Key facts
- EthSystems is an Ethereum Foundation spinout.
- EthSystems is building privacy infrastructure for banks and financial institutions.
- EthSystems believes confidentiality is the biggest barrier to banks using public blockchains.
- EthSystems argues scalability is not the primary barrier for institutional adoption.
- The company aims to enable real-world financial activity on public Ethereum.
EthSystems, a startup emerging from the Ethereum Foundation, is focusing its efforts on creating privacy infrastructure designed for banks and financial institutions. The company's core argument is that the lack of confidentiality, not issues with scalability, is the most significant barrier preventing the migration of real-world financial activities onto public blockchains. By prioritizing privacy solutions, EthSystems aims to facilitate the adoption of public Ethereum by traditional financial players. This approach suggests a strategic shift in addressing institutional concerns, moving beyond the common focus on transaction speed and volume to tackle the sensitive nature of financial data.