TL;DR: Fhenix has announced the deployment of CoFHE on the Ethereum and Arbitrum mainnets, offering approved applications a method to execute computations on encrypted data.
Because transparency is typically built into public blockchain applications by default, participants often struggle to keep sensitive commercial details hidden. Fhenix seeks to tackle this issue through CoFHE, a computation system driven by fully homomorphic encryption.
Public developer documentation from the company confirms that CoFHE is now operational on the mainnets of both Ethereum and Arbitrum. By utilizing this coprocessor, applications can process encrypted inputs rather than exposing sensitive figures to the broader network—a capability that benefits private trading, financial positions, and other scenarios where total public visibility presents a disadvantage.
However, access remains a key restriction. Fhenix notes that this early mainnet phase relies on an allowlist for contracts that submit CoFHE workloads, though open testnets are still accessible for testing purposes. Furthermore, the technical documentation distinguishes between research throughput metrics and performance achieved in live production environments.
This rollout does not automatically encrypt all transactions on Ethereum. Instead, it offers a supplementary resource for developers who are ready to embrace encrypted computing and navigate the current launch limitations. Should the system prove effective under actual workloads, confidential finance could integrate more closely with established smart contract networks instead of requiring an entirely separate chain.
Written by
Yuki Yamamoto
