Mysten Labs Launches Tessera: A Confidential B2B Settlement Network on Sui Blockchain

Mysten Labs, the creator of the Sui Layer-1 blockchain, has unveiled Tessera, a new confidential settlement network designed specifically for business-to-business (B2B) invoice payments. This innovative network restricts access to KYC-verified members, establishing a secure environment where companies can settle payments privately while adhering to compliance requirements.

At its core, Tessera functions as a settlement layer that enables businesses to pay invoices to one another with built-in confidentiality. The KYC-gating ensures that every participant has undergone identity verification before transacting, addressing a significant friction point enterprises face when considering blockchain solutions: balancing transparency with privacy.

Tessera aims to resolve this challenge by keeping transaction details confidential among verified participants, while still leveraging the settlement guarantees provided by the underlying Sui network. This product complements Mysten’s existing Seal protocol, which offers on-chain encryption and access control capabilities.

Mysten Labs, founded in 2021 by former Meta engineers involved in the Diem project, has raised $300 million at a valuation exceeding $2 billion. The Sui network has processed over $1 trillion in stablecoin volume, positioning it as a significant player in the payments infrastructure arena, rather than merely another smart contract platform targeting DeFi users.

The architecture of Tessera reflects Mysten's belief that privacy and compliance can coexist. This approach resembles traditional financial networks like SWIFT, where banks transact through verified channels without publicly disclosing individual transaction details. However, Tessera operates on blockchain infrastructure, which could provide faster settlements, reduced costs, and programmable payment logic.

While Mysten has yet to disclose a participant list or launch timeline for Tessera, the gap between its announcement and meaningful adoption remains uncertain. The competitive landscape includes traditional payment processors such as Visa and Mastercard, which are developing their own blockchain settlement capabilities, as well as JPMorgan’s Onyx platform, which handles billions in daily transactions.