ParaloomPARALOOM

Use Cases

Real-world applications and scenarios for Paraloom

Use Cases

Paraloom enables privacy-preserving applications that weren't possible before on Solana. Here are some real-world scenarios.

Financial Privacy

Private Payroll

Problem: Companies paying employees in crypto expose salary information on-chain.

Solution with Paraloom:

Company Wallet → Paraloom Pool → Employee Wallets
     |                |              |
  Deposit         Shield         Withdraw
  (visible)      (private)     (unlinkable)

Employees receive salaries without revealing amounts or employer identity to the public.

Benefits:

  • Salary amounts stay confidential
  • Employer-employee relationship hidden
  • Employees can withdraw to any wallet
  • No correlation between payroll dates and withdrawals

DAO Treasury Operations

Problem: DAO treasuries are fully transparent, exposing strategic moves.

Solution:

  1. Treasury deposits funds to Paraloom
  2. Committee members receive private allocations
  3. Grants disbursed without revealing recipient identity
  4. Strategic purchases made privately
// Example: Private grant disbursement
let commitment = pool.deposit(grant_amount)?;
let note = ShieldedNote::new(commitment, secret);

// Later: Recipient withdraws
let proof = generate_withdrawal_proof(&note, recipient_address)?;
pool.withdraw(proof)?;

Confidential Voting

Anonymous Governance

Problem: On-chain voting reveals voter identity, enabling coercion and vote-buying.

Solution with Paraloom Compute:

Voter Registration

Voters deposit voting tokens into shielded pool, receiving voting credentials.

Private Vote Submission

Voters submit encrypted votes to Paraloom validators.

Confidential Tallying

Validators compute results on encrypted data using zkSNARK proofs.

Result Publication

Only final tally is revealed, individual votes remain private.

Privacy Guarantees:

  • Vote choices hidden from everyone
  • Voter participation can be hidden
  • No correlation between voter and choice
  • Results are verifiable via zkSNARK

Private NFT Ownership

Confidential Collections

Problem: NFT ownership is public, exposing collector identity and portfolio.

Solution:

Collector → Shield NFT → Private Ownership → Unshield to Sell
              |              |                    |
           Deposit      Hidden Owner          Withdraw

Use Cases:

  • Celebrity collections without paparazzi
  • Investment portfolios kept private
  • Art collecting without market manipulation
  • Gaming assets with surprise reveals

Supply Chain Privacy

Confidential Logistics

Problem: Supply chain data on-chain reveals business relationships and volumes.

Solution with Paraloom Compute:

// Supplier submits encrypted shipment data
let encrypted_data = encrypt(shipment_manifest, buyer_pubkey);
let job = ComputeJob::new(encrypted_data, verification_wasm);

// Validators process without seeing contents
let result = network.submit_private_job(job)?;

// Only buyer can decrypt result
let verified = decrypt(result, buyer_privkey);

Benefits:

  • Supplier-buyer relationships hidden
  • Order volumes confidential
  • Pricing stays private
  • Compliance verification without data exposure

DeFi Applications

Private Trading

Problem: DEX trades are front-runnable and expose trading strategies.

Solution:

  1. Deposit tokens to Paraloom
  2. Execute private swaps within shielded pool
  3. Withdraw to any wallet

Private DEX integration is planned for future releases. Current version supports SOL transfers only.

Confidential Lending

Problem: Loan positions reveal user financial status.

Future Capability:

  • Collateral deposited privately
  • Loan terms hidden
  • Interest payments shielded
  • Liquidation thresholds confidential

Gaming & Entertainment

Fair Gaming

Problem: On-chain games expose player strategies and outcomes.

Solution with Paraloom:

// Player commits to move privately
let move_commitment = poseidon_hash(&[player_move, randomness]);
pool.deposit_commitment(move_commitment)?;

// Game resolves after all commits
let proof = generate_reveal_proof(&move, &randomness)?;
game.reveal(proof)?;

Applications:

  • Poker with hidden hands
  • Strategy games with fog of war
  • Lottery without reveal manipulation
  • Prediction markets with private bets

Healthcare & Identity

Private Medical Records

Problem: Health data on-chain is a privacy nightmare.

Solution with Paraloom Compute:


Integration Examples

Basic Private Transfer

use paraloom_sdk::prelude::*;

async fn private_transfer() -> Result<()> {
    let client = Client::devnet().await?;

    // 1. Deposit (shields funds)
    let note = client.deposit(1_000_000_000).await?; // 1 SOL

    // 2. Wait for anonymity set to grow
    tokio::time::sleep(Duration::from_secs(3600)).await;

    // 3. Withdraw to new address (unlinkable)
    let recipient = Pubkey::from_str("...")?;
    client.withdraw(&note, recipient).await?;

    Ok(())
}

Private Compute Job

use paraloom_sdk::compute::*;

async fn confidential_compute() -> Result<()> {
    let client = Client::devnet().await?;

    // Encrypt sensitive input
    let input = b"sensitive data";
    let encrypted = encrypt_for_validators(input)?;

    // Submit private job
    let job = ComputeJob::private(
        encrypted,
        include_bytes!("process.wasm"),
    );

    let result = client.submit_job(job).await?;

    // Decrypt result (only you can read)
    let output = decrypt_result(&result)?;

    Ok(())
}

Best Practices

Coming Soon

FeatureStatusETA
Private SPL Token TransfersIn DevelopmentQ2
DEX IntegrationPlannedQ3
Cross-chain BridgeResearchQ4
Mobile SDKPlannedQ3

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