Austria-based TACEO, a startup focusing on secure computation on encrypted data, has secured $5.5 million in seed funding. TACEO’s software facilitates collaboration on sensitive data without revealing information, using a “Private Shared State” enabled by coSNARKs, a combination of Multiparty Computation (MPC) and Zero-Knowledge Proofs (ZK). This innovation extends beyond blockchain, offering enhanced privacy and smarter AI for applications like AI Large Language Models (LLMs) and autonomous agents.
Decentralised finance (DeFi) struggles with transparency and privacy. TACEO’s software allows payment providers to verify transactions and compliance without exposing data. Founded by Graz University of Technology researchers, TACEO has successfully applied advanced cryptography to real-world applications, securing biometric data for over 14 million World users and joining the a16z CSX accelerator.
Cofounder and CEO Lukas Helminger emphasizes the necessity of computing across private datasets, with the new funding helping scale TACEO’s technology to address significant internet privacy challenges. The round is led by Archetype VC with a16z CSX, Cyber.Fund, A.Capital Ventures, Polymorphic, and angel investors participating.
Ash Egan, Founder and General Partner at Archetype, highlights the importance of TACEO’s role in building privacy into the Web3 compute stack and expresses strong support for TACEO’s mission.
Formed in 2022, TACEO partnered with World to develop iris verification software, keeping biometric data encrypted, marking the largest MPC-secured dataset recorded. Philipp Sippl, World board member, stresses the importance of TACEO’s infrastructure in building effective privacy-preserving systems.
The funds will be used to expand the team and technology, extending TACEO’s applications beyond crypto and DeFi into sectors like identity verification, financial services, and AI.
*Lead image: TACEO team | Photo: Uncredited*