{"id":"ten-protocol","title":"TEN Protocol","content":"**TEN Protocol** is a decentralized [Ethereum](https://iq.wiki/wiki/ethereum) Layer-2 Rollup protocol designed to add encryption, achieve scalability, and prevent Maximal Extractable Value (MEV) in [blockchain](https://iq.wiki/wiki/blockchain) transactions. It enables developers to build encrypted [decentralized applications](https://iq.wiki/wiki/decentralized-application) while maintaining compatibility with the [Ethereum](https://iq.wiki/wiki/ethereum) ecosystem.  [[1]](#cite-id-X5CCRhEWSH) [[2]](#cite-id-bHNHk8jcJU)\n\n## Overview\n\nTEN Protocol introduces a new type of rollup technology called \"Confidential rollups\" that combines encryption with the scalability benefits of Layer-2 solutions. The protocol leverages Secure Enclaves, particularly Intel's Software Guard Extensions (SGX), to provide robust confidentiality guarantees while ensuring certainty over the code execution. This approach allows TEN to offer smart contracts, decentralization, scalability, and encryption in ways that other technologies cannot currently achieve [[1]](#cite-id-X5CCRhEWSH).\n\nThe protocol aims to improve the [blockchain](https://iq.wiki/wiki/blockchain) experience for three primary user groups: retail users who want protection from front-running and MEV attacks, corporate users who require encryption of sensitive trading details, and developers building applications that need to maintain secrets within smart contracts. By encrypting transactions and providing confidential computing capabilities, TEN creates opportunities for use cases that are impossible on transparent blockchains.\n\nUnlike other Layer-2 solutions, TEN is designed to be trustless and decentralized from launch, with no reliance on centralized sequencers or aggregators. It synchronizes the publishing of rollups to the cadence of Layer-1 blocks to guarantee quick finality and solves the long withdrawal problem seen in optimistic rollups [[1]](#cite-id-X5CCRhEWSH).\n\n## Technology\n\n### Confidential Rollups\n\nTEN introduces Confidential rollups, which [leverage](https://iq.wiki/wiki/leverage) Secure Enclaves and the Proof of [Block](https://iq.wiki/wiki/block) Inclusion (POBI) protocol. These rollups move computation off the Layer-1 [blockchain](https://iq.wiki/wiki/blockchain) while maintaining security through encryption. Key advantages include:\n- Shorter withdrawal delays compared to optimistic rollups\n- Complete decentralization from day one\n- Full [Ethereum](https://iq.wiki/wiki/ethereum) Virtual Machine (EVM) compatibility\n- Total encryption over the entire Layer-2 network [[1]](#cite-id-X5CCRhEWSH)\n\n### Secure Enclaves\n\nSecure Enclaves are secure areas within a central processor that guarantee code and data loaded inside are protected with respect to confidentiality and integrity. TEN initially focuses on Intel's SGX technology, which provides:\n- Protection of cryptographic key material\n- Prevention of transaction spying, even by the enclave operator\n- Ability to search encrypted data\n- Secure code execution with complete privacy\n- Attestation to verify code integrity [[1]](#cite-id-X5CCRhEWSH)\n\nThe team plans to expand to other Secure Enclave offerings and homomorphic encryption in the future to reduce dependency on Intel.\n\n### Proof of Block Inclusion (POBI)\n\nThe POBI protocol drives consensus for confidential rollups and is responsible for:\n- Ensuring fair selection of rollup round winners\n- Distributing rewards fairly to aggregators and verifiers\n- Managing edge cases where network compromise might occur, ensuring only temporary pauses to withdrawals until resolution [[1]](#cite-id-X5CCRhEWSH)\n\n### Data Revelation\n\nTEN implements a flexible policy for delayed transaction revelation, recognizing that the value of confidentiality decreases over time. Transactions are encrypted with different keys representing discrete revelation periods, which can be revealed independently. Initially, TEN has a maximum one-year reveal period for all transactions, though this may be adjusted through community governance in the future [[1]](#cite-id-X5CCRhEWSH).\n\n## Use Cases\n\n### Programmable Encryption for DeFi\n\nTEN allows developers to choose what information remains hidden and what becomes public at a granular [level](https://iq.wiki/wiki/level). For example, in lending protocols, [liquidation](https://iq.wiki/wiki/liquidation) levels can remain encrypted until triggered, preventing [liquidation](https://iq.wiki/wiki/liquidation) hunting by whales who might otherwise push prices down to force liquidations [[1]](#cite-id-X5CCRhEWSH).\n\n### Encrypted Name Service\n\nSimilar to [Ethereum](https://iq.wiki/wiki/ethereum) Name Service (ENS), but with added privacy. When using an encrypted name service on TEN, aliases cannot be linked to underlying addresses, allowing users to maintain anonymity while still using human-readable names [[1]](#cite-id-X5CCRhEWSH).\n\n### Sealed Bid Auctions\n\nTEN enables truly sealed bid auctions where bids remain hidden until the auction concludes. This prevents auctioneers from colluding with bidders and ensures fair price discovery. The protocol's blog references how the ConstutionDAO experiment could have had a different outcome with encryption technology [[1]](#cite-id-X5CCRhEWSH).\n\n### Dark Pools and OTC Trading\n\nTEN supports dark pool trading where exposure is hidden until after execution and reporting. This allows investors to trade without revealing their intentions during the search for counterparties. Similarly, over-the-counter (OTC) trading for bespoke financial products can be conducted with guaranteed confidentiality [[1]](#cite-id-X5CCRhEWSH).\n\n### Commercial Agreements\n\nService [Level](https://iq.wiki/wiki/level) Agreements (SLAs) and other commercial contracts can be deployed on TEN with complete encryption, such that only participants know the contract exists. This enables automated payouts based on independently verified data from oracles while maintaining business confidentiality [[1]](#cite-id-X5CCRhEWSH).\n\n### Gaming\n\nGames that rely on hidden information, such as \"fog of war\" mechanics in strategy games, become possible on TEN. The protocol enables a shift from \"Play to Earn\" to \"Pay to Play\" models as AAA games can incorporate cryptoassets with hidden elements that even game developers cannot access [[1]](#cite-id-X5CCRhEWSH).\n\n## Team\n\nTEN's core team includes members who previously built Corda, which is described as \"the world's most successful enterprise [blockchain](https://iq.wiki/wiki/blockchain) platform.\" Corda is used by leading banks, financial institutions, insurance companies, and telecommunications firms [[1]](#cite-id-X5CCRhEWSH).\n\nThe team brings over five years of experience working with SGX technology in partnership with Intel, providing them with specialized knowledge in implementing secure enclave solutions for [blockchain](https://iq.wiki/wiki/blockchain) applications [[1]](#cite-id-X5CCRhEWSH).\n\n## Tokenomics\n\nThe TEN network requires participation from various actors who incur costs in performing their roles and need compensation. The system's security partially depends on economically punishing malicious actors through a traditional [staking](https://iq.wiki/wiki/staking) model using a digital asset. While the litepaper mentions a separate [tokenomics](https://iq.wiki/wiki/tokenomics) paper for more detailed information, it indicates that the protocol has a [utility token](https://iq.wiki/wiki/utility-token) to power the network and provide decentralized governance [[1]](#cite-id-X5CCRhEWSH).\n\n## Ecosystem\n\nTEN provides an [Ethereum](https://iq.wiki/wiki/ethereum) experience for both application developers and end-users. Developers can port existing [Ethereum](https://iq.wiki/wiki/ethereum) applications with minimal changes and build new applications using any [Ethereum](https://iq.wiki/wiki/ethereum)-supported programming languages and developer tools. End-users can continue using [MetaMask](https://iq.wiki/wiki/metamask) or their preferred [Ethereum](https://iq.wiki/wiki/ethereum) wallets without changing their experience [[1]](#cite-id-X5CCRhEWSH).\n\nThe protocol includes a fully decentralized bridge between [Ethereum](https://iq.wiki/wiki/ethereum) and TEN, backed by [Ethereum](https://iq.wiki/wiki/ethereum)'s security. This allows users to move assets between the two networks while maintaining the privacy benefits of the TEN protocol [[1]](#cite-id-X5CCRhEWSH). [[2]](#cite-id-bHNHk8jcJU) [[3]](#cite-id-KSd0jQG2K9) [[4]](#cite-id-jKQ2tQcFzF) [[5]](#cite-id-62U26eagtA).","summary":"TEN is a decentralized Ethereum Layer-2 Rollup protocol enhancing encryption, scalability, and preventing MEV, enabling seamless integration with existing Ether...","images":[{"id":"QmbauJAAgq41VmEzHBDuStoBsrHdPkxRrA2RyTDDnxEJf3","type":"image/jpeg, image/png"}],"categories":[{"id":"defi","title":"Decentralized Finance"}],"tags":[{"id":"Ethereum"},{"id":"Protocols"}],"media":[{"id":"QmUQujrMuxAhe1Mty7v9yQMsDC87VHaL17fXgrNV5TMDaw","size":null,"name":null,"type":"GALLERY","source":"IPFS_IMG"},{"id":"QmWiJErxHEvtNgCnnNeKimqk8WCKTb3LU9TK5hfoe1E4Q6","size":null,"name":null,"type":"GALLERY","source":"IPFS_IMG"},{"id":"QmUQujrMuxAhe1Mty7v9yQMsDC87VHaL17fXgrNV5TMDaw","size":null,"name":null,"type":"GALLERY","source":"IPFS_IMG"}],"metadata":[{"id":"references","value":"[\n  {\n    \"id\": \"X5CCRhEWSH\",\n    \"url\": \"https://ten.xyz/litepaper/\",\n    \"description\": \"TEN Litepaper\",\n    \"timestamp\": 1745502934522\n  },\n  {\n    \"id\": \"bHNHk8jcJU\",\n    \"url\": \"https://twitter.com/tenprotocol\",\n    \"description\": \"TEN Twitter\",\n    \"timestamp\": 1745502934522\n  },\n  {\n    \"id\": \"KSd0jQG2K9\",\n    \"url\": \"https://discord.gg/tenprotocol\",\n    \"description\": \"TEN Discord\",\n    \"timestamp\": 1745502934522\n  },\n  {\n    \"id\": \"jKQ2tQcFzF\",\n    \"url\": \"https://t.me/tenprotocol\",\n    \"description\": \"TEN Telegram\",\n    \"timestamp\": 1745502934522\n  },\n  {\n    \"id\": \"62U26eagtA\",\n    \"url\": \"https://github.com/ten-protocol\",\n    \"description\": \"TEN GitHub\",\n    \"timestamp\": 1745502934522\n  }\n]"},{"id":"previous_cid","value":"QmYHSLB3WznmxxyfWquX864chUW8BC8LhKPD5cMdWnfyGJ"},{"id":"website","value":"https://www.ten.xyz/"},{"id":"telegram_profile","value":"https://t.me/tenprotocol"},{"id":"github_profile","value":"https://github.com/ten-protocol"},{"id":"discord_profile","value":"https://discord.com/invite/tenprotocol"},{"id":"twitter_profile","value":"https://x.com/tenprotocol"},{"id":"commit-message","value":"added social links"},{"id":"previous_cid","value":"QmYHSLB3WznmxxyfWquX864chUW8BC8LhKPD5cMdWnfyGJ"}],"events":[],"user":{"id":"0x212Cb3F4aE6611054637f9f78F18fB628AD258bb"},"author":{"id":"0x8AF7a19a26d8FBC48dEfB35AEfb15Ec8c407f889"},"language":"en","version":1,"linkedWikis":{"blockchains":[],"founders":[],"speakers":[]}}