Catenaa, Friday, January 23, 2026- Crypto infrastructure firms Cysic and Fluxe announced a partnership to deliver the first scalable privacy protocol for stablecoin payments that is compliant by design.
This they say will enable confidential transactions while meeting regulatory requirements.
The protocol combines Fluxe’s zero-knowledge compliance framework with Cysic’s hardware-accelerated proving infrastructure. It allows users to prove adherence to AML, sanctions, and source-of-funds rules without revealing transaction details or wallet histories.
The system addresses a longstanding challenge in crypto: balancing privacy with regulatory oversight.
High computational costs previously limited zero-knowledge compliance at scale. Cysic’s decentralized network of over 260,000 nodes, equipped with ASICs and GPU clusters, accelerates proof aggregation from minutes to seconds.
Users generate proofs locally, which are then settled on-chain through Cysic’s infrastructure, supporting thousands of concurrent transactions with low latency.
The partnership targets business-to-business payments, institutional stablecoin adoption, payroll, treasury operations, cross-border transfers, and exchange listings of privacy-preserving assets. Programmable payments, including subscriptions and recurring transfers, are also supported.
Cysic CEO Leo Fan said the collaboration lays the foundation for private payments that meet both user and regulatory demands. Fluxe CEO Rahul Ghangas noted it allows scaling compliant privacy without sacrificing performance, unlocking real-world use cases while maintaining trust.
The integration supports cross-chain stablecoin payments and removes a major barrier to adoption by combining privacy and regulatory compliance. Both companies invite developers, exchanges, and institutions to explore early integrations ahead of broader availability.
Cysic is a decentralized compute engine for Web3 applications, while Fluxe provides universal privacy for cross-chain stablecoin transactions through zero-knowledge proofs.
