Starknet: Hidden DeFi on ETH with EY Nightfall

Starknet developer StarkWare has enabled institutions to conduct private payments and decentralized finance (DeFi) activities on Ethereum-compatible networks by integrating EY’s Nightfall privacy protocol. Nightfall functions as an open-source zero-knowledge (ZK) layer; it verifies transactions while keeping the underlying data private. This allows banks and companies to perform B2B and cross-border payments, private treasury management, and 24/7 tokenized asset transfers.

What Does the Starknet Nightfall Integration Mean for Institutions?

Institutions will also be able to access Ethereum DeFi through ETH detailed analysis to implement lending, swapping, and yield strategies; transactions are private by default and support selective disclosure, auditability, and Know Your Customer (KYC) protocols. StarkWare positions this as a breakthrough that protects institutional capital from transparency risks. CEO Eli Ben-Sasson states that blockchains will provide dedicated highways for institutions for stablecoins and tokenized deposits. Starknet’s TVL is around 280 million dollars; despite its growth, it has experienced network outages.

Alex Gruell, global head of business development. Source: StarkWare

Business development head Alex Gruell emphasizes that Nightfall adds KYC verification and institutional reliability; he describes Starknet as a better interoperability layer compared to rival networks.

Critical Support and Resistance Levels for ETH

• Price: $1,958.80 (24h: -0.44%)
• RSI: 33.56 (Oversold region)
• Supports: S1 $1,747.80 (Strong, -10.78%), S2 $1,934.93 (Strong, -1.22%)
• Resistances: R1 $1,968.14 (Strong, +0.47%), R2 $2,062.28 (Strong, +5.28%)
• Trend: Downtrend (Supertrend Bearish, EMA20: $2,200)

This integration could increase ETH futures volume; the ETH ecosystem is strengthening with ZK technology.

Frequently Asked Questions About Starknet Nightfall and ETH

What is Nightfall and how was it integrated into Starknet?
Open-source ZK layer; provides private transactions on Ethereum L2.

What advantages do institutions gain in ETH DeFi?
Private payments, KYC-compliant swaps, and 24/7 transfers.

Does Starknet TVL and ETH price affect the integration?
With 280M$ TVL, it could be a positive catalyst even in ETH’s downtrend.