# Background

Public blockchains like Bitcoin and Ethereum were architected on a premise of **Radical Transparency**. Every transaction, wallet balance, and smart contract interaction is broadcast to a global ledger. While this solves the problem of trust, it introduces a critical flaw for real-world adoption: **Exposure**.

In traditional finance and enterprise operations, confidentiality is not a crime; it is a requirement.

* **The Exposure Tax:** On public chains, trading strategies are reverse-engineered, and large orders are front-run by predatory MEV bots.
* **The Compliance Barrier:** Corporations cannot put payroll, supply chain logic, or user Personally Identifiable Information on a chain where it is permanently visible to the public.

**FOGEVM resolves this paradox.** We decouple **Execution** from **Verification**.


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