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What is the COTI protocol?

Nahid
Published: January 13, 2026
(Updated: January 14, 2026)
2 min read
What is the COTI protocol?

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The COTI protocol is a privacy-first Layer 2 designed to bring confidential computation to Ethereum. It’s not another rollup. It’s not a ZK playground. It’s a full execution environment for encrypted smart contracts, built using garbled circuits, a cryptographic method that keeps logic and data hidden while still verifiable.

Here’s what the protocol actually does:

  • It lets developers build apps that process sensitive logic without revealing inputs, outputs, or business rules
  • It allows users to pay for private computation in COTI tokens
  • It offers a staking treasury where users can earn rewards while securing the protocol
  • It introduces a modular privacy layer that connects to Ethereum’s existing ecosystem without needing to replace it

Think of the COTI protocol as a plugin layer for privacy. You don’t have to move off Ethereum or give up composability. You just opt into encrypted computation when you need it, financial contracts, AI models, private voting, or anything else that shouldn’t be public by default.

COTI was originally a Layer 1 (Trustchain), but that’s legacy now. With COTI V2, the protocol is fully Ethereum-native, designed to be EVM-compatible, wallet-friendly, and easy to integrate into existing workflows. The protocol is governed and maintained by the COTI Foundation, with staking-driven economics, programmable token issuance, and a roadmap focused on developer tooling, SDKs, and long-term decentralization. It’s not built for hype. It’s built for builders who care about privacy, and users who don’t want to sacrifice usability to get it.

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About the Author

Nahid

Nahid

Nahid is a contributor at CotiNews from Bangladesh, covering developments across the COTI ecosystem. His work focuses on breaking down complex updates, technical concepts, and ecosystem news into clear, accessible stories for a wider audience.

Disclaimer

The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official stance of CotiNews or the COTI ecosystem. All content published on CotiNews is for informational and educational purposes only and should not be construed as financial, investment, legal, or technological advice. CotiNews is an independent publication and is not affiliated with coti.io, coti.foundation or its team. While we strive for accuracy, we do not guarantee the completeness or reliability of the information presented. Readers are strongly encouraged to do their own research (DYOR) before making any decisions based on the content provided. For corrections, feedback, or content takedown requests, please reach out to us at

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