In the fast-evolving world of blockchain technology, privacy has always been a hot topic. Recently, Kyle Samani, Managing Partner at Multicoin Capital, tweeted a bold statement: "FHE will power on chain confidentiality not ZK." This comment was in response to an in-depth post about Zama's latest milestone in Fully Homomorphic Encryption (FHE), a technology that's shaking up how we think about secure, private transactions on the blockchain.

If you're new to this, FHE is like a magical lockbox for data. It lets you perform computations on encrypted information without ever decrypting it, meaning your data stays private even while it's being processed. Unlike Zero-Knowledge proofs (ZK), which have been the go-to for privacy in crypto, FHE promises broader applications, especially for complex operations like machine learning on encrypted data.

Zama's Impressive Milestone

Zama, a leader in FHE tech, has just hit a whopping 230 transactions per second (TPS) for confidential stablecoin transfers. That's not some theoretical number cooked up in a lab—it's a real-world benchmark for one of the most common DeFi activities: moving stablecoins around privately.

Back in 2022, Zama was at a sluggish 0.1 TPS, and skeptics dismissed FHE as too slow for practical use. Fast forward to 2025, and they've flipped the script. At 230 TPS, they're already faster than many established blockchains, proving that privacy and speed can coexist. And get this—they're on track to reach 1,000 TPS in the coming months, putting them in the same league as high-performers like Solana.

This breakthrough shatters the myth that FHE is impractical. It's not just about stablecoins; simpler tasks like access control lists or boolean operations can run even quicker, while heavier workloads like AI on encrypted data are improving rapidly.

TPS Comparisons: Where Zama Stands

To put this in perspective, let's look at how Zama stacks up against some big names in blockchain. Based on real-time data, here's a quick rundown:

• Ethereum L1: 20 TPS
• Base (L2): 148 TPS
• BNB Chain: 199 TPS
• Tron: 135 TPS
• Stellar: 94 TPS
• Solana: 934 TPS
• ICP: 1,154 TPS
• NEAR: 49 TPS
• Aptos: 44 TPS

Zama's 230 TPS already beats out Ethereum, Base, BNB, Tron, Stellar, NEAR, and Aptos. Once they hit 1,000 TPS, they'll surpass Solana and close in on ICP. For a technology once thought too slow, this is game-changing.

The Reality Check on Monad

The post also calls out Monad, a project hyped for its potential 10,000 TPS (some even whispered 100,000). But reality bites: their current performance is under 100 TPS, well below Zama's mark. While Monad's marketing sets sky-high expectations, Zama delivers with transparent benchmarks and a solid roadmap.

This contrast highlights a key issue in crypto: hype versus delivery. Zama focuses on engineering progress over flashy claims, which is why they're gaining traction.

Why This Matters for Crypto and Beyond

For blockchain practitioners, especially those in DeFi or meme token ecosystems, this means private transactions could become the norm without sacrificing speed. Imagine trading meme coins or executing complex strategies on-chain, all while keeping your moves hidden from prying eyes. No more trade-offs between privacy and performance.

Zama's progress shows that FHE isn't just viable—it's competitive. It opens doors for confidential blockchains to handle global-scale payments, rivaling traditional systems like Visa or Mastercard in the long run.

Looking Ahead: Zama's Roadmap

The path forward is exciting:

• Today (2025): 230 TPS with GPU optimizations.
• Late 2025 to early 2026: ~1,000 TPS, overtaking Solana.
• By 2029: 100,000 TPS via custom ASICs, enough for massive financial infrastructures.

This isn't pie-in-the-sky; it's a credible plan backed by steady improvements. As Kyle Samani points out, FHE could be the real powerhouse for on-chain confidentiality, sidelining ZK for certain use cases.

In a space full of buzzwords, Zama's achievements stand out as genuine innovation. Whether you're a developer, investor, or just a crypto enthusiast, keeping an eye on FHE could give you an edge in understanding the next wave of blockchain tech.