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      Tether's USDT Launches Confidential Version on Zama, Surpassing $131 Million in Volume

      Tether's USDT has been integrated into Zama, a confidentiality protocol utilizing fully homomorphic encryption to protect transaction details on public blockchains. This integration allows for the creation of a confidential version of USDT, known as cUSDT, enabling users to conduct transactions on the Ethereum network without revealing their financial information to the public.

      As of mid-September 2026, cUSDT has achieved a cumulative shielded volume of $131.3 million, with a total value locked of $7.7 million. This rapid adoption follows the protocol's first confidential USDT transfer in January 2026. Zama has also introduced a swap protocol for exchanging cUSDT with other confidential tokens and added 16 new confidential vaults, including products denominated in cUSDT, supported by Steakhouse Financial.

      The significance of privacy in stablecoin transactions is underscored by the visibility of Ethereum transactions, which can expose corporate financial movements to competitors. Zama's approach of wrapping regulated stablecoins like USDT aims to balance privacy with regulatory compliance, allowing for authorized audits while maintaining confidentiality. The successful launch of cUSDT reflects a growing demand for privacy-focused financial solutions in the decentralized finance (DeFi) space.

      © 2026 KLEA News. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

      Source: KLEA News

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