ZATOSHI AND ZETHEREUM

Summary from the TLDR Crypto newsletter

A proposal from Balaji suggests implementing privacy features on Ethereum through a smart contract created by an anonymous developer (“Zatoshi”), leveraging the recent Tornado Cash ruling, which established legal precedent for privacy-preserving smart contracts. The proposed “Zethereum” would use zero-knowledge proofs to ensure optional privacy at the smart contract level rather than the base layer, which would manage legal risk.