Zama Secures $73M in Series A Funding, Eyes Expansion in Homomorphic Encryption Market

The Paris-based startup, valued at nearly $400M, aims to revolutionize data security with its cutting-edge homomorphic encryption technology.

Zama, a Paris-based startup, has raised $73 million in a Series A funding round co-led by Multicoin Capital and Protocol Labs, reaching a valuation close to $400 million.
The company specializes in fully homomorphic encryption (FHE), a technique that ensures data confidentiality even during processing, targeting blockchain transactions and AI data exchange.
With over $81 million raised to date, Zama plans to invest in R&D and expand its engineering team to further develop its FHE solutions and open-source tools.
Zama's technology, still in its early stages, has attracted significant interest for its potential to secure data in blockchain and AI applications, despite challenges in achieving mass-market scalability.
The startup has already signed contracts worth over $50 million, primarily with blockchain-based customers, and aims for a 1,000x performance improvement to support large-scale applications.