Canopy and Fhenix make private the default for onchain apps
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Canopy and Fhenix partner to bring encrypted computation to sovereign onchain applications.
Miami, Florida, USA, July 30, 2026 – Blockchains publish everything by design, which is why most real business logic has stayed off them. Today Canopy, the framework for launching sovereign onchain apps in a single session, announced a strategic partnership with Fhenix to change the default. Developers can now launch apps where user data stays encrypted even while it is being computed on, with no cryptography work of their own.
The apps are called Canopy Confidential Apps. They are built on Fhenix’s CoFHE, an off-chain fully homomorphic encryption (FHE) coprocessor, integrated into the Canopy Stack. Apps launched from the Canopy Confidential Apps template get encrypted computation out of the box, so confidentiality becomes a property of the app rather than something the builder assembles later, reachable through a familiar TypeScript library instead of a custom cryptography stack. This is the same idea behind Canopy’s security model, applied to privacy: just as every Canopy app is secure from block zero without the builder wiring it up, Canopy Confidential Apps make privacy something the platform provides rather than something each team engineers on its own.
The timing follows a shift in what institutions are asking for. Firms that want to settle onchain have largely concluded that public-by-default networks are unusable for their business, and the market has responded with a wave of permissioned and privacy-enabled chains. Canopy Confidential Apps take a different path to the same requirement: rather than closing the network to get privacy, they keep the data encrypted and leave the network open.
How it works
Confidentiality runs through Canopy’s plugin and runtime layer, not its base consensus, so builders add private operations without changing how Canopy works underneath. In practice: an app encrypts a user’s input in the Canopy wallet and sends it as a standard transaction; Fhenix’s CoFHE performs the heavy encrypted computation off-chain; and when a result needs to be revealed, a trust-minimized process returns the signed value that Canopy verifies before any state settles. Builders reach all of it through familiar tools, with no privacy stack or key management of their own.
The foundational pieces are live today: the plugin lifecycle hooks, the state bridge, the plugin scaffold, and the wallet runtime. CoFHE is already running in production across three chains (Ethereum, Arbitrum, and Base). The remaining encrypted-transaction work is underway.
What it unlocks
Consider a game where every player’s hand, units, and map knowledge sit encrypted. Players submit their moves privately and see only the result of each encounter, who won, how much damage was dealt, or which territory changed hands – something impossible on public blockchains today.
The same property applies to business processes that stall on this exact problem. A buyer opens an RFP, six suppliers submit encrypted bids, and at the deadline the app publishes only the winner and the winning price. The losing bids are never decrypted by the participating parties.
Adam Liposky, CEO of Canopy, said: “Every team we talk to hits the same wall. They have a real use case, and it requires not publishing their users’ data to the world. Until now the answer was to hire a cryptographer. Now it’s a plugin.”
Guy Itzhaki, CEO of Fhenix, said: “Open networks should not require open data. By bringing CoFHE into the Canopy Stack, developers can build sovereign apps that compute on sensitive information while it stays encrypted. Confidentiality becomes part of the application architecture, not a separate system teams have to build around it.”
The Fhenix integration is underway now and will roll out in Q4 2026. Canopy is live on public testnet today, with 16.8k forks and over 100,000 daily active wallets.
About Canopy
Canopy is an agent-native development framework for launching sovereign onchain apps. It condenses complex application infrastructure into readable code so that agents and non-technical founders can build, deploy, and scale a complete onchain app in a single session, secure from block zero, with no infrastructure to manage. Canopy is backed by Arrington Capital, Borderless Capital, and HashKey, and is currently live on public testnet.
For more information, visit the Canopy website, public testnet, ecosystem rewards, and docs.
About Fhenix
Fhenix is a protocol building confidential computing infrastructure using fully homomorphic encryption (FHE) for EVM-compatible chains. Its core products, including the CoFHE coprocessor and the FHERC-20 token standard, enable smart contracts to compute directly on encrypted data: keeping balances, transfers, and contract state private without ever decrypting onchain. Fhenix makes encrypted computation accessible to Solidity developers with minimal changes to existing workflows.
Learn more on the official website.
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