Summary:

COTI is officially phasing out V1 and moving fully to its V2 network.
Sunset expected by end of Q3 2026, with final date announced 30 days prior.
Most users don't need to take action - but some wallets require manual migration
V2 powers COTI's growing privacy ecosystem, including Private ERC20 and upcoming Privacy Portal
Users holding V1 in VIPER or Ledger must upgrade to avoid losing access
COTI Moves Forward as V1 Reaches Its Final Chapter.

Every blockchain eventually reaches a point where older infrastructure can no longer support what comes next. For COTI, that moment has arrived. Over the past year, the network has been moving toward a more advanced setup built around privacy, scalability, and real-world use cases. That shift is now entering its final phase. COTI is officially preparing to sunset its V1 network and complete the transition to V2. However, this isn't a sudden move. Most of the ecosystem has already migrated. What's happening now is the closing step - making sure everything runs on a single, unified system going forward. COTI shared the direction clearly:

" The $COTI privacy ecosystem is scaling with Nightfall, Privacy-on-Demand & more. While most of V1 is already migrated, it's time to complete the transition." Source

The message is simple. V1 did its job. The future of the network is being built on V2. The original COTI V1 network was built on Trustchain, a structure designed for payments and fast settlement. It worked well at the time. But the scope of what COTI is building today goes far beyond that. The current focus is on privacy infrastructure, programmable privacy across DeFi, real-world assets, and institutional use cases. That shift requires a different kind of architecture. COTI V2 is built as an EVM-compatible Layer 2, which makes it easier for developers to build applications, integrate with existing tools, and scale new use cases. It also supports the technologies that define COTI today, including Garbled Circuits and the Nightfall system. At the same time, the ecosystem itself is expanding. Private ERC20 tokens are already live. The Privacy Portal is on the way, allowing users to convert public tokens into private ones in a few clicks. And privacy features are being extended beyond COTI to other networks. Trying to support all of that on V1 would create unnecessary complexity. Maintaining two systems slows everything down. So It's about simplifying the entire ecosystem and focusing all activity on a single network that can handle what comes next.

What the Timeline Looks Like

COTI has set the expected sunset of V1 and gCOTI V1 for the end of Q3 2026. An exact date will be confirmed at least 30 days in advance. That notice period is meant to give users enough time to take any required action. Even though the final shutdown is still months away, the recommendation is to move early. Waiting until the last moment always carries risk, especially when it comes to wallets or manual steps. Once V1 is fully sunset, support for those tokens and systems will end. That includes wallet compatibility, infrastructure support, and access to legacy tools. This is why the current phase matters because It's the window where users still have full control over their migration.

Do You Need to Take Action? It Depends

One of the more practical parts of this transition is that not everyone needs to do anything. If your COTI is held on a centralized exchange, there's nothing to worry about. The transition is handled behind the scenes. If you're holding ERC-20 COTI in a non-custodial wallet like MetaMask or Ledger (on Ethereum), that also remains unaffected. For users who deposited their tokens in the COTI Treasury, the upgrade has already been handled automatically. The only step required is providing a MetaMask address to receive the upgraded V2 tokens.

Where things change is for users holding native V1 tokens in VIPER or Ledger wallets connected to the original network. In those cases, manual migration is required. That process involves using the built-in swap function through VIPER or COTI Pay and providing a MetaMask address where the V2 tokens will be sent. It's not overly complex, but it does require attention and once the sunset happens, that path will no longer be available.

How the Migration Works in Practice

For users who need to migrate, the process is designed to be straightforward. Tokens held in VIPER can be upgraded directly through the wallet interface using the swap function. The system handles the conversion, and the upgraded tokens are sent to the provided MetaMask address. For Ledger users, there's an extra step. The Ledger device needs to be connected to VIPER first, allowing access to the tokens before initiating the swap. The important part is making sure the receiving wallet is set up correctly. Once the tokens are upgraded to V2, they exist on a different network, so they won't appear in the old environment.

COTI has also provided walkthrough videos and guides to reduce confusion.

Source

And as with any token migration, double-checking addresses and steps matters. Mistakes at this stage can be difficult to reverse.

What Happens After the Transition

Once V1 is fully sunset, the network becomes simpler. Everything runs on V2. From a user perspective, that means access to all new features happens in one place. There's no need to think about different versions or legacy systems. From a developer perspective, it removes fragmentation and building on a single network makes integrations cleaner and reduces overhead. Also from an ecosystem perspective, it strengthens the foundation for what COTI is aiming to build - a privacy-focused infrastructure layer that works across multiple use cases.

The token itself also becomes more unified. Because it powers everything within the V2 ecosystem, including transactions, staking, governance, and access to privacy features. At a surface level, this is a technical transition. But underneath, it reflects a larger direction. COTI's positioning itself as a privacy layer for Web3 - something that supports both builders and institutions. That requires a different kind of infrastructure. Faster execution, lower costs, and most importantly, the ability to handle sensitive data without exposing it and V2 is exactly built for that. So the sunset means clearing the path for a system designed around privacy-first applications.

Final Thoughts

Transitions like this are rarely exciting on the surface. COTI V1 helped build the early ecosystem and prove the core ideas. But the direction has changed, and technology has moved forward with it. For most, nothing needs to be done. For others, a few steps are required. But in both cases, the goal is the same to make sure everything is aligned with where the network is heading and once that's done, the focus can fully shift to what V2 is built for.