# ⛩️ Introducing Kinto ⛩️

By [Ramon](https://paragraph.com/@ramon-3) · 2023-05-30

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Today, we are thrilled to introduce **Kinto: the first KYC’ed L2 on Ethereum.**

As DeFi veterans, our mission is to move the global financial system onto a single, open, decentralized settlement layer: Ethereum.

But, we also recognize our industry is missing a vital link with TradFi.

Despite the incredible progress of DeFi, we've inadvertently built a system that is impossible for legacy financial institutions to adopt as infrastructure. **No entity with stringent regulatory and compliance requirements can freely create products, transact, or deploy capital on Ethereum Mainnet.**

If we do not make an open network that these institutions can actually use, they will inevitably move down a path of closed networks– a panopticon of private blockchains and Central Bank Digital Currencies (CBDCs).

**We must ensure that the path of least resistance to launching any financial application is to do it on a public network connected to Ethereum, the main hub of crypto innovation.** 

⛩️ [Kinto](https://kinto.xyz) is a golden road to bring these users on-chain. ⛩️

Kinto is an optimistic rollup settling on Ethereum Mainnet. It's decentralized, non-custodial, and open to anyone who completes a KYC process.

Five unyielding principles guide us at Kinto:

*   **User Privacy**. Kinto doesn't store user data. Users can select from vetted KYC providers to store their personal data, and their on-chain addresses are kept separate from personally identifiable information (PII). Data can only be shared with explicit user permission.
    
*   **Decentralized and User Owned**.  Kinto is decentralized, open-source, and non-custodial. It gives developers the tools to build open financial applications that require compliance based on jurisdiction and accreditation.
    
*   **Security First.** Mandatory KYC reduces the risk of smart contract exploits and scams. Kinto also provides built-in insurance for all smart contracts.
    
*   **Seamless UI/UX**.  With the integration of native account abstraction at the chain level, managing private keys is no longer necessary. Users can access their non-custodial account through simple means such as username/password, two-factor authentication (2FA), or mobile device keys.
    
*   **Kinto will be multi-chain**. Build your compliant blocks on Kinto and seamlessly integrate with the rest of DeFi. Leverage liquidity from the best DeFi protocols on Ethereum, Optimism, and Arbitrum.
    

  

Our [docs](https://docs.kinto.xyz) are live, and the testnet is up and running. [Let’s start building!](https://kinto.xyz)

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*Originally published on [Ramon](https://paragraph.com/@ramon-3/introducing-kinto)*