Zaiffer Raises €2M From Zama And PyratzLabs To Introduce Privacy In DeFi

The joint venture Zaiffer focuses on creating the future of secure, compliant, and flexible decentralized finance (DeFi) on Ethereum-compatible blockchains.

Zaiffer introduces confidential tokens (cTokens) that hide on-chain amounts while keeping sender and receiver records. They also allow selective disclosure for exchanges, auditors or regulators, making privacy a built-in feature of DeFi without compromising compliance.

“Our mission has always been to help builders scale the next generation of Web3 companies,” said Bilal El Almay, co-founder and CEO of Zaiffer.

“Think of Zaiffer as the VPN for on-chain finance: confidentiality you can turn on or off, without leaving DeFi or changing wallets.

It is a protocol that balances innovation, compliance, and usability. We are proud to partner with Zama to help bring confidential DeFi to market.”

Blockchain transparency builds trust but also exposes balances, trade sizes, strategies, and treasury moves, which can lead to exploitation, copy-trading, targeted liquidations, and corporate data leaks.

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For institutions, lack of privacy is a major barrier. Existing solutions privacy coins, mixers, or ZK-based tech have limitations like regulatory issues, broken audit trails, or usability challenges.

Zaiffer solves this with a universal, audit-ready confidentiality layer for all EVM tokens and DeFi applications. Its key innovation is the Confidential Token Standard, developed with Zama and OpenZeppelin.

Any ERC-20 or EVM-compatible token can be “Shielded” into a confidential version, such as USDC → cUSDC, ETH → cETH, or WBTC → cWBTC.

Because cTokens work with existing DeFi apps, Zaiffer provides privacy without requiring new wallets, bridges, or fragmented liquidity.

Rand Hindi, CEO of Zama, adds that Fully Homomorphic Encryption (FHE) is now ready for mainstream use.

“With Zaiffer, we demonstrate FHE’s ability to power real-world financial infrastructure, combining confidentiality with regulatory compatibility. This is a turning point for blockchain adoption.”

Zaiffer uses Zama’s Fully Homomorphic Encryption (FHE) protocol, a decentralized network of computation nodes that process encrypted data without ever decrypting it. Transactions are completed in under five seconds, ensuring protocol-level confidentiality.

This enables confidential payrolls and cross-border payments, private swaps and OTC trades that hide trade sizes, and treasury management shielded from competitors.

About Zaiffer

Zaiffer is building the future of confidential, compliant, and composable DeFi on Ethereum-compatible blockchains. Using Zama’s Fully Homomorphic Encryption and the Confidential Token Standard Zaiffer enables privacy-preserving transactions, confidential payrolls, private trades and secure treasury management, all while maintaining interoperability with existing DeFi applications and global compliance standards.