The Aleo network allows disconnected nodes - individual computers, phones, and other devices - to collaborate in updating a ledger together. This ledger is used to record encrypted data owned by end-users and mappings, program ownerships of publicly shared data. It creates a blockchain ledger similar to widely used and trusted ones like Ethereum, but with a crucial additional security layer. Aleo is purpose-built so that developers can do all of this without ever having to expose their users' data.

Ethereum and others are updating their ledgers with real data being stored and updated: for example, if you share your birthdate on those networks, all nodes can access it. Because blockchains are inherently public, protecting individual data completely is impossible.

Aleo employs zero-knowledge technology to help companies and developers build applications that update ledgers without exposing data to the internet. It gives people a way to prove something is true without revealing more information than necessary. For example, you can prove you are over 21 without sharing your precise age.

Data breaches are on the rise, and technology isn't the only one to blame. People care about how their data is being stored and protected online, yet at least 33% of consumers have fallen victim to data breaches from organizations that promise to keep their data secure.

Both public and private institutions need a way to verify information online securely. However, the cost of providing cybersecurity and the escalating risks of data breaches make it an expensive endeavor.

The United States, the European Union, and many states have attempted to address this issue. Regulations like the European General Data Protection Regulation (GDPR) and the California Consumer Privacy Act (CCPA) have set standards. However, despite some progress, providing cybersecurity and ensuring data privacy remain expensive and challenging tasks.