Privacy on a Public ledger

[nkavian]

Question: What approaches to privacy are available when using the Hedera Token Service for performing transactions?

Use Case: Imagine two financial institutions will use a stablecoin to transmit value from one to the other. At scale, hundreds of thousands of such transactions occur regularly. As well, their associated wallets may hold substantial balances. How can anonymity of those two institutions and/or the transaction data be obfuscated?

The real world scenario is that every conversation we have with an institution, they ask either 1 of 2 questions which are really the same:

• [Our institution] will want transaction data to be private, does your product support that?
• Can your product hide enough information for [our institution] to feel at ease?

In both cases, your product means the platform we have built on top of Hedera, but by extension, it's fully applicable to Hedera Token Service.

Possible Technical Approach: Does Hedera Token Service support private or co-chains? I'm not sure I've found anything related to that yet.

Possible Non-Technical Approach: Is there any research, guidance, or prior investigation into this topic in a way that could guide how to articulate to product and business people at these institutions that the transaction data on the public ledger is mostly benign?

Are there any other approaches to this question and use case?