Definition ∞ Token transfer visibility refers to the extent to which the movement of digital assets between addresses on a blockchain is publicly viewable and auditable. On most public blockchains, all transactions, including token transfers, are recorded and accessible to anyone. This transparency allows for verification of ownership and transaction history. While providing accountability, it also raises considerations regarding user privacy. Enhanced visibility aids in regulatory compliance and fraud detection.
Context ∞ The discussion around token transfer visibility balances the inherent transparency of public blockchains with evolving privacy expectations and regulatory requirements. New technologies are being developed to offer selective privacy features for transactions while maintaining necessary auditability. The ongoing challenge involves finding solutions that satisfy both the need for regulatory oversight and individual privacy preferences.