The new mechanism is called Confidential SPL Token Standard (C-SPL).
The technology targets payments, DeFi and tokenized assets with greater privacy.
A new standard is being developed in the Solana network ecosystem that aims to expand its privacy capabilities.
It is about the Confidential SPL Token Standard (C-SPL), a technology that promises confidential transactions and balances without abandoning public infrastructure.
The C-SPL does not replace the SPL Token standard, the basic token format Solariumbut it extends it. While the SPL defines how tokens visible to anyone are created and transferred, the C-SPL adds a layer that allows sensitive information to be hidden in those shipments.
On December 13, during the Breakpoint 2025 event in Abu Dhabi, United Arab Emirates, Yannik Schrade, co-founder and CEO of Arcium, the company that developed the standard, said The C-SPL will be available for the first quarter of 2026. Currently, it is in the testing phase.
What is the C-SPL and what is it for?
During his presentation, Schrade stated:
For each token existing in Solana, we can encrypt the balances, the transfer amounts and hide all that information, which would lead to ‘smart token accounts’, that is, smart contracts with confidential balances and transfers.
Yannik Schrade, co-founder and CEO of Arcium.
The C-SPL would allow a token to function as it currently does on Solana, but without third parties being able to see how many funds an account contains or how much is sent in each transaction.
This information is encrypted, that is, it is transformed into data that is unreadable for anyone without permission.
According to Arcium, the C-SPL unifies several components of the Solana ecosystem:
- Token-2022 (a more flexible version of the SPL).
- Confidential Transfer Extension (extension that enables private transfers).
- Arcium’s encrypted computing.
Using these techniques, one of the main changes is that smart contracts that run directly in Solana It would be managing confidential balance sheets.
So far, private transfers are only available for user-controlled accounts, which prevents their use in decentralized finance (DeFi). With C-SPL, lending, exchange or payment protocols could operate without revealing financial data, according to Arcium.
On the other hand, the standard also aims to improve the user experience. In previous models, the recipient had to previously create a confidential account to receive tokens. C-SPL would eliminate that friction by allowing create those accounts automaticallyas occurs with a common transfer.
Finally, another key aspect would be the possibility of using any existing SPL token in confidential mode, without the need to issue new assets.
That would facilitate cases such as private payments, stablecoins or RWA (tokenized real-world assets), where public exposure of balance sheets is often a problem.