Definition ∞ Minimal disclosure is a principle where only the absolute necessary information is revealed to achieve a specific outcome or transaction, while all other sensitive data remains private. In cryptographic systems, this often involves using zero-knowledge proofs to confirm the truth of a statement without revealing the underlying facts that prove it. This approach enhances privacy by limiting the exposure of personal or transactional details. It balances the need for verification with the imperative for data protection.
Context ∞ Minimal disclosure is a central concept in privacy-preserving technologies and decentralized identity solutions, frequently appearing in crypto news. It addresses the tension between transparency on public blockchains and the need for individual privacy. Debates often concern the extent to which regulatory bodies will permit such minimal data revelation, particularly in anti-money laundering (AML) and know-your-customer (KYC) contexts. The development of advanced zero-knowledge proof systems continues to push the boundaries of what is possible with minimal disclosure.