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Phøenix Smart Wallet

Phøenix Smart Wallet

Private Social Recovery via Aztec Network

Created on 15th June 2025

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Phøenix Smart Wallet

Phøenix Smart Wallet

Private Social Recovery via Aztec Network

The problem Phøenix Smart Wallet solves

Phoenix Smart Wallet allows user to hide the addresses of the accounts used in the smart wallets for social recovery via guardians.
Hiding the addresses of the guardians allows to decrease the risk of social engineering(3rd party can't utilise the connection to the secured wallet with a person's account) and collusion(participants will not be able to collude using on-chain knowledge of the workings of social recovery).

For the purpose of the demo only 1 thing was selected:

  • Stopping the L1 EIP7702 wallet via a plugin which user installs into a modular wallet (ZeroDev's Kernel), with the stop managed inside the mostly private execution inside the Aztec Network L2, except the public info of:
  1. Total number of the guardians.
  2. Current tally of the approvals from the guardians.

But more is possible with such an approach:

  • Full social recovery.
  • Implementing Heir to the account, which provides a necessary part for the compliance all around the globe.
  • Session Keys managed from the private execution environment.

Future direction includes:

  • All of the above.
  • Full fledged smart wallet interface(e.g. Safe UI fork).
  • As more and more bridges move to Aztec(Wormhole and others are partnering), expand to other L2 and sidechains using a 3rd party bridge of choice.

Challenges we ran into

  1. The Aztec Network documentation is outdated regarding some newest updates.
  2. ZeroDev documentation in terms of creating custom policies/modules is not existent.
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  3. Because of how early the Aztec Network is, there are rought edges around the smart contract development:
  • LSP never was up for any team member
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  • We found a bug with Sandbox that broke the sandbox even if we restarted all from scratch.
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Tracks Applied (1)

ETHKyiv 2025

Smart Wallet on Ethereum L1 Is controlled privately via ZK rollup Aztec Network.

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