• Shibarium already identifies a major privacy upgrade in 2026, and would involve the use of encryption technology by Zama.
• Homomorphic Encryption will fully support confidential transactions and offer security for smart contract execution.
• The upgrade is expected to encourage adoption from developers and boost the position of Shibarium in the growing Layer-2 ecosystem. 

Shibarium is currently making one of the biggest upgrades in its history in order to become a full on-chain and private network by 2026. After the deployment of the Zama testnet, this upgrade could dramatically change the utility layer of this network.

Integration Drives Shibarium To On-Chain Privacy

The roadmap of Zama was revealed by a leader in the Shiba Inu ecosystem, Lucie, who explained the second stage of the encrypted smart-contract creation. The upgrade is dependent on Zama’s technology.

The team will integrate the Fully Homomorphic Encryption. This enables data to be fully encrypted even when smart contracts are being executed on-chain. This action is an indicator that Shibarium keeps developing new features of private transactions, enhancement of privacy logic, and even safe communications among users.

The roadmap Lucie provided indicated the timeline of the project. Zama has a testnet that is publicly running. Its deployment of the Ethereum mainnet became effective in the last quarter of the year 2025. The second step is aimed at assisting with more EVM chains throughout the first half of 2026.  

Also Read | 3 Security Upgrades Boost Shibarium as BONE Bridge Relaunches

Privacy Upgrade Enhances Broader Shibarium Adoption

The Shiba Inu blockchain will become one of the chains of EVM that Zama will maintain in 2026. It is possible since it is entirely EVM-compatible and suits modern privacy tools.

The upgrade will see Shibarium integrated into a wide ecosystem where encrypted execution will become a standard feature for developers. There has been a concern about the visibility of publicly accessible blockchains by developers.

This transparency may jeopardize sensitive user information and adoption. However, the technology Zama ensures that these risks are avoided by encrypting information during contract execution.  

Those watching the on-chain transactions are unable to visualize any information, even when the chain is completely verified. The model will provide a good competitive advantage to the Shiba Inu blockchain in areas where privacy is paramount. Also, it would enable software developers to develop products without disclosing the behavior of users.

Shibarium On The Path To Fresh Growth

The Shibarium team believes such an integration will appeal to developers who want high-end privacy tools. The move comes at a time when secure smart contracts are in high demand within the industry.

This might also make the Shiba Inu blockchain a more prominent player in the Layer-2 space. It will also impact the overall Shiba Inu ecosystem as new applications are created on the network.

Privacy can also enhance the value of Shibarium to users who want to remain secretive. In addition, the integration creates new conditions for the continuous growth of the network as it moves towards the next milestone in the coming year.  

Also Read | Shiba Inu Enhances Shibarium Security with Network Overhaul and RPC Update