USAD is currently running on the Aleo mainnet, deploying a regulated digital dollar on a programmable layer 1 (L1) blockchain built with native transaction privacy.
Regulated digital dollar USAD now available on Aleo blockchain
Paxos Labs and Aleo Network Foundation announced the official launch of USAD on February 3, marking what they say is the first USD stablecoin issued on the L1 blockchain network built for privacy purposes.
The asset combines smart contract capabilities with Aleo’s privacy architecture, allowing transaction details to remain private while supporting compliant financial activities.
According to an announcement shared with Bitcoin.com News, USAD will leverage zero-knowledge technology to protect sensitive information such as participants’ identities and transaction amounts. This design positions stablecoins for businesses and developers who want programmable money without having to broadcast all the details of their ledger to the public internet.
“Stablecoins are already changing the way financial markets operate, but we are still in the early stages of what they can do,” said Bau Koteka, co-founder and director of Paxos Labs, adding that embedding digital dollars in privacy-enabled environments could expand institutional use cases.
USAD Live allows developers and organizations to bring USAD to payments, on-chain financial workflows, and other programmable applications that are difficult to implement on a fully transparent blockchain.
This announcement signals a broader effort to adapt regulated stablecoins to an environment where confidentiality is considered a feature rather than a bug.
“Privacy is one of the biggest barriers to large-scale adoption of blockchain,” said Leena Im, Chief Operating Officer of Aleo Network Foundation, emphasizing that privacy and programmability can coexist within a compliant framework.
USAD will be available on the Aleo mainnet starting this week, giving businesses a new option to process digital dollars in a privacy-friendly setting.
Frequently asked questions ❓
- What is USAD?USAD is a USD-backed stablecoin issued on the Aleo mainnet with built-in transaction privacy.
- Who started USAD?Paxos Labs and Aleo Network Foundation jointly announced the debut of mainnet.
- What is the difference between USAD and other stablecoins?It combines regulated issuance with zero-knowledge privacy features on a layer 1 blockchain.
- When did USAD become operational?The stablecoin is currently available on Aleo mainnet.
