The Aptos network is preparing to introduce confidential APT, a new feature that would allow users to keep certain transaction details private while still operating on a transparent blockchain. The upgrade is expected to arrive on mainnet after a future software release and the approval of AIP-143.
With this feature, users will be able to conceal the amount of APT they hold and transfer, while the sender and receiver addresses remain visible on-chain. According to the team, the design could make Aptos more suitable for institutional activity such as payments, trading, and asset management.
Sherry Xiao, founding engineer at Aptos Labs, explained that the current blockchain landscape forces users to choose between full transparency or complete privacy, two extremes that can create problems for mainstream adoption.
“Neither option is realistic in the long term, and this lack of confidentiality is a core reason why trillions of dollars in institutional capital remain sidelined.”
Confidential APT will work as a built-in protocol feature rather than a smart contract add-on. Participation will be optional, meaning users who prefer fully transparent transactions can continue using the network as usual.
The system will encrypt balances and transfer amounts, but it will also allow selective disclosure, letting users reveal transaction details to trusted parties when necessary. To maintain trust, zero-knowledge proofs will verify that transactions are valid and prevent double-spending without exposing sensitive information.
The initiative is part of a broader privacy stack being developed on Aptos. One component involves keyless accounts, which allow users to authenticate transactions through services like Google or Apple without directly linking their identity to a blockchain address.
Another proposal involves an encrypted mempool, which would hide transaction details from validators before they are finalized in a block. Validators would still confirm that a transaction is legitimate, but they would not see its contents until it is recorded on-chain.
Xiao described the move as a strategic step to support more advanced financial activity on the network, saying Aptos is aiming to become infrastructure capable of handling large-scale financial use cases.
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