# The Problem

<figure><img src="/files/940dd9ec2ca49782339ebf5a0ddb08774db32ee3" alt=""><figcaption></figcaption></figure>

On Ethereum alone, **over 89%** of active wallets have been deanonymized by analytics firms (e.g. Arkham), exchanges, and AI-driven chain heuristics.

***

### The limits of mixer privacy

Even “private transactions” on public chains leak metadata:

* gas timing
* nonce increments
* calldata shape
* recipient patterns
* mempool sniffing

Research shows **42%** of TornadoCash users were re-identified from metadata alone.\
Shade’s **encrypted mempool** eliminates this entire attack surface.

***

### MEV exists because blockchains are visible

MEV bots extracted **over $1.1B in 2024** by front-running, sandwiching, and predicting user activity.

They’re not “participants.” They’re predators — and public blockchains feed them everything they need.

Shade fixes the problem at its root: **we remove the visibility**.

***

### Public chains make your identity traceable

Wallet clustering tools can now connect:

* your ENS
* your CEX withdrawals
* your social profiles
* your friends’ wallets
* your previous addresses

Up to **72% accuracy** according to Chainalysis. You might think you’re anonymous. You’re not.

Shade restores what crypto lost: **true unlinkability**.

***

### Smart contracts leak everything

On Ethereum, every internal detail of a contract is visible:

* variables
* mappings
* storage updates
* execution paths
* intermediate states

In a transparent execution environment, your logic becomes alpha for your opponents.

Shade introduces the world’s first **private EVM**, where contract state, storage, and execution are completely invisible.

***

### Why this matters

* The moment your wallet is linked, your history becomes searchable forever.
* Timing, flows, and behavior patterns are enough to reconstruct intent.
* MEV thrives because visibility is total.


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