New Company Aims to Address Transaction Privacy Concerns on EVM Chains

Fluidkey has recently made an exciting announcement, opening its Optimism-based alpha to a wider audience for testing. This move comes as the project aims to address the issue of transaction privacy in EVM chains by leveraging ENS and stealth addresses.

Fluidkey’s innovative approach allows users to create a new self-custodial asset for each payment, effectively segregating their movements to prevent linkability. By combining ENS domains with stealth addresses, users can generate unique addresses for each transaction, enhancing their privacy and security on EVM networks.

While managing multiple wallets manually can achieve a similar result, Fluidkey streamlines the process by grouping all payments under a single ENS domain accessible through a centralized dashboard. This user-friendly solution can easily integrate with existing projects that support ENS domain integration, offering a seamless experience without the need for extensive software modifications.

Although Fluidkey prioritizes payment privacy by preventing external parties from tracing payments to specific addresses, it also enables transaction traceability. This feature simplifies the process of disclosing fund origins to trusted parties like tax authorities or auditors, distinguishing it from traditional mixers and similar solutions.

Currently available on Optimism, Fluidkey plans to expand its reach to Ethereum Mainnet, Arbitrum, Polygon, Base, and Gnosis Chain in the near future. The project, which originated in 2023 as a winner of the Ethrome Web3 hackathon, continues to innovate and address the evolving needs of privacy-conscious users in the blockchain space.

Share your thoughts on Fluidkey and its unique approach to privacy challenges in EVM chains by leaving a comment below.