Key Takeaways
- Americanfortress launched its privacy beta on Arbitrum, offering stealth addresses for high- volume DeFi.
- Arbitrum holds over $15 billion in total value locked, highlighting the market need for compliant privacy.
- The beta features a “Receive on Arbitrum Privately” campaign rewarding the first 500 eligible users.
Solving the Privacy Challenge for Institutional DeFi
Americanfortress has launched the beta version of its compliant privacy infrastructure on Arbitrum, introducing tools designed to support institutional and high- volume decentralized finance ( DeFi) activity on the Layer 2 network. The system enables users to send assets using human-readable names while automatically generating stealth addresses that shield recipient information onchain.
The company said the design preserves auditability between counterparties without relying on mixers or custodial transaction-obfuscation services. Arbitrum secures more than $15 billion in total value locked and hosts major DeFi trading ecosystems, including GMX. As institutional activity increases, firms have raised concerns about transaction visibility and wallet transparency in public blockchain environments.
“Financial infrastructure cannot scale institutionally if every transaction exposes counterparties, balances and trading behavior in real time,” said Michal Pospieszalski, CEO and CTO of Americanfortress. “Arbitrum has become one of the most important execution environments in crypto markets, and this implementation delivers a privacy layer designed for serious financial activity without relying on mixers or compromising compliance requirements.”
The beta introduces send-to-name functionality, allowing users to transact via Fortressnames rather than exposing wallet addresses. Americanfortress said the system is compatible with existing blockchain infrastructure and reduces visibility that can contribute to front-running and trade surveillance.
The launch follows new cryptographic research from the company outlining a patent-pending post-quantum security architecture for hierarchical deterministic wallets. Americanfortress said its broader stack integrates privacy-preserving transactions, naming infrastructure, and quantum-resistant wallet security into a unified framework for digital asset custody and settlement.
As part of the rollout, the firm is launching a “Receive on Arbitrum Privately” campaign encouraging users to test private receiving features through the beta wallet. The first 500 eligible participants will receive a lifetime FortressName. The campaign will target Arbitrum-native DeFi communities, including perpetual traders, liquidity providers and active onchain market participants.
“Privacy and usability are increasingly important as more sophisticated financial activity moves onchain,” said Chase Allred, senior partnerships manager at Offchain, the service provider for Arbitrum. “Infrastructure that improves operational security while remaining compatible with compliant blockchain ecosystems represents an important area of development for the wider industry.”
Americanfortress said the system is designed to support emerging automated financial workflows, including AI-driven agents transacting autonomously onchain. The company expects privacy-preserving execution environments to become increasingly necessary as algorithmic capital allocation and machine-driven trading expand across decentralized networks.
Source: https://news.bitcoin.com/americanfortress-links-stealth-addresses-to-arbitrum-as-defi-firms-watch-compliance/
