A new semi-permissionless privacy tool, privacy pools, launched the Ethereum, allowing users to transact privately while certifying their funds are not linked to illicit activities.
The tool to privacy, launched by Ethereum Builders 0xbow.io on March 31, gained support from the wishes of Ethereum co-founder Vitalik Blerin, who not only supports the privacy project but created one of the first deposits on the platform.
0xbow.io said it implemented “Sets of Association” to batch transactions on anonymous privacy pools and that a screening test was conducted to ensure that those transactions were not linked to illicit actors, such as hackers, phishers and scammers.
GM Ethereum ☀️
This is our great honor to announce the Mainnet launch of Privacy pools!
ETH users can now achieve on-chain privacy, while still separating from forbidden funds
It’s up to us all to normalize privacy 🫡
More information on this thread 👇 pic.twitter.com/3njo0axod1
– 0xbow.io (@0xbowio) March 31, 2025
Sets of the organization are “dynamic -new” – meaning if a transaction is accepted but eventually found to be not prohibited, it can be removed on the set without interrupting any other deposits, 0xbow.io said.
If a deposit is not qualified, the user can click the “Ragequit” function to restore funds to their original deposit address.
The change is part of the vision of 0xbow.io to “repair privacy” while also trying to achieve regulation compliance.
Privacy protocols have received a huge backlash from regulators in recent years due to their increase in the use of illicit actors in launder funds.
One of those privacy tools, Tornado Cash, was punished by the US Treasury’s Foreign Assets control office .
Tornado Cash has Removed from Ofac’s Blacklist After an appeal court said the US the Penalties are unlawful In January 2025.
0xbow.io noted that initial deposits are limited to 1 ether (Eth) But the limit will be raised once the privacy protocol is more tested in battle.
Pools in Privacy inspired by Baterin and others
More than 21 ETH moved in privacy pools from 69 deposits, including at least one from Buterin, 0xbow.io mentioned.
Source: Vitalik Buterin
In addition to the buterin, 0xbow.io Says It also received investment support from group number, BanklessVC, public works and many angel investors.
Related: Privacy is not a luxury in crypto, it is a necessity – midnight CEO
0xbow.io also praised Baterin, chainalysis head Jacob Illum, and two academics at the University of Basel in Switzerland for making a September 2023 white paper The description of how privacy pools can be built.
The 0xbow.io Strategic Adviser Ameen Soleimani also contributed to the paper, which saw more than 12,000 downloads and noted in nine other papers.
Privacy Pool Code also passes a Successful audit from the Audit Wizard. A wise contracting of the contract was established by former Apple engineer Joe Van Loon.
More than $ 41 billion worth of prohibited transfers was made in 2024, consisting of 0.14% of the total volume of onchain for the year, according to a chainalysis 2025 crypto crime report published on January 15.
While marked around a 11% fall from 2023, the chainalysis said the figure could climb nearly $ 51 billion as more criminals tied the addresses.
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