Zama Completes Cryptographic ICO Raising $118.5 Million

Open-source cryptography firm Zama reportedly concluded its inaugural cryptographic ICO on Ethereum, generating $118.5 million through a Dutch auction on January 24, 2026.

Utilizing fully homomorphic encryption, Zama’s auction achieved decentralized, confidential bidding, drawing significant interest, yet lacks primary source verification for its claimed financial success.

Zama’s $118.5 Million ICO: A Cryptographic Milestone

Zama’s completion of a cryptographic ICO on Ethereum marks a significant achievement in decentralized finance. Over 11,000 unique users submitted almost 24,700 bids, ensuring the auction was deeply competitive and bidding privacy was protected using fully homomorphic encryption.

The use of fully homomorphic encryption in this ICO promises to enhance transactional privacy within the broader cryptographic landscape. The auction’s success with 318% oversubscription illustrates significant market interest in privacy-focused financial innovations.

While the financial community has yet to issue formal statements, the absence of on-chain data and primary confirmations leaves room for scepticism. Key figures have not yet commented publicly, keeping market speculation at bay and highlighting the need for further transparency.

Ethereum’s Role and FHE’s Emerging Impact

Did you know? The use of fully homomorphic encryption in ICOs is a relatively new development. This approach aims to elevate confidentiality, setting a potentially disruptive precedent in the realm of decentralized finance.

CoinMarketCap reports Ethereum’s current price at $2,923.17. As of January 26, 2026, Ethereum maintains a market cap of $352.81 billion with a 24-hour volume of $32.10 billion, showing a 3.92% increase in price over the last day.

Insights from the Coincu research team suggest that the successful implementation of FHE in Zama’s ICO might prompt further technological exploration and regulatory scrutiny. As other entities follow suit, the potential rise of privacy technologies in blockchain could redefine market expectations.