> ## Documentation Index
> Fetch the complete documentation index at: https://docs.silopay.io/llms.txt
> Use this file to discover all available pages before exploring further.

# Silo 101

## **What Silo Is**

Silo is a non-custodial crypto payments platform. It allows users to send and receive cryptocurrency using a single username, with transactions kept private from public blockchain observers and compliance checks enforced automatically in the background.

The user experience is simple: the sender enters a username and a dollar amount, then confirms the transaction. Silo reads the receiver's saved preferences and handles asset conversion, chain routing, bridging, and privacy automatically. The receiver gets paid in their preferred asset, on their preferred chain, to their chosen wallet. Neither party needs to share wallet addresses, coordinate chains, or perform any manual steps beyond the initial send.

Silo is not a wallet, not a blockchain, and not a custodial service. Users connect their existing wallets to Silo and maintain full control of their funds throughout the process.

## **The Problem**

Crypto payments today are broken in three ways.

First, they are confusing. Sending a payment requires knowing the recipient's wallet address (a long, error-prone string), which chain they want to receive on, and which asset they want. Even experienced crypto users send test transactions first because mistakes are irreversible. Name services like ENS help with addresses, but each one only works on its own chain, and they don't solve the chain or asset coordination problem.

Second, they are too public. Sharing a wallet address exposes the user's entire balance and transaction history to anyone who looks it up. Name services actually make this worse by creating a persistent, searchable identity tied to all on-chain activity. Physical crimes against crypto holders have escalated sharply, with documented incidents rising from 2 in 2016 to 87 in 2025, including kidnapping, extortion, home invasion, and robbery. Financial privacy from the public is becoming a safety issue.

Third, existing privacy tools are too complex for everyday use. Existing privacy protocols require users to learn unfamiliar processes: depositing into pools, managing secret notes, shielding and unshielding funds, and interacting with relayers. These tools were designed for privacy-focused technical users, not for people who simply want to send or receive a payment.

## **How Silo Solves It**

Silo replaces wallet addresses with a single username that works across all supported chains. Each user sets up receiver preferences once: their preferred asset, preferred chain, and destination wallet. Every payment sent to that username is automatically routed according to those preferences, regardless of what the sender is paying with or which chain they are sending from.

Privacy is applied by default to every transaction. Silo uses shared vaults and zero-knowledge proofs to break the on-chain link between sender and receiver. Public blockchain observers cannot determine who paid who. Neither party sees the other's wallet address or transaction hash. Both parties receive a redacted receipt that confirms the payment occurred without exposing private details.

Compliance is built into the transaction flow, not bolted on after the fact. Every transaction passes through sanctions screening and risk checks before it is facilitated. Silo maintains an encrypted audit trail (called a Payment Instruction) behind every transaction that can support disputes, audits, and regulatory requirements. Users interact with a three-tier verification system: higher verification unlocks lower fees and higher transaction limits, while unverified users can still transact within defined thresholds.

The entire process is non-custodial. Users connect their own wallets. Withdrawals require the receiver's wallet signature. Silo facilitates the payment routing and privacy layer, but does not take custody of user funds.

## **What Makes Silo Different**

Several products solve parts of this problem. Name services make addresses more readable but don't handle privacy, cross-chain delivery, or compliance. Privacy protocols hide on-chain activity but require complex user ceremonies and have no payments UX, no receipts, and no compliance layer. Custodial payment apps like Venmo and Cash App offer simple UX and username-based payments, but users give up control of their funds, and privacy depends on the platform rather than cryptography.

Silo combines username-based payments, cross-chain delivery, on-chain privacy, non-custodial architecture, compliance controls, and redacted receipts in a single platform. It sits between privacy maximalist tools and custodial convenience apps, offering usable privacy without requiring users to sacrifice simplicity or self-custody.

## **Where to Go Next**

For a detailed walkthrough of usernames and receiver preferences, see [**Usernames & Receiver Preferences**](/usernames-receiver-preferences). For the technical payment flow, see [**Payment Flow**](/payment-flow). For a deeper explanation of the privacy model, see [**Privacy Model**](/privacy-model). For compliance details, see [**Three-Tier System**](/three-tier-system).