30+ Blockchain Confidentiality Use Cases Unlocked by Inco

Blockchains should be the coordination layer for the world economy. Despite billions of dollars being brought onchain, the growth of stablecoin payments, and increased institutional activity in DeFi and onchain real-world asset (RWA) issuance, there is still a long way to go to achieve global, mainstream adoption.

One of the main reasons for this is that many of the most obvious use cases, from peer-to-peer payments to onchain poker, are still either impossible to achieve onchain or uncomfortable for users, who could currently rather use centralized web2 technology that exposes them to intermediary risk. That’s because these use cases require something that’s against the key blockchain value of transparency: confidentiality.

Inco is the confidentiality layer of the blockchain ecosystem, enabling developers to create smart contracts with private state without sacrificing composability. Inco’s encryption-based approach is the missing piece that will enable crypto use cases that should be a no-brainer to achieve mainstream adoption.

Below, we’ve compiled a comprehensive list of potential Inco use cases. Some are already in production on testnet, while others have yet to be built. We hope this serves as inspiration for developers and gives users a taste of what Inco unlocks for the onchain ecosystem. 

Have we missed anything? If so, let us know on X.

Want to talk to the Inco team about how to build your use cases? Schedule some time in our Builders Office Hours.

Note: many of these use cases have yet to be built. This blog is designed to serve as inspiration for developers and projects looking to create new onchain use cases.

Consumer and Payments

Onchain Salary and Compensation 

Global payroll is a $99 billion market expected to reach $134 billion by 2028, yet it operates on decades-old infrastructure that's highly inefficient. The system processes $48 trillion annually for 1.74 billion workers through fragmented local providers, creating costly delays and fees of 6-7% for cross-border payments.

Stablecoins offer a solution with instant 24/7 settlement, eliminating banking delays and reducing fees. Companies could operate from a single liquidity pool instead of managing multiple local accounts and currencies.

However, blockchain transparency creates privacy risks: transaction amounts, dates, and wallet addresses are publicly visible, potentially exposing employee salaries and enabling identity tracking over time.

With Inco, salaries and balances can be kept confidential onchain, enabling companies and employees to receive the benefits of onchain payroll without sacrificing confidentiality.

Confidential Onchain Retail and Shopping

With stablecoins increasingly gaining adoption, it should be a no-brainer to use them for standard retail experiences. But consumers don’t want the details of their spending revealed to the world.

Inco can keep spending details hidden onchain, meaning user balances and transaction amounts can remain secret, protecting them from both friends, family, and even strangers from seeing their purchasing habits and also from predatory marketing operations.

Confidential Streaming Payments

In crypto, streaming payments are a solution that enables users to stream tokens to addresses at a continuous rate rather than in discrete chunks. Streaming payments are novel to crypto, and present a more flexible way to pay for services, for example by hours or seconds of usage (e.g. paying for compute for time or amount of compute consumed).

Key use cases could be getting paid for work onchain or subscribing to a service, but adoption is limited by the transparent nature of blockchains: you’re unlikely to want anyone in the world to be able to see how much your paying for a subscription or service, and neither workers nor companies want their payment details visible to the world. Inco can shield amounts and balances on the smart contracts for streaming payments, taking away the confidentiality issue. 

Confidential P2P Transactions

Payments platforms like Venmo, not to mention banks, give users the ability to hide their transaction details—this is something that’s rarely given much thought, as most users consider it the default mode of paying a friend or family member. 

But in crypto, such an obvious use case requires transparency, which makes users uncomfortable. With Inco, users can keep their transaction details private, and tokens can be turned into confidential versions. To see just how easy this is with Inco, check out the Comfy app.

Private Token Vesting

Traditional equity vesting platforms and corporate systems naturally keep vesting schedules, cliff dates, and token allocations private because employees and investors expect confidentiality around their compensation details and equity stakes. This privacy protection is considered standard practice in traditional finance and HR systems.

But in crypto, token vesting typically happens on transparent blockchains where vesting contracts, unlock schedules, and token amounts are publicly visible, creating uncomfortable exposure for employees, advisors, and investors. With Inco, companies can implement fully private token vesting where cliff dates, vesting amounts, and unlock schedules remain confidential, while still maintaining the programmable automation that makes onchain vesting valuable. Widely used vesting contracts can be turned into confidential versions that protect sensitive compensation data.

Secure International Remittances

Traditional banks and money transfer services like Western Union naturally keep remittance amounts and account balances private between sender and recipient. Users expect their transfer amounts and wallet balances to remain confidential, as this privacy is considered standard when sending money across borders.

But in crypto, remittances sent via public blockchains expose exact transaction amounts and wallet balances to anyone who looks. This transparency makes users uncomfortable about revealing their financial situations or family obligations. With Inco, users can send international remittances with hidden amounts and private balances while preserving the flow of funds for compliance and auditability. Standard remittance protocols can be turned into confidential versions that protect sensitive financial amounts while maintaining the cost and efficiency advantages of blockchain transfers.

Secure Onchain Card Transactions

Banking and traditional Visa cards naturally keep account balances and spending amounts confidential between the cardholder and their bank. Users expect their card balances and purchase amounts to remain private when making transactions, as this financial privacy is considered standard in traditional payment systems.

But in crypto banking solutions, the underlying blockchain transactions expose wallet balances and exact spending amounts to anyone who looks up the associated addresses. This transparency makes users uncomfortable about revealing their financial positions and spending habits. With Inco, crypto banks can offer cards with hidden balances and private transaction amounts while preserving the flow of funds for compliance and auditability. Standard crypto banking protocols can be turned into confidential versions that protect sensitive financial amounts while maintaining the convenience and global accessibility of blockchain-based payments.

Private Ticketing

Traditional ticketing platforms like Ticketmaster naturally keep purchase details private between the buyer and platform. Users expect their ticket prices, seat locations, and event attendance to remain confidential, as this privacy is considered standard when purchasing event tickets.

But in onchain ticketing, blockchain transactions expose which events you're attending, how much you paid for each ticket, and even your exact seat location to anyone who looks. This transparency makes users uncomfortable about revealing their entertainment preferences and spending habits. With Inco, platforms like Blocklive can offer confidential onchain ticketing where ticket prices and seat details remain private while preserving the benefits of blockchain verification and fraud prevention. Standard ticketing protocols can be turned into confidential versions that protect sensitive purchase information while maintaining the composability and efficiency advantages of onchain systems.

Additionally, event organizers can avoid the "empty room" problem where publicly visible ticket sales data creates adverse incentives for potential attendees, and performers can keep proprietary audience data confidential.

TradFi

Regulatory and Compliance-Friendly Onchain Finance

Traditional institutional trading and investment naturally keeps position sizes, portfolio allocations, and transaction amounts private between institutions and their prime brokers. Banks and hedge funds expect their crypto holdings, trading strategies, and market positions to remain confidential from competitors, as this operational privacy is considered standard in institutional finance.

But when institutions participate in onchain finance, blockchain transactions expose exact position sizes, wallet balances, and trading patterns to competitors and the public. This transparency makes institutions uncomfortable about revealing their crypto strategies, portfolio allocations, and market timing. With Inco, institutions can trade tokens, issue bonds and other financial instruments onchain, and participate in DeFi with hidden transaction amounts and private wallet balances while still enabling selective disclosure for regulatory reporting and compliance auditing. Standard DeFi protocols can be turned into confidential versions that protect sensitive institutional information while maintaining the yield opportunities, liquidity access, and programmable finance advantages of the onchain ecosystem. 

Additionally, existing financial infrastructure can be retooled with blockchains as the backend without either using siloed private blockchains or compromising on confidentiality.

Interbank Settlement 

Traditional interbank settlement systems like SWIFT and Fedwire naturally keep transaction amounts and institutional flows private between counterparty banks while providing necessary regulatory oversight. Banks expect their settlement volumes, liquidity positions, and client flows to remain confidential from competitors, as this operational privacy is considered standard in institutional banking infrastructure.

But if similar infrastructure existed onchain, transactions would expose exact settlement amounts, bank wallet balances, and transaction flows to competitors and the public, which would make banks uncomfortable about revealing their operational scale, liquidity management, and client activity patterns. With Inco, banks can conduct interbank settlements with hidden transaction amounts and private institutional balances while still enabling selective disclosure for regulatory reporting and central bank oversight. Standard settlement protocols can be turned into confidential versions that protect sensitive institutional information while maintaining the 24/7 availability, instant finality, and cost efficiency advantages of blockchain-based settlement infrastructure.

Institutional Trading Volumes

Traditional institutional trading platforms naturally keep trade sizes, order volumes, and position data private between institutions and their brokers. Banks and hedge funds expect their trading volumes, market impact, and execution strategies to remain confidential from competitors, as this operational privacy is considered standard in institutional markets.

But if this was to happen onchain, transactions would expose exact trade sizes, wallet balances, and volume patterns to competitors and the public. This transparency makes institutions uncomfortable about revealing their market strategies, position sizing, and trading frequency. With Inco, institutions could execute onchain trades with hidden volume amounts and private portfolio balances while still enabling selective disclosure for regulatory reporting and compliance auditing. Trading protocols could protect sensitive institutional information while maintaining the global liquidity access, programmable execution, and 24/7 market availability advantages of onchain trading infrastructure.

Confidential RWAs

Traditional asset management and custody naturally keep portfolio holdings, asset valuations, and ownership stakes private between institutions and their clients. Banks and investment firms expect their RWA positions, collateral amounts, and client allocations to remain confidential from competitors, as this operational privacy is considered standard in traditional asset management.

But when real world assets are tokenized onchain, blockchain transactions expose exact asset values, ownership amounts, and portfolio compositions to competitors and the public. This transparency makes institutions uncomfortable about revealing their asset strategies, client holdings, and market positioning. With Inco, institutions can tokenize and trade real world assets with hidden valuation amounts and private ownership balances while still enabling selective disclosure for regulatory reporting and compliance auditing. Standard RWA protocols can be turned into confidential versions that protect sensitive institutional information while maintaining the fractional ownership, global liquidity, and programmable finance advantages of tokenized real world assets. Confidential onchain identity can be combined with confidential tokens to program compliance and transfer rules—without revealing user PII information

Inco is a member of the ERC3643 Association, which is building a standard for RWA tokens.

Private Market Equity Transactions

Traditional private market transactions naturally keep deal sizes, valuations, and investor allocations confidential between parties and their advisors. Companies and investors expect their pre-IPO investment amounts, ownership stakes, and funding rounds to remain private from competitors, as this confidentiality is considered essential in private markets.

But when private market transactions are conducted onchain, blockchain transactions expose exact investment amounts, company valuations, and investor allocations to competitors and the public. This transparency makes companies and investors uncomfortable about revealing their funding strategies, ownership positions, and market valuations before going public. With Inco, private market participants can conduct pre-IPO transactions with hidden investment amounts and private ownership balances while still enabling selective disclosure for regulatory reporting and compliance auditing. Standard private market protocols can be turned into confidential versions that protect sensitive deal information while maintaining the programmable governance, automated compliance, and global accessibility advantages of onchain private market infrastructure.

Client Portfolio Management

Wealth managers are increasingly looking to enter the onchain ecosystem on behalf of their clients, but need to keep their clients’ positions confidential: client asset allocations are highly sensitive; exposure could reveal high-net-worth individuals' wealth and create security risks or enable targeted solicitation by competitors. 

With Inco, balances and transaction amounts can be hidden onchain, protecting client positions associated with a specific address.

Hedge Fund Activity

Traditional hedge fund trading naturally keeps trade sizes, portfolio positions, and investment strategies private between funds and their prime brokers. Hedge funds expect their position sizes, execution timing, and alpha-generating strategies to remain confidential from competitors, as protecting proprietary trading methods is essential for maintaining performance and client returns.

But in onchain hedge fund activity, blockchain transactions expose exact trade sizes, position changes, and strategy signals to competitors who can copy successful approaches and erode alpha generation. This transparency makes hedge funds uncomfortable about revealing their proprietary methodologies and competitive edge. With Inco, hedge funds can execute onchain strategies with hidden trade amounts and private position balances while still enabling selective disclosure for regulatory reporting and compliance auditing. 

Gaming and NFTs

Poker and Games of Chance

Onchain poker and other casino games should be an obvious onchain use case, presenting the ability to remove a centralized point of control and enable a simpler payout process with tokens.

But currently these games would not be possible onchain: the transparent nature of blockchains means that cards and hands would be visible to all players, totally destroying the game dynamics.

With Inco, values can be encrypted onchain while still computed upon, so developers can build games of chance and bluffing games with conventional smart contracts while keeping data like hands hidden.

Inco can also be used to generate hidden randomness that is trustless and provably secure: a huge deal for providers of games—even those in web2—who want to prove to their users that their game is provably fair.

Fog of War Games

Traditional strategy games naturally keep player moves, unit positions, and tactical decisions hidden from opponents until revealed through gameplay. Strategy gamers expect fog-of-war mechanics where their troop movements, resource allocations, and strategic planning remain concealed from enemies, as this hidden information is fundamental to competitive strategy gaming.

But in onchain strategy games, blockchain transactions expose player moves, unit deployments, and tactical decisions to opponents who can analyze transaction data to gain unfair advantages. This transparency makes players uncomfortable about revealing their strategic intentions and eliminates the core fog-of-war mechanics that make strategy games engaging. With Inco, onchain strategy games can maintain true fog-of-war with hidden move amounts and private unit positions while still ensuring verifiable game logic and fair outcome resolution. 

Confidential NFT Ownership and Trading

Traditional art and collectibles markets naturally keep ownership details and sale prices private between buyers, sellers, and auction houses. Collectors expect their purchase amounts, portfolio compositions, and ownership stakes to remain confidential from competitors, as this privacy is considered standard in high-value art and collectibles trading.

But in onchain NFT markets, blockchain transactions expose exact purchase prices, current owners, and collection holdings to anyone who looks. This transparency makes collectors uncomfortable about revealing their spending power, taste preferences, and portfolio strategies to competitors and potential targets. With Inco, NFT platforms can offer confidential ownership records and private sale amounts while still maintaining verifiable authenticity and transparent provenance tracking. Standard NFT protocols can be turned into confidential versions that protect sensitive collector information while maintaining the programmable royalties, global accessibility, and composable utility advantages of onchain digital asset markets.

Confidential NFT Metadata

Standard NFT implementations expose all metadata, attribute rarities, and special content immediately upon minting. This transparency eliminates surprise mechanics, reveals optimal strategies too early, and makes lootbox-style reveals impossible since all contents are visible onchain.

With Inco, NFT protocols can maintain confidential metadata and encrypted content while still ensuring verifiable ownership and authentic rarity verification. NFT systems can be enhanced with confidential capabilities that enable true lootbox mechanics, hidden attribute reveals, and encrypted premium content while retaining the provable scarcity, global tradability, and composable utility advantages that make NFTs valuable for gaming and collectibles.

This opens entirely new design spaces including NFTs with stats that remain hidden until gameplay conditions are met, educational content that's encrypted until purchase, and collectible packs where rarity and attributes are genuinely unknown until the owner chooses to reveal them onchain.

Onchain Guessing Games

Guessing games like Sudoku, Geoguessr, and Hangman naturally keep target values and player guesses private until the round is complete. Players expect answers to remain hidden from other players during gameplay, as this concealed information is fundamental to the competitive guessing mechanics.

But in onchain guessing games, blockchain transactions expose data like player guesses and game solutions to anyone who looks at the smart contract state. This transparency makes games unplayable as players can simply check the blockchain to see the correct location before submitting their guess. With Inco, onchain onchain guessing games can maintain hidden target locations and private player submissions while still ensuring verifiable scoring and fair game resolution. Standard gaming protocols can be turned into confidential versions that protect gameplay information while maintaining the provable fairness, decentralized competition, and composable rewards advantages of onchain gaming infrastructure.

DeFi and Governance

Private Trading

Confidential composability could enable private trading on decentralized exchanges where traders can hide their positions, order sizes, and trading strategies. This would mitigate front-running and other predatory tactics while still allowing for verifiable settlement and composability with other protocols. Users could use Inco to convert their tokens to confidential equivalents and keep the rest of their experience the same.

Blind Auctions

In onchain auctions, blockchain transactions expose bid amounts, bidder addresses, and auction strategies in real-time to all participants. This transparency undermines auction effectiveness as bidders can see competitors' bids and adjust their strategies accordingly, eliminating the core blind bidding mechanics. 

With Inco, auction protocols can maintain truly confidential bid amounts and hidden bidder participation while still ensuring verifiable winner determination and transparent final settlement. Bidders would simply enter the highest price they would be willing to pay and receive the item if this amount is the highest in the auction, doing away with dynamics such as competitive bidding and last-second sniping

Confidential Automated Market Makers (AMMs)

AMM protocols expose exact pool compositions, liquidity sizes, and rebalancing patterns to MEV bots and sophisticated traders who exploit this information through sandwich attacks and other extraction strategies. This transparency makes liquidity providers uncomfortable about revealing their positions while enabling predatory trading that reduces returns. 

With Inco, AMM protocols can maintain confidential pool compositions and private liquidity amounts while still enabling efficient price discovery and automated trading. AMM systems can be enhanced with confidential capabilities that protect liquidity provider information and prevent MEV extraction while retaining the permissionless trading, automated market making, and composable liquidity advantages that make decentralized exchanges effective.

Private Insurance Pools

Onchain insurance pools expose exact coverage amounts, premium payments, and claim payouts to anyone who looks. This transparency makes users uncomfortable about revealing their risk profiles, asset values, and insurance needs to competitors and potential bad actors. With Inco, crypto-native insurance protocols can offer confidential coverage amounts and private premium balances while still maintaining automated claim processing and transparent pool solvency verification. Standard insurance protocols can be turned into confidential versions that protect sensitive policyholder information while maintaining the permissionless participation, automated payouts, and programmable risk assessment advantages of onchain insurance infrastructure.

Private Lending

On DeFi lending protocols, blockchain transactions expose exact loan amounts, collateral balances, and liquidation risks to anyone who looks. This transparency makes users uncomfortable about revealing their financial positions, debt levels, and trading strategies to competitors and potential attackers. 

With Inco, DeFi lending protocols can offer confidential loan amounts and private collateral balances while still maintaining automated liquidation mechanisms and transparent interest rate calculations. Standard lending protocols can be turned into confidential versions that protect sensitive user information while maintaining the permissionless access, automated risk management, and composable yield advantages of DeFi lending infrastructure.

Confidential DAO Governance

In DAO governance, blockchain transactions expose exact voting choices, token holdings, and governance participation to anyone who looks. This transparency makes participants uncomfortable about revealing their positions, influence levels, and strategic voting patterns to other members and potential adversaries. 

With Inco, DAO governance protocols can offer confidential voting via encryption while still maintaining transparent proposal outcomes and verifiable vote counting. Standard governance protocols can be turned into confidential versions that protect sensitive participant information while maintaining the permissionless participation, automated execution, and transparent decision-making advantages of onchain governance infrastructure—and with no need for centralized offchain processes.

For more on this use case, check out Inco’s work with Tally.

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Prediction Markets

In onchain prediction markets, blockchain transactions expose exact bet amounts, position sizes, and trading patterns to anyone who looks. This transparency makes participants uncomfortable about revealing their confidence levels, financial positions, and predictive strategies to competitors who could exploit this information. 

With Inco, prediction market protocols can offer confidential bet amounts and private position balances while still maintaining transparent market resolution and verifiable outcome determination. Standard prediction market protocols can be turned into confidential versions that protect sensitive participant information while maintaining the permissionless access, automated settlement, and composable forecasting advantages of onchain prediction infrastructure.

Confidential DAO Treasury

Corporate treasuries and foundation funds typically maintain strict confidentiality around asset allocations, spending decisions, and financial reserves. Organizations expect their treasury balances, investment strategies, and expenditure patterns to remain private from competitors and external parties, as financial discretion is fundamental to effective organizational management.

However, DAO treasuries operating onchain expose exact asset holdings, spending amounts, and investment decisions to public scrutiny. This visibility creates strategic disadvantages as competitors can analyze treasury moves, and it may discourage contributors who prefer organizational financial privacy. Using Inco, DAO treasury protocols can maintain confidential asset amounts and private spending balances while preserving transparent governance approval processes and accountable fund management. Treasury management systems can be enhanced with confidential capabilities that protect sensitive organizational financial data while retaining the democratic oversight, programmable controls, and community governance benefits that make DAO treasuries effective.

Other

Confidential Supply Chain

Global supply chains could be brought onchain to improve efficiency and reduce counterparty risk, but if this happened today, details like pricing and inventory details could be exposed. Companies would be unlikely to be comfortable with this dynamic, as it would open up the potential for pricing competition, vendor usage, and more.

Inco could encrypt these smart contract details onchain, meaning blockchains could be used as decentralized supply chain ledgers without the risk of exposing sensitive information.

Confidential Onchain Identity

Onchain identity systems need to keep verification details, personal attributes, and identity credentials hidden while still keep them onchain. With Inco, onchain identity protocols can store encrypted personal details and verification credentials while enabling selective disclosure for specific use cases.

Users could prove their identity, age, citizenship, or other attributes to applications without revealing the underlying personal data. For example, proving they're over 21 for DeFi access without exposing their exact birthdate, or demonstrating accredited investor status without revealing income details. This enables sophisticated identity verification with programmable disclosure rules while maintaining the privacy protection, user sovereignty, and global accessibility advantages of decentralized identity infrastructure.

Confidential Medical Records

Traditional healthcare systems naturally keep patient medical records, treatment histories, and health data private between patients and healthcare providers. Medical patients expect their health information, treatment costs, and medical conditions to remain confidential from other patients and unauthorized parties, as this privacy is protected by regulations like HIPAA and is fundamental to healthcare trust.

But in onchain medical record systems, blockchain transactions expose patient data access, record updates, and healthcare interactions to public view. This transparency makes patients uncomfortable about revealing their medical conditions, treatment patterns, and healthcare utilization to unauthorized viewers. With Inco, medical record protocols can maintain confidential patient data and private health information while still enabling selective disclosure for authorized healthcare providers and insurance verification. Medical record systems can be enhanced with confidential capabilities that protect sensitive health information while retaining the interoperability, patient ownership, and global accessibility advantages of onchain healthcare infrastructure.

Confidential Storage and Content Marketplaces

Blockchains could be a fantastic foundation for storage and content marketplaces. Right now, however, it would not be possible to hide the links to the file locations, everyone would be able to access any file that was linked to on a blockchain. With Inco people could encrypt files, store them offchain, and keep the decryption key encrypted and stored onchain. Access control rules could be programmed onchain. For example, if a user buys a course, they could then decrypt the decryption key and use it to decrypt a video that's stored offchain.

Start Building Today

As you can see from the potential use cases outlined above, confidentiality is an immensely powerful unlock for blockchain developers. If you're interested in building one of these use cases, getting started with Inco is easy: just drop in the Inco library, and start building use cases that you’d never have been able to create before.

Want to see what you can build with confidential building blocks? Explore the Inco docs.