Fhenix, a full stack privacy infrastructure platform built on fully homomorphic encryption, has announced the acquisition of Sunscreen, one of the earliest teams in Web3 working on FHE-based systems.
The deal brings Sunscreen founder Ravital Solomon into Fhenix, where she will lead research efforts across advanced cryptography domains including TFHE, BFV, encrypted computation and post-quantum security.
The acquisition reflects a broader evolution in blockchain infrastructure as privacy moves from a theoretical concept into core system design. With stablecoins, tokenized real-world assets, artificial intelligence systems and institutional capital increasingly operating on-chain, demand for encrypted computation is becoming more structural rather than optional.
Sunscreen built its reputation as one of the earliest serious contributors to fully homomorphic encryption in Web3.
Since its public launch in 2022, the team has developed open source FHE compiler tools, grant programs and later expanded into zero-knowledge systems, threshold encryption and developer-focused privacy infrastructure.
Ravital Solomon has played a central role in shaping applied FHE research for blockchain environments, with work spanning lattice-based post-quantum cryptography, encrypted smart contract design and practical frameworks for deploying privacy-preserving computation at scale.
By bringing this expertise into Fhenix, the combined team expands its capabilities across compiler design, threshold cryptography and encrypted application architecture.
Expanding toward scalable encrypted computation
Fhenix is currently building its privacy stack across Ethereum-compatible ecosystems through CoFHE, an encrypted computation layer designed for EVM applications. The platform is also advancing research into threshold FHE decryption, DBFV exact arithmetic and scalable encrypted computation aimed at real-world blockchain workloads.
The integration of Sunscreen is expected to accelerate progress across these areas while reinforcing Fhenix's long-term focus on building production-grade privacy infrastructure.
According to Fhenix, the acquisition signals a broader shift in how privacy is viewed across the industry. Rather than a niche feature, encrypted computation is increasingly seen as foundational infrastructure for financial applications, identity systems, AI workloads and institutional blockchain adoption.
"FHE is entering a new phase," said Guy Zyskind, Founder of Fhenix. "The conversation is no longer about whether encrypted computation works. It is about making it scalable, practical and available across ecosystems where developers are building today. Bringing Ravital and Sunscreen into Fhenix allows us to move faster toward a quantum-safe privacy layer for Ethereum, Arbitrum and Base."
The combined research team will focus on advancing scalable fully homomorphic encryption systems and quantum resistant infrastructure designed to support confidential applications across payments, finance, identity and emerging AI use cases.
Fhenix said the acquisition is part of a broader strategy to consolidate leading cryptography talent under one roof as demand for privacy preserving infrastructure continues to grow.

U.Today Editorial Team
Dan Burgin