Sienna Network Raises $11.2M for Privacy-Focused DeFi Platform

The Growing Momentum of Privacy in Decentralized Finance

Recent developments indicate a significant shift towards privacy within the blockchain space. Last week, the Secret Network blockchain received substantial investment from prominent firms like Arrington Capital and Blocktower Capital.

This investment underscores the increasing importance of privacy-focused financial blockchain projects. Such projects are considered essential for the long-term viability and growth of DeFi (decentralized finance).

Sienna Network Secures $11.2 Million in Funding

Further solidifying this trend, Sienna Network, a privacy-focused decentralized finance company, has successfully raised $11.2 million. This funding comes from both institutional investors and its community supporters.

The raise comprised a $10 million private token sale, with participation from investors including NGC, Inclusion Capital, Lotus Capital, FBG, and Skyvision Capital. An additional $1.2 million was secured through DaoMaker and Polkastarter exchanges.

Built on Secret Network for Enhanced Privacy

Sienna Network is constructed upon the Secret Network blockchain. It positions itself as a privacy-first, cross-chain decentralized finance platform.

The platform enables asset holders to seamlessly transition to privacy-preserving tokens, enhancing their financial security and control.

Addressing the Issue of Front-Running

Sienna Network is actively addressing a critical challenge within the blockchain industry: “front-running”. This practice involves malicious actors exploiting publicly visible transactions on DeFi blockchains.

According to Sienna, front-running allows these actors to hijack pending trades for their own profit.

Sienna’s Commitment to User Privacy

Monty Munford, chief evangelist and core contributor to Sienna Network, emphasized the platform’s dedication to user privacy. He stated that Sienna does not store any personally identifiable information, including login details, wallet data, or transaction history.

Furthermore, Sienna refrains from tracking website activity or sharing data with third parties.

How Front-Running Exploits the System

A front-running scam operates by intercepting a transaction on a blockchain like Ethereum. This is achieved by submitting a new transaction with a higher transaction fee.

This is analogous to outbidding a trade on the stock market by offering a larger commission to a broker. If left unchecked, this practice poses a significant threat to the integrity of decentralized finance.

Secret Network’s Vision for Sienna

Tor Bair, CEO of Secret Network, commented on the partnership, stating: “We believe Sienna will be a key pillar of Secret DeFi and help drive mass adoption of a more secure decentralized financial ecosystem.”

This collaboration highlights the shared vision of both networks to foster a more private and secure future for decentralized finance.