin holds near $75,000 as short-term holders look for profit opportunities 3 hours ago Top Stories The cheapest bitcoin ETF yet: Morgan Stanley uses 0.14% fee to draw $100 million in first week 4 hours ago Bitcoin rally is taking a breather near $75,000. Onchain data shows why 8 hours ago Buying coffee with bitcoin is easy, the resulting tax burden is not 5 hours ago Bitcoin devs bet a quantum attacker will play nice with a ‘wait and react’ plan 9 hours ago Ripple partners with Korea's Kyobo Life to tokenize government bond settlement 8 hours ago Bitcoin's quantum debate splits as Adam Back pushes optional upgrades over forced freeze 8 hours ago