Aleo: Institutions moved $1.2T in stablecoins with 0% privacy use

Zero-knowledge (ZK) blockchain Aleo (ALEO) revealed in its 'Stablecoin Privacy Gap Report 2025' that while institutional stablecoin transfers reached $1.22 trillion over the past two years, the use of privacy protocols was virtually nonexistent. During the same period, only $624 million in stablecoins flowed into privacy protocols, with no recorded deposits from institutional addresses. However, Aleo noted that dedicated privacy rails for institutions have begun to emerge this year. Key examples include the confidential transfer feature for PayPal's PYUSD and Paxos's privacy-focused stablecoin, USAD. The report predicts a large-scale migration of institutional funds to these privacy rails will begin in the coming months.