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Ethereum startup EthSystems bets privacy is key to getting banks on public blockchains

CoinDesk 2026-07-28 15:46:33
Context: EthSystems, a startup that recently spun out of the Ethereum Foundation, is working on developing privacy infrastructure for banks and other financial institutions to encourage their adoption of public blockchains. The company's approach focuses on addressing the privacy concerns that have hindered banks from using public blockchains. This initiative aims to facilitate the integration of traditional financial institutions with blockchain technology.

Key Facts

  • EthSystems spun out of the Ethereum Foundation earlier this month, indicating a recent separation from the organization that oversees the development of the Ethereum blockchain.
  • The startup is specifically focused on building privacy infrastructure, suggesting that data protection is a critical component in its strategy to attract banks and other financial institutions to public blockchains.
  • By targeting banks and financial institutions, EthSystems is betting that enhanced privacy features will be a key factor in overcoming the barriers to adoption that these institutions face when considering the use of public blockchains.

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