Building Your First Encrypted Uniswap v4 Hook

A practical guide to privacy-preserving DeFi with Fully Homomorphic Encryption

What We're Building

We'll create a Private Liquidity Tracker - a Uniswap v4 hook that monitors liquidity changes without exposing sensitive pool metrics on-chain. Pool owners can track total liquidity movements over time, but the actual values remain encrypted until they choose to reveal them.

Why This Matters

Standard Uniswap v4 hooks expose all data publicly. This can leak competitive intelligence:

• Competitors see your liquidity patterns
• MEV bots can front-run based on pool state
• Trading strategies become visible to everyone

With FHE, you keep metrics private while maintaining on-chain computation guarantees.

What You'll Learn

• Working with encrypted integers in Solidity
• Managing access control for encrypted data
• Implementing asynchronous decryption patterns
• Integrating FHE with Uniswap v4 hook lifecycle
• Testing encrypted smart contracts

Prerequisites

Required: