Zama is an open-source cryptography company working on Fully Homomorphic Encryption (FHE), a technology that lets you perform calculations on encrypted data without decrypting it first. This is crucial for keeping sensitive information private, especially in blockchain and AI, where data security is a big concern. Imagine doing math on a locked box without ever opening it—that’s FHE in action!  As of July 13, 2025, Zama has raised $57 million in funding, becoming the first FHE unicorn with a valuation over $1 billion, and their public testnet is now live, letting developers build privacy-focused apps.

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Use Cases and Impact on BlockchainHere are some ways FHE could change blockchain:  Private Token Transfers: Transfer tokens without revealing your balance, keeping finances confidential.  
DeFi Apps: Build decentralized finance apps where financial data stays encrypted, protecting user privacy.  
Secure Medical Records: Process encrypted medical data on-chain without exposing patient information, ideal for healthcare.

Research suggests FHE could become the standard for confidential transactions, making blockchain more private and user-friendly, but its adoption depends on overcoming technical hurdles.