Private execution
Private execution
A private balance can act on an external protocol as an ordinary counterparty would, while the identity behind it stays unlinkable, and separate activities stay unlinkable from each other.
Most of DeFi expects a conventional wallet: a public key that signs, holds a position, and can be looked up. That expectation is what leaks. Veilo satisfies it without satisfying the leak.
This is the part of Veilo that most distinguishes it from a pool that only holds funds, and private swap is simply its simplest case.
How it works
Private notes are spent
Your client selects notes from your private balance and authorises the spend with a proof. Your own wallet is not involved and does not sign.
A single-purpose wallet is funded
The relayer funds a fresh wallet, derived deterministically for this one action, out of that spend. The proof severs the link between your balance and that wallet.
That wallet acts on the venue
It places the order, opens the position or buys the shares, as an ordinary counterparty, using the same liquidity and the same programs as anyone else.
Proceeds are reissued privately
When you close, settle or sell, the output is swept back into your private balance as a fresh note. Because the wallet is derived deterministically, it can be re-derived later to manage or close the position.
One mechanism, many venues
Two kinds of unlinkability
| Unlinked from | What that means in practice |
|---|---|
| You | The position exists on-chain and is visible, but nothing ties it to your wallet, your deposits or your other balances. |
| Your other activity | Two positions opened from the same private balance are not linkable to each other. A venue cannot build a profile across them. |
What it enables
Positions & tokenized assets
Opening and closing spot positions, including consolidating several into one, and tokenized equities, ETFs and commodities.
Perpetuals
Leveraged positions with take-profit and stop-loss orders.
Prediction markets
Binary event markets, priced as implied probability.
Limit orders & conditionals
Resting orders, rather than only market execution.
Token raises
Participating without the allocation being publicly attributable.
Card spending
Funding prepaid cards from a private balance for real-world payments.
Reliability matters here
Multi-step flows can be interrupted: an app closes, a network drops, a venue rejects an order. Every flow above has an explicit recovery path that returns funds to your private balance, and no step leaves value stranded somewhere only a lost session could reach.
- The single-purpose wallet is derived deterministically, so it can always be re-derived from your own keys. A lost device does not lose the position.
- Collateral left behind by a cancelled or rejected order can be recovered back into a private note.
- Settlement that lands in the single-purpose wallet is swept into your private balance, not left sitting there.
Public and private paths both exist
Every market Veilo exposes can also be traded from a public balance, the ordinary way, and for some purposes that is the right choice, because it is simpler and cheaper. Private execution is what makes the private path possible; it is not the only path. The wallet shows which balance is funding an action before you confirm.
What the venue still knows