Secret

The history of Secret (SCRT) began with the publication of research papers by Guy Zyskind in June 2015, focusing on secure and private decentralized computation. This early work laid the foundation for the development of the Secret Network, which was initially known as Enigma.

In February 2020, the Secret Network mainnet was launched, marking a significant milestone in the project's history. This mainnet was built using the Cosmos SDK and Tendermint, and it introduced the native coin, SCRT, which is secured through a proof-of-stake consensus algorithm.

Throughout 2021, the network saw several key developments. In February, SecretSwap, the first Automated Market Maker (AMM) on the network, was launched. This was followed by the launch of SiennaSwap in October and the introduction of the first Secret NFT using the SNIP-721 standard. The Supernova upgrade in November enabled Inter-Blockchain Communication (IBC) for the Secret Network, allowing SCRT to flow to other Cosmos SDK chains.

In 2022 and 2023, the network continued to evolve with upgrades such as Shockwave Omega, which increased contract throughput by five times, and the Secret 2.0 initiative, which outlined a roadmap for adding cryptographic primitives and additional functionality to the blockchain. These upgrades have enabled the development of various use cases, including Secret Tokens, Secret DeFi, and Secret Gaming.

Today, the Secret Network is a decentralized platform that specializes in private smart contracts, enabling users to build and use decentralized applications with encrypted data. The SCRT token plays a crucial role in the network, allowing users to stake, vote, and pay transaction fees while maintaining data privacy and security.

The cryptocurrency Secret (SCRT) is the native coin of the Secret Network blockchain. It is used for staking and governance on the network. The initial supply of SCRT is theoretically set at 150 million, with an inflation rate between 7-15% per year, depending on the percentage of SCRT being staked. This incentivizes participation and helps maintain the network.

SCRT holders can participate in staking, which helps secure the network and validate transactions. Additionally, they can vote on community-led governance proposals, allowing them to have a say in the direction and development of the network.

The Secret Network is designed to provide privacy-preserving features through its use of Trusted Execution Environments (TEEs) and Secret Contracts. These contracts are coded in Rust and compiled using WASM, ensuring that all transactions are made inside the TEEs, which act like a "black box" to encrypt data. This allows for confidential computing and makes it possible to build decentralized applications that are private by default.

Secret Tokens are programmable tokens that can be minted using the SNIP-20 standard. These tokens are encrypted by default, keeping details such as balances, transactions, and metadata private. They can be bridged from other blockchains, making any token privacy-preserving. Viewing keys are used to grant controlled access to these private tokens.

Wrapped tokens, like sSCRT, are created by wrapping public tokens like SCRT. This process makes the tokens invisible on-chain, with only the interaction with the smart contract visible. This allows for private transactions and balances, while still maintaining the functionality of the original token.

SCRT can be stored in various wallets, including Ledger Nano S and X, Math Wallet, and Keplr Wallet. It can be traded on exchanges like Binance and Gate.io, offering a range of trading options.

The development of the Secret Network is led by SCRT Labs, a team focused on creating privacy-first, decentralized technologies. The community is active, with opportunities to get involved and contribute to the growth of the network.

Overall, the Secret Network and its native coin SCRT are designed to provide a privacy-preserving ecosystem for decentralized applications and transactions, offering a unique solution in the blockchain space.

The token Secret (SCRT) has several strengths that make it a promising cryptocurrency project:

1. Privacy and Security: SCRT is designed to maintain data privacy and security through the use of homomorphic encryption, zero-knowledge proofs, and ring signatures. This ensures that sensitive information remains protected while still allowing for transparent transactions.

2. Utility Token: SCRT serves as a utility token, enabling holders to stake, vote on network developments, and pay transaction fees. This multifaceted functionality adds value to the token and encourages participation in the network.

3. Governance: SCRT holders have a direct say in the governance of the network through voting, which is powered by staked SCRT. This decentralized governance model ensures that the community has a significant role in shaping the future of the network.

4. Staking and Inflation: SCRT has a dynamic inflation rate that incentivizes staking, which in turn enhances the security of the network. Stakers are rewarded with inflation rewards, providing a sustainable environment for the token.

5. Scalability: Secret Network is designed to handle high throughput and fast finality, reducing the need for a fee market and making transactions more efficient.

6. Decentralized Applications: The network supports the development of decentralized applications (DApps) that prioritize user data privacy, making it an attractive platform for developers building privacy-focused applications.

7. Innovative Technology: Secret Network's unique approach to privacy and security through its encryption methods and decentralized architecture sets it apart from other blockchain projects, offering a distinct value proposition.

These strengths collectively contribute to the potential of SCRT as a significant player in the cryptocurrency space.

Secret Network's financial risks are primarily related to its tokenomics and the security of its transactions. Here are some key points:

• Inflation Risk: SCRT has no supply cap, and its inflation rate is dynamic, ranging from 7% to 15% per year, depending on the percentage of staked SCRT. This could lead to a decrease in the token's value if not managed properly.

• Staking and Governance Risks: The delegated-Proof-of-Stake (dPOS) system used by Secret Network relies on validators and their delegators. If the bonded rate of staked SCRT goes above 66%, the inflation rate decreases, which could impact the sustainability of the network.

• Security Risks: Past security vulnerabilities, such as the one that allowed extraction of a master decryption key, have compromised the confidentiality of transactions. Although these issues have been patched, they highlight the importance of ongoing security measures to protect user data.

• Market Volatility: SCRT's price has been known to fluctuate significantly, which can be a risk for investors. The token's value can be affected by various market and project-specific factors.

• Gas Fee Risks: Gas fees on Secret Network are set by validators and can vary. High gas fees can make transactions expensive, which could negatively impact user adoption and the overall health of the network.

• Regulatory Risks: As a privacy-focused project, Secret Network may face regulatory challenges or scrutiny from governments and financial institutions. This could impact its adoption and the value of SCRT.

These financial risks underscore the importance of ongoing development, security enhancements, and community engagement to ensure the long-term sustainability and success of the Secret Network project.

• Guy Zyskind: CEO and Founder of SCRT Labs, the driving force behind Secret Network.
• Nir Zyskind: Director of Business Development at SCRT Labs.
• Itzik Grossman: VP of Engineering at SCRT Labs.
• Assaf Morami: Lead Software Engineer at SCRT Labs.
• Tom Langer: Senior Software Engineer at SCRT Labs.
• Yonatan Erez: Head of Product at SCRT Labs.
• Shahar Raz: Head of Marketing at SCRT Labs.
• Eshel Bar Meir: Software Engineer at SCRT Labs.
• Lior Bondarevsky: Senior Software Engineer at SCRT Labs.
• Tovi Levis: Senior Software Engineer at SCRT Labs.
• Yonathan Bartana: Director of Operations at SCRT Labs.
• Orly Magled: Executive Assistant at SCRT Labs.