NEAR Perps Platform Adds Default Privacy for Trades

NEAR Protocol futures platform introduces default confidentiality for perpetual futures trades, protecting users’ on-chain trading privacy.

The NEAR blockchain’s futures platform now supports default confidentiality for trades, allowing users to conduct perpetual futures transactions without publicly linking their positions to their on-chain accounts, according to BSCN.

The feature means traders can open perpetual futures positions from their accounts while keeping the connection between the trade and their identity private on-chain.

NEAR Introduces Confidential Perpetual Trading

BSCN reported that the NEAR Protocol network’s futures platform has introduced default confidentiality for all trades conducted on the platform.

Under the new setup, traders can execute positions through their accounts without compromising their on-chain privacy. The change applies to trades conducted through the platform and is presented as a default privacy feature rather than an optional setting.

The development addresses the visibility of trading activity on public blockchains, where transaction records can generally be examined and linked to blockchain addresses.

For users of the NEAR futures platform, the stated objective is to prevent outside observers from determining which account belongs to a particular perpetual futures position.

Privacy Focused on On-Chain Activity

The confidentiality feature specifically concerns the relationship between trading activity and user accounts.

In practical terms, a trader can open a perps position through their account without the position being publicly identifiable as belonging to that account, according to the information shared by BSCN.

This distinguishes the feature from simply hiding the details of a trade. The key point described in the announcement is that the ownership relationship between the position and the user's account is protected on-chain.

The post does not provide additional technical details about how the confidentiality mechanism works, including the underlying cryptographic technology or the specific implementation used by the futures platform.

NEAR Expands Privacy for Futures Trading

Perpetual futures, commonly known as perps, allow traders to maintain leveraged positions without an expiration date. On blockchain-based platforms, activity associated with those positions can otherwise create publicly observable transaction records.

NEAR's implementation seeks to address that visibility by making confidentiality the default for trades on the platform.

BSCN's description does not indicate that all activity on the NEAR blockchain is now private. Rather, the reported change specifically concerns trades conducted through the network's futures platform.

The announcement also does not provide details on whether the confidentiality feature changes transaction costs, trading limits or other platform conditions.

For traders using the platform, the immediate development is the introduction of default confidentiality for perpetual futures positions, with the stated result that an outside observer cannot determine that a particular position belongs to a specific user account.

writer: Ethan Collins
Crypto Journalist
Ethan Collins reports on developments across the cryptocurrency and blockchain sector. His work covers market movements, protocol updates, regulatory changes, and emerging trends in digital assets.
He focuses on presenting complex topics in a clear and accessible manner for a broad readership.