Fhenix, an Encryption Startup, Secures $7 Million in Seed Funding

Fhenix Raises $7 Million in Seed Funding

Israeli encryption startup Fhenix has secured $7 million in seed funding through a round led by Multicoin Capital and Collider Ventures. Other participants in the round included Bankless, Robot Ventures, Node Capital, TaneLabs, HackVC, Metaplanet, and others. The funds will be used to bring Fhenix’s network into the public testnet phase by early next year and support ecosystem development.

Fully Homomorphic Encryption for Smart Contracts

Fhenix offers users a confidential blockchain powered by fully homomorphic encryption (FHE). FHE allows computations to be performed on encrypted data, preserving privacy and security while enabling interactions with smart contracts. Unlike other encryption technologies, FHE computation occurs while the data is still encrypted, eliminating the need for decryption. This opens up potential use cases such as DAO voting tools, trustless games, and account abstraction.

Leveraging fhEVM for Ethereum Development

Fhenix plans to leverage fhEVM, an extension of the Ethereum Virtual Machine (EVM), to simplify application development on Ethereum. Developers can continue using Solidity and familiar developer tools without needing to learn a new language. The earlier developer testnet was launched on a Proof-of-Stake Layer-1 blockchain, but the official testnet will be on Ethereum Layer-2.

Advancing Application Development on Ethereum

Fhenix aims to advance application development in the Ethereum ecosystem by bringing data encryption and encrypted data computation to smart contracts, on-chain assets, and transactions. The integration of fhEVM into the Fhenix Network was made possible through a strategic partnership with Zama, a cryptography company specializing in homomorphic encryption solutions for blockchain and AI.

Hot Take: Fhenix Pioneers Fully Homomorphic Encryption for Smart Contracts

Fhenix’s successful seed funding round and development of fully homomorphic encryption technology for smart contracts mark a significant milestone in the world of blockchain. By enabling computations on encrypted data, Fhenix is revolutionizing privacy and security in the Ethereum ecosystem. The ability to perform operations, interact with smart contracts, and collaborate with data while preserving confidentiality has the potential to unlock a wide range of use cases. As Fhenix continues to advance application development on Ethereum, we can expect to see increased adoption of fully homomorphic encryption and its benefits in the blockchain industry.