Raycash launches Ethereum stablecoin payments app with private yield features

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Raycash Ethereum stablecoin app

Highlights

Raycash launched its Ethereum mainnet stablecoin app in private beta, enabling confidential peer-to-peer payments, 1:1 wrapped stablecoins, and no upfront ETH for gas fees.
Initial support is for USDC, with deposits and withdrawals available via bank, card, or stablecoin, and private transaction details protected by Zama Protocol's Fully Homomorphic Encryption.
Following Zama's confidential USDC vaults reaching $40 million TVL in seven weeks, Raycash integrates private onchain yield and payment features for retail stablecoin users.

Private beta rollout on Ethereum

As first reported by The Block, Raycash has launched its stablecoin app on Ethereum mainnet through a staged private beta after spinning out from confidentiality protocol Zama.

The company says the product lets users wrap stablecoins into confidential tokens, send peer-to-peer payments and hold dollar balances onchain without exposing transaction amounts or wallet balances publicly. It also says users do not need to keep ETH in their wallets for gas fees because network costs are handled in the background.

Raycash initially supports USDC, with additional stablecoins planned later. Users can deposit through bank transfer, card or stablecoin, withdraw to bank accounts, and send or request money through payment links.

The app uses Zama Protocol's Fully Homomorphic Encryption technology to keep balances and payment values encrypted while still settling transactions onchain. Raycash says users can wrap existing stablecoins 1:1 into ERC-7984 confidential tokens and later withdraw the underlying assets through permissionless unwrapping.

The wallet is self-custodial, according to the company, and the confidential tokens do not include freeze or seize functions at the token layer. Users can still grant selected parties, such as accountants or auditors, permission to view activity without making it public to everyone.

Privacy push broadens stablecoin utility

Zama has already been extending confidential financial products on Ethereum. In June, it launched its first confidential USDC yield vault with Morpho and Steakhouse Financial, and the vault grew from zero to $40 million in total value locked within seven weeks.

Zama then expanded the offering to 16 confidential vaults on Sept. 15 and also launched private swaps on Ethereum. Raycash now brings those privacy features into a retail-facing payments product aimed at stablecoin users who want to save, send and earn yield without exposing financial data on a public blockchain.

Users can earn private yield on idle balances through Morpho directly in the app, and Raycash says a Raycard for private spending is also in development. Chief executive and co-founder Valerio Leo says the product is designed to let users keep the benefits of stablecoins while preserving the confidentiality of their financial information.

In our earlier coverage of Q3 2026 cybersecurity and privacy startup funding, we noted that total investment climbed to $6.8 billion even as the number of deals fell, reflecting a market driven by fewer but much larger rounds. We also highlighted how consolidation accelerated through major acquisitions, underscoring sustained demand for security and privacy capabilities as AI-related risks push companies to spend more on protection.

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