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COTI is excited to announce its partnership with Xctuality, a Singapore-based startup that is building a Web3-powered digital textbook platform combining NFT ownership with secure, encrypted content access.

By leveraging COTI’s confidential compute infrastructure, Xctuality is building a next-generation Digital Rights Management (DRM) engine that keeps content secure, traceable, and privacy-first — without compromising the benefits of true digital ownership.

With Xctuality’s textbook platform now fully developed and a university professor ready to launch it with student cohorts, this collaboration marks a significant step toward bringing privacy-preserving blockchain technology into the world of digital education.

What Is Xctuality?

Xctuality is building an NFT eBookstore Platform — a Web3-powered digital textbook marketplace where students purchase textbooks as NFTs through a seamless custodial wallet experience. Behind the scenes, encrypted PDFs remain protected behind a privacy-first DRM system, ensuring that publishers’ intellectual property stays secure while students enjoy genuine digital asset ownership.

The platform was purposefully engineered to solve a longstanding challenge in digital publishing: how to grant true ownership of digital content while preventing unauthorized duplication or redistribution. With Xctuality, the answer lies in combining blockchain-based NFT ownership with COTI’s confidential compute layer to create a secure, scalable model for gated content distribution.

How Does the COTI-Xctuality Integration Work?

At the core of this partnership is COTI’s role as the confidential execution layer for Xctuality’s DRM engine. Each time a student opens a textbook, the reader app performs a COTI-verified ownership check that triggers lightweight confidential compute transactions on the COTI network.

Xctuality’s session-based DRM then unlocks using COTI’s confidential compute to protect AES encryption keys — ensuring that decryption occurs strictly in memory and textbooks are never exposed in plaintext on user devices.

Using COTI’s privacy-centric infrastructure, access rights to content are securely managed and released only to verified rights holders. This architecture ensures that sensitive Rights Management keys are never exposed publicly on-chain, and that confidential logic guarantees only verified content owners can retrieve session-based access.

The privacy-first key storage system, powered by COTI, delivers:

Encrypted access secured via COTI’s privacy infrastructure

Verified token ownership per sessions

Sensitive Rights Management keys never exposed publicly on-chain

Confidential logic ensuring only verified content owners can retrieve session-based access

Key chain-of-custody architecture that prevents unauthorized duplication or redistribution

With COTI handling the confidential execution layer, Xctuality can focus on building flexible, upgradeable infrastructure, including resilient protections for high-value content.

Practical Privacy for an Educational Real-World Use Case

Digital rights management has long been a friction point in the content industry. Traditional DRM systems are centralized, opaque, and often full of friction in the user experience. Xctuality’s approach flips this model by using blockchain-based ownership and COTI’s privacy technology to create a system where ownership is genuine, content is protected, and the user experience is seamless.

This collaboration demonstrates how COTI’s programmable privacy can extend beyond DeFi and governance into real-world content distribution. By serving as the confidential compute backbone for Xctuality’s platform, COTI is proving that privacy technology isn’t just about shielding financial transactions — it’s about enabling entirely new business models for digital content, intellectual property, and beyond.

What Xctuality is building goes beyond digital textbooks. As co-founder and CEO Warren Woon puts it, this is about how a COTI-powered, blockchain-driven DRM engine can empower content mediums that maintain privacy while harnessing value creation.

“With COTI handling the confidential execution layer, we can focus on building flexible, upgradeable infrastructure — including forward-looking quantum-resilient protections for high-value content.”

- Adrian Oliveiro, Co-Founder & CTO, Xctuality

Where Can I Learn More?

To learn more about Xctuality and its COTI-powered DRM platform, visit xctuality.com, and follow the project on LinkedIn and Instagram.

Stay COTI!

About COTI

COTI is the programmable privacy layer for Web3. Powered by high-performance Garbled Circuits (GC), COTI enables encrypted computation on public blockchains — delivering fast, low-cost, and compliant privacy for DeFi, payments, identity, governance, and AI applications.

For COTI updates and to join the conversation, be sure to check out our channels:

Website: https://coti.io/

X: https://twitter.com/COTInetwork

YouTube: https://www.youtube.com/channel/UCl-2YzhaPnouvBtotKuM4DA

Telegram: https://t.me/COTInetwork

Discord: https://discord.gg/9tq6CP6XrT

GitHub: https://github.com/coti-io

$21 billion. That’s what just four data broker breaches have cost American consumers in identity theft losses, according to a report released last week by the U.S. Congressional Joint Economic Committee.

Hundreds of millions of people exposed. Sensitive financial data harvested, sold, and leaked by companies most people have never heard of. And the proposed solution? Easier opt-out buttons.

This is not a technology failure. It is a design failure. The entire Web2 data model is built on centralized aggregation, where companies collect, store, and monetize your personal information in massive honeypots that are irresistible targets for hackers and criminal syndicates.

The real fix is not better opt-out pages. It is a fundamentally different architecture, one where users control their own data and privacy is built in at the protocol level.

That architecture exists today. And COTI is building it.

What Congress Found

The Joint Economic Committee report, led by Senator Maggie Hassan, examined four major data broker breaches over the past decade:

Equifax (2017): 147 million people exposed

Exactis (2018): 230 million people exposed

National Public Data (2023): 270 million people exposed

TransUnion (2025): 4.4 million people exposed

The committee estimated that roughly 30% of breach victims experience identity theft, with a median financial loss of around $200 per victim. That adds up to $20.9 billion in total consumer losses from just these four incidents alone.

These are not edge cases. These are the largest data aggregators in the world, and they failed to protect the most basic personal information of hundreds of millions of people.

The Web2 Data Model is Broken

Data brokers operate on a simple premise: collect as much personal data as possible, then sell it. Names, addresses, financial records, browsing habits, and health information are all gathered, packaged, and traded between companies that most consumers never interact with directly.

This model creates massive centralized databases that become high-value targets. When one of these honeypots is breached, the damage is catastrophic and irreversible. You can change a password. You cannot change your Social Security number, your date of birth, or your financial history.

The Congressional report highlights that even after these breaches, the proposed remedies are limited to making opt-out mechanisms easier to find. That is the equivalent of putting a better lock on a house that has already burned down. The fundamental problem remains: centralized data aggregation creates systemic risk, and users have no meaningful control over how their information is collected, stored, or sold.

There is currently no comprehensive federal law in the United States that adequately regulates the data broker industry. Without structural change, these breaches will continue.

The Web3 Alternative: User-Controlled Privacy

Web3 offers a fundamentally different approach. Instead of handing your data to centralized intermediaries and hoping they protect it, decentralized systems allow users to control what they share, with whom, and under what conditions.

This is not a theoretical concept. Decentralized identity, confidential computing, and programmable privacy are live today and solving the exact problems that Congress is now scrambling to address.

With on-chain privacy, there is no centralized database to breach. There is no honeypot of personal information waiting to be stolen. Users prove what needs to be proven, such as eligibility, identity, or creditworthiness, without exposing the underlying data. The attack surface shrinks dramatically because the data simply is not aggregated in one place.

This is the shift from “collect everything, protect nothing” to “reveal only what is necessary.”

Where COTI Fits In

COTI is the programmable privacy layer for Web3, powered by high-performance Garbled Circuits that enable fast, low-cost, and flexible confidential computation on-chain.

What makes COTI’s approach directly relevant to the data broker problem is that it provides selective, programmable privacy. This is not about hiding everything. It is about giving users and applications precise control over what data is revealed, to whom, and when.

Consider the use cases that the data broker industry currently serves, poorly, and how on-chain privacy solves them:

Identity Verification: Instead of storing copies of your ID with every service provider, decentralized identity systems built on COTI can allow users to prove who they are without exposing the underlying personal data. No copies means no copies to steal.

Financial Data: Institutions need to verify creditworthiness, transaction history, and compliance status. COTI’s Garbled Circuits enable this verification to happen on encrypted data, so sensitive financial records never need to be exposed in plaintext on a public ledger or stored in a centralized database.

Healthcare and Supply Chain: COTI is already working with partners like StaTwig to enable privacy-preserving processing of sensitive health supply chain data, such as temperature monitoring for vaccines, without ever decrypting the raw data into plaintext.

Regulated Asset Workflows: Through partnerships like Zoniqx, COTI is enabling privacy-preserving tokenization of real-world assets, ensuring that sensitive financial data tied to bonds, real estate, and private credit can move on-chain without being exposed.

In each of these cases, the underlying principle is the same: sensitive data is processed and verified without being collected, stored, or exposed by a centralized third party. This is the exact opposite of how data brokers operate today.

Privacy is Infrastructure, Not a Feature

The $21 billion price tag from this Congressional report is just the measurable cost of four breaches. The real cost, in lost trust, surveillance risk, and eroded personal sovereignty, is far higher.

Opt-out buttons and regulatory patches treat symptoms. They do not change the underlying architecture that makes breaches inevitable. As long as massive volumes of personal data are stored in centralized systems, those systems will be targeted, and they will fail.

The path forward requires building systems where privacy is not optional but foundational. Where users own and control their data by default. Where verification happens without exposure.

That is exactly what COTI is building. Privacy that is programmable, scalable, and compliant. Not as an afterthought, but as core infrastructure for the next generation of applications in DeFi, identity, payments, governance, and beyond.

The $21 billion question is not whether we need on-chain privacy. It is how fast we can build it.

About COTI:

COTI is the programmable privacy layer for Web3. Powered by high-performance Garbled Circuits (GC), COTI enables encrypted computation on public blockchains — delivering fast, low-cost, and compliant privacy for DeFi, payments, identity, governance, and AI applications.

For COTI updates and to join the conversation, be sure to check out our channels:

Website: https://coti.io/

COTI Earn: https://earn.coti.io/earn

X: https://twitter.com/COTInetwork

YouTube: https://www.youtube.com/channel/UCl-2YzhaPnouvBtotKuM4DA

Telegram: https://t.me/COTInetwork

Discord: https://discord.gg/9tq6CP6XrT

GitHub: https://github.com/coti-io

Ethereum’s founder just put Garbled Circuits on the map as essential privacy tech for Web3’s next chapter.

For COTI, this isn’t a new signal. It’s validation. We’ve already brought Garbled Circuits to production on Ethereum as a Layer 2, and we’ve been shipping real-world use cases with them ever since.

Here’s what Vitalik said, why Garbled Circuits matter, and what COTI has already built with privacy using Garbled Circuits.

Vitalik’s Call for Privacy That Actually Works

In a recent exchange about privacy and decentralization, Buterin emphasized the necessity for multi-party computation (MPC) solutions. These tools allow users to benefit from blockchain transparency while preserving confidentiality where it counts.

Among those tools, Garbled Circuits stand out. They enable encrypted data to be computed collaboratively, ensuring that no party gains access to another’s private inputs.

This isn’t the first time Buterin has pointed in this direction. At ETH Tokyo in 2025, he stated publicly: “Garbled circuits are just much faster than more complicated forms of MPC… there are lots of use cases where it’s valuable.”

More recently, Buterin published a detailed vision for AI-powered decentralized governance where he specifically called out Garbled Circuits as the path to pure-cryptographic security guarantees for multi-party computation. He wrote: “I would love to see at least the two-party case solved with garbled circuits so we can get pure-cryptographic security guarantees.”

That’s precisely the foundation COTI has built its entire privacy infrastructure on.

What Are Garbled Circuits?

Garbled Circuits allow multiple participants to jointly compute a result on encrypted data without revealing their individual inputs. The computation is represented as an encrypted circuit, where each gate and connection transfers only obfuscated information. The result is verifiable and confidential at the same time.

This solves one of blockchain’s fundamental privacy challenges: how do you process sensitive data on a transparent ledger without exposing it?

The cryptographic technique has existed in theory since the 1980s. COTI became the first blockchain network to deploy it in production.

How Garbled Circuits Stack Up

The blockchain privacy landscape includes several approaches. Each addresses specific use cases, but the trade-offs matter more than ever in 2026.

Zero-Knowledge (ZK) proofs have brought important privacy advancements to Ethereum, enabling one party to prove knowledge of information without revealing the data itself. However, ZK is primarily designed for proof verification rather than multi-party computation scenarios.

Fully Homomorphic Encryption (FHE) has opened new possibilities for encrypted computation. However, it remains highly resource-intensive, limiting its applicability for real-time blockchain environments that need speed and accessibility.

Trusted Execution Environments (TEEs) offer hardware-based isolation, but have faced repeated vulnerabilities that weakened confidence in their use as a foundation for trustless systems.

Garbled Circuits sit in the sweet spot: fast enough for real-time DeFi, lightweight enough for IoT and supply chain data, compliant enough for institutional requirements, and fully EVM-compatible.

COTI’s implementation delivers up to 3,000x faster computation than FHE and runs 250x lighter, making privacy-preserving computation practical for enterprise applications and accessible on any device.

COTI GC EVM: From Theory to Production

COTI’s V2 mainnet launched in March 2025 with the first on-chain implementation of Garbled Circuits, making it the first fully programmable privacy layer for Ethereum to hit the market.

Built in partnership with Soda Labs, the gcEVM is the world’s first production-ready Garbled Circuits implementation for on-chain confidentiality. It offers full EVM compatibility. Developers can write confidential smart contracts in Solidity using familiar tools like Hardhat, simply adding privacy parameters to unlock multi-party computation capabilities.

And unlike projects still in testnet, COTI has spent the past year proving it works. Across multiple sectors. At scale.

In Production: DeFi

On-chain arbitrage is one of the most competitive arenas in DeFi. Finding opportunities is only half the battle. On public blockchains, the transparency that makes decentralization possible also makes strategies visible. Competing bots can observe, copy, and front-run trades before they execute.

Bancor’s Arb Fast Lane has integrated COTI’s Garbled Circuits to solve exactly this problem. By encrypting sensitive execution inputs at the protocol level, traders can protect their strategies without hiding the entire transaction. Thresholds are encrypted before broadcast. The smart contract still enforces them during execution. But the values are never exposed in plaintext to competing bots or the broader network.

This is selective encryption applied at the exact point where transparency becomes a liability. It shifts the competition back to where it belongs: discovery and execution efficiency, rather than simple observation-based extraction.

It’s the first live example of Garbled Circuits powering private DeFi execution on-chain. And it’s just the beginning.

In Production: Healthcare

Perhaps the most striking validation came from an entirely different sector.

In partnership with StaTwig, the global supply chain company behind VaccineLedger (a UN-recognized Digital Public Good and winner of The Trinity Challenge), COTI completed a landmark pilot in Bangladesh under the national Expanded Program on Immunization (EPI).

The numbers speak for themselves:

10 million+ blockchain transactions processed in one month

Zero sensitive data exposed. All sensor data encrypted at the application level before touching the blockchain

Total cost: ~400 COTI tokens (~$5 USD) for the entire pilot

Validated by Bangladesh’s public health officials under the Directorate General of Health Services

The system monitored vaccine cold chains in real time using IoT sensors on refrigerators, freezers, and cold rooms. COTI’s Garbled Circuit logic evaluated alert conditions (temperature breaches, humidity anomalies, equipment failures) directly on encrypted data, without ever decrypting it into plaintext.

Privacy-preserving blockchain running at national scale, in a live government health program, processing 10 million transactions for less than the cost of a cup of coffee. That’s not a proof of concept. It’s a proof of economics.

In Production: Enterprise and Institutions

COTI’s institutional traction extends well beyond a single pilot.

EEA Privacy Working Group: COTI officially joined the Enterprise Ethereum Alliance Privacy Working Group alongside the Ethereum Foundation, Consensys (Linea), EY (Nightfall), Polygon, and others. Together, they’re shaping the privacy standards that will drive real-world adoption, and COTI is at the table.

RWA Tokenization: The partnership with Zoniqx, the Silicon Valley fintech leader in institutional-grade RWA tokenization, is designed to bring the world’s first privacy-enabled real-world assets on-chain. COTI’s Garbled Circuits are being embedded directly into Zoniqx’s platform for confidential issuance, encrypted transfers, and selective disclosure that meets MiCA and SEC requirements.

Hardware-Level Privacy: United Network became the first hardware wallet to integrate COTI’s privacy infrastructure, enabling confidential transactions with a physical card tap. Private keys stored locally, zero server-side backups.

Each of these is a milestone. Together, they form a pattern: COTI isn’t pitching privacy to institutions. Institutions are pulling COTI into their infrastructure.

In Production: The Builders

The final validation is perhaps the most forward-looking.

If anyone can build an app with AI tools, the platform they build on becomes the differentiator. And if that platform offers programmable privacy by default, you unlock an entirely new class of builders and applications.

COTI has launched the COTI Vibe Code Challenge: a 30-day campaign where anyone can build an app or game, mint a privacy token, and ship a real Web3 product on COTI Network. This campaign provides AI-powered tools, prompt packs, live coding sessions, and the opportunity to launch as a real project on COTI.

This is the thesis coming full circle. COTI built the privacy infrastructure. Proved it works in DeFi, healthcare, and enterprise. And now it’s opening the door to anyone with an idea.

About COTI

COTI is the programmable privacy layer for Web3. Powered by high-performance Garbled Circuits, COTI brings fast, low-cost, flexible, and compliant privacy to any blockchain. With privacy that’s programmable by design, COTI enables the next generation of DeFi, payments, identity, governance, and AI.

For all of our updates and to join the conversation, be sure to check out our channels:

Website: https://coti.io/

COTI Earn: https://earn.coti.io/earn

X: https://twitter.com/COTInetwork

YouTube: https://www.youtube.com/channel/UCl-2YzhaPnouvBtotKuM4DA

Telegram: https://t.me/COTInetwork

Discord: https://discord.gg/9tq6CP6XrT

GitHub: https://github.com/coti-io

Un membro della comunità COTI OG ha costruito un bot di trading completamente auto-custodito all'interno di Telegram — con token di privacy, chat crittografata e sicurezza biometrica. Ecco come funziona. Una delle cose più emozionanti nel costruire una blockchain pubblica è vedere la tua comunità costruire su di essa. Oggi, stiamo mettendo in evidenza CipherTrade — un portafoglio Telegram completamente auto-custodito & bot di trading costruito da @iamsstef.

CipherTrade non è solo un altro portafoglio. È un'esperienza completa di trading, privacy e messaggistica che vive interamente all'interno di Telegram — e non tocca mai le tue chiavi private.