VerifiedX Launches Prism Privacy Layer for Bitcoin to Meet Institutional Demand

Bitcoin’s public ledger exposes wallet balances, counterparties and the flow of funds, leaving institutions vulnerable to strategy disclosure and front-running. The VerifiedX Foundation is addressing these concerns through a Bitcoin sidechain designed to support transaction privacy, programmable finance and regulatory audits without altering the mainnet.

VerifiedX unveiled Prism, a zero-knowledge proof system, on April 16, 2026, offering encrypted balances, shielded addresses and selective disclosure through viewing keys. It provided further details on the system’s self-custody architecture on May 17. At the time, total value locked in Bitcoin DeFi exceeded $5 billion, far below Ethereum’s $44 billion.