Zama Hits Unicorn Status with $57M Series B for Blockchain Privacy Tech

Zama, a cryptography startup specializing in fully homomorphic encryption (FHE) for blockchain, has secured $57 million in Series B funding led by Pantera Capital and Blockchange Ventures. The round propels its valuation beyond $1 billion, marking the first unicorn in advanced encryption for decentralized systems.

The Paris-based firm's protocol enables encrypted smart contracts and confidential dApps, allowing on-chain computations without exposing raw data. Unlike privacy tools such as mixers, Zama's technology maintains transaction traceability while hiding sensitive details—a potential game-changer for compliant stablecoin payments and financial applications on public blockchains.

CEO Rand Hindi confirms the testnet launch of Zama's confidential blockchain protocol, emphasizing demand from stablecoin issuers and institutional players. The funding underscores growing VC appetite for infrastructure that reconciles blockchain transparency with enterprise-grade data protection.