Nashville, Tenn. – September 16, 2026 -- Enigmata, Inc. emerged from stealth with $6.5 million in seed funding led by Blockchange Ventures to commercialize a cryptographic technology that lets artificial intelligence train and analyze data while it remains encrypted.
Enigmata Cipher lets AI train directly on encrypted records without decryption
The patent-pending technology, called Enigmata Cipher, transforms records, documents, and datasets into an encrypted form usable by AI, analytics, and search tools on existing enterprise hardware. It targets workflows where sensitive data would otherwise be exposed, including model training on proprietary datasets, enterprise use of third-party AI systems, and agentic applications.
Internal benchmarks show models trained on encrypted data completed training 8% to 10% faster
In Enigmata's internal benchmarks, models trained on Cipher-protected data matched the accuracy of models trained on raw data while completing training 8% to 10% faster, according to the company. Cipher also supports targeted removal of individual records without retraining a model from scratch, a feature the company says can help organizations respond to data-deletion requests.
CEO Scott Searle says the technology ends the trade-off between using data and protecting it
"Every era of computing has forced a choice between using data and protecting it. Enigmata Cipher ends that trade-off," said Scott Searle, co-founder and CEO of Enigmata. He said the technology is aimed at institutions such as hospitals, banks, and publishers that hold sensitive assets they have been unable to safely use in AI systems.
Blockchange Ventures backs Cipher as infrastructure for the AI data economy
Matt Immerso, general partner at Blockchange Ventures, said privacy is "the next great frontier for AI" and that Enigmata built encryption designed specifically for AI workloads from the ground up. Blockchange manages approximately $900 million in assets and has returned nearly $1 billion to investors.
Enigmata plans to extend Cipher into infrastructure for secure data licensing
The company's longer-term plan involves extending Cipher so institutions can make encrypted datasets available for AI training under enforceable usage terms while retaining control of the underlying assets. Enigmata frames this as a potential mechanism for data owners to participate in the value their data generates amid ongoing copyright disputes over AI training data access.
Enigmata Cipher is now available to selected enterprise design partners.