NuCypher network has launched its mainnet, announcing options to WorkLock participants and handing out 222.5 million NU tokens to node operators, which will remain “state-locked” for six months.
According to the announcement, the amount of NU tokens that they received depend on the amount of Ethereum (ETH) they have locked. They can also “optimize” their earnings depending on the length of the lockup.
NuCypher describes itself as a cryptographic infrastructure protocol for privacy-preserving applications. According to Coingecko, NU is at $0.179 with a 24-hour trading volume of over 2.9 million, at the time of writing.
Prior to the network launch, the team made an announcement on WorkLock, an ETH-locking event for people interested in becoming network validators. More than 2,000 different nodes locked up over 350,000 ETH in the WorkLock contract.
After the mainnet launch, nodes that participated in WorkLock started earning NU tokens in proportion to the amount of ETH they locked. As stated above, the newly distributed tokens together, with the previously-locked ETH will remain stake-locked for the next six months.
NuCypher uses Proxy Re-Encryption (PRE) to allow users to share and store private data on public networks securely. Using NuCypher’s PRE technique, developers can make privacy-preserving applications on top of public blockchains by routing the smart contract data.
Now all public blockchain data is available for free, NuCypher is not ideal for applications, like healthcare or banking, that require sensitive data to be hidden. NuCypher has brought key management systems (KMS) to the blockchain to make decentralized systems and applications more secure.