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Shielding is the process that moves assets out of this transparent environment and into Fluton’s private execution context. When a user shields assets, they are not hiding funds inside a pool or mixing with others. Instead, the assets are converted into an encrypted state that Fluton can execute on privately.

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Shielding Lifecycle

Shielding establishes the starting point for Fluton’s execution lifecycle:
1

Public Deposit

User deposits their desired assets
2

Encrypted State

The assets get converted into an encrypted state
3

Encrypted Transfer

The encrypted assets gets transferred into user’s wallet

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Unshielding

Unshielding is the reverse process. When users choose to exit confidential execution:
  • Encrypted balances are settled
  • Funds return to a public ERC-20 representation
  • Only required settlement data is revealed