Nym is a next-generation privacy system developed by leading research scientists and developers from Massachusetts Institute of Technology, KU Leuven, and University College London. It consists of a mixnet that provides network-level privacy, credentials for application-level privacy, and the NYM token to incentivize system operators. Together, these components create a decentralized privacy network powered by the NYM crypto-token.

Nym offers a "full-stack" privacy solution, allowing developers to integrate their existing applications with the Nym system to protect users at both the network and application layers. The Nym mixnet, operating at layer 0, adds metadata protection for blockchain and cryptocurrency projects at layer 1 (e.g., Bitcoin and Ethereum) and layer 2 (including most DeFi projects).

The Nym mixnet is a decentralized network of computers arranged in three layers. It encrypts communication traffic using the SPHINX packet format, making data indistinguishable. Each layer of the mixnet combines your internet traffic with that of others, obscuring metadata such as IP address, timing, and destination. This ensures that messages are private, both in terms of content and metadata.

The value of the NYM token is tied to the increasing global demand for privacy, driven by the expanding internet and concerns about data usage. With 4.5 billion global internet users as of January 2020, more individuals, companies, and organizations are seeking privacy protection. While systems like Tor exist, they face limitations due to reliance on volunteers. Nym aims to overcome these limitations by providing economic incentives to node operators, making global privacy economically sustainable and scalable.

By rewarding system operators with the NYM token, Nym aims to enable people worldwide to have a stake in the next generation of privacy-enhanced infrastructure.