COTI operates in a highly technical segment of blockchain infrastructure, where privacy, scalability, and smart contract execution intersect. As a result, its competitors are not general-purpose Layer 1s or payments coins, but a specific set of projects focused on private computation, Ethereum compatibility, and modular design.
COTI V2 is an Ethereum Layer 2 protocol built around encrypted computation. It uses garbled circuits to process logic without exposing inputs or outcomes. This is different from the zero-knowledge (ZK) techniques commonly used across the privacy space. For that reason, COTI doesn’t have many direct equivalents, but there are several projects with overlapping goals.
1. Aleo
Aleo is one of the most visible names in the privacy computation space. It uses ZK techniques to build a Layer 1 that enables private smart contracts with custom tooling and its own programming language. Unlike COTI, Aleo is not Ethereum-native, but both are designed to support developers building confidential applications.
2. Aztec
Aztec Network is a ZK rollup built on Ethereum that focuses on hybrid privacy. It lets developers selectively shield contract data using ZK circuits. Aztec’s goal overlaps with COTI’s in terms of privacy, but its architecture and approach differ significantly. Aztec prioritizes ZK-based proofs, while COTI focuses on encrypted off-chain execution secured by Ethereum.
3. Fhenix
Fhenix is another emerging Ethereum-based Layer 2 that enables encrypted computation, using fully homomorphic encryption (FHE). Like COTI, it targets applications that require confidentiality. Fhenix and COTI are similar in that they both operate inside Ethereum’s ecosystem with utility token models tied to execution.
4. Secret Network
Built on Cosmos, Secret Network enables privacy-preserving smart contracts using trusted execution environments (TEEs). While it is not EVM-native, it addresses a similar need for secure and private data handling. COTI differs by focusing entirely on Ethereum and removing reliance on TEEs or hardware assumptions.
These protocols are not identical to COTI, but they occupy the same emerging category: privacy infrastructure for smart contracts. The market is still early, and each project brings a different method to the problem of running private logic on-chain.
COTI stands out by integrating directly with Ethereum tooling, enabling encrypted execution with low developer friction, and staying focused on utility rather than speculation. As use cases for on-chain privacy expand, competition is likely to increase. But today, COTI’s use of garbled circuits makes it a unique entry in the space.
EXPLORE MORE :
1. What is special about COTI?
2. How much will COTI be worth?
3. Does Coti have a future?
4. What is the total supply of COTI?
5. COTI FAQ
