USDC

Aztec

Ethereum

Ethereum Name Service

<h3 id="key-points">Key Points</h3>
<ul>
 <li>Aztec Labs revives zk.money as a non-custodial privacy wallet that conceals transaction amounts, account balances, and receiving parties.</li>
 <li>The platform now operates on Aztec Network, a privacy-centric Ethereum Layer 2 solution developed by the company.</li>
 <li>Supported deposits include DAI, USDC, and USDT from Ethereum mainnet, with USDC and USDT automatically converting to DAI.</li>
 <li>Transaction limits restrict individual deposits, payments, and withdrawals to $2,500, while a collective $50,000 daily deposit ceiling applies to all users.</li>
 <li>The initial zk.money version debuted in 2021, ceased operations in 2023, and had accumulated more than 75,000 wallet users prior to closure.</li>
</ul>
Aztec Labs has revived <a href="https://www.coindesk.com/tech/2026/09/29/embargo-12-et-ethereum-users-get-another-way-to-pay-privately-as-zk-money-returns-after-three-years" rel="noopener noreferrer nofollow">zk.money</a>, its privacy-oriented cryptocurrency wallet solution. After discontinuing the service three years prior, the platform has reemerged on an upgraded infrastructure.
<div class="embed-x">
 <blockquote class="twitter-tweet">
 LATEST: <img src="https://s.w.org/images/core/emoji/17.0.2/72x72/26a1.png" alt="⚡" style="height: 1em; max-height: 1em;"> Aztec Labs relaunched zk.​money in alpha, a self-custodial wallet hiding balances, payment amounts and counterparties on its Ethereum Layer 2. <a href="https://t.co/s565ryCDRv" rel="noopener noreferrer nofollow">pic.twitter.com/s565ryCDRv</a>
 — CoinMarketCap (@CoinMarketCap) <a href="https://x.com/CoinMarketCap/status/2105174597498708418?ref_src=twsrc%5Etfw" rel="noopener noreferrer nofollow">September 30, 2026</a>
 </blockquote>
</div>
The platform enables users to transfer and accept digital assets while keeping their account balances and transaction records concealed from public view. This contrasts sharply with standard Ethereum wallets, where blockchain explorers reveal complete transaction histories tied to any address.
<h3 id="privacy-mechanism-explained">Privacy Mechanism Explained</h3>
The zk.money wallet operates atop Aztec Network, an Ethereum Layer 2 solution designed for confidential transactions. When funds migrate to this network, transaction values, account balances, and recipient information become shielded from public blockchain scrutiny.
The platform accepts deposits in three stablecoins: DAI, USDC, and USDT from Ethereum mainnet. Upon entry, both USDC and USDT undergo automatic conversion to DAI, establishing DAI as the exclusive internal currency within the zk.money ecosystem.
According to Aztec Labs, DAI was selected for its decentralized characteristics compared to other widely adopted stablecoins. The team has indicated potential support for additional digital assets in future updates.
The wallet introduces a human-readable naming system that replaces lengthy hexadecimal addresses. Users can direct payments to identifiers such as bob.zk.money instead of complex alphanumeric strings.
These custom identifiers leverage Ethereum Name Service infrastructure. The platform additionally provides users with controls to manage which parties can initiate transactions with their registered handles.
<h3 id="transparency-limitations">Transparency Limitations</h3>
Complete transaction anonymity remains unachievable under the current design. Aztec’s technical documentation indicates that Ethereum mainnet deposits reveal both the originating address and transfer amount.
Privacy protections apply exclusively to recipients within the Aztec Network environment. Consequently, the initial transfer from conventional Ethereum wallets maintains partial traceability on the public ledger.
The relaunched service implements stringent usage restrictions during this phase. Individual transactions for deposits, transfers, or withdrawals face a $2,500 ceiling.
A pooled $50,000 daily deposit threshold applies collectively across the entire user base, replenishing gradually over time. Aztec Labs attributes these constraints to the nascent nature of the system and its reliance on experimental cryptographic techniques.
Transaction fees include 35 cents for deposits plus standard Ethereum gas costs. Withdrawals incur a 20-cent fee, while users receive 100 complimentary internal transactions daily within the wallet environment.
The platform incorporates compliance measures by screening Ethereum addresses associated with deposits and withdrawals against sanctions databases. A secure server infrastructure facilitates wallet operations, though it lacks authorization to independently access user funds.
The first iteration of zk.money debuted in 2021 before shutting down in 2023. Aztec Labs explained that the earlier architecture suffered from scalability constraints that prevented worldwide adoption.
Aztec Labs CEO Joe Andrews clarified that insufficient user interest did not motivate the shutdown. He stated the interim period enabled development of the foundational technology required to deliver privacy-preserving payments at meaningful scale.
This foundation materialized as Aztec Network, now governed by the independent Aztec Foundation nonprofit organization. Aztec Labs maintains its role as a product developer constructing applications, including zk.money, utilizing the network infrastructure.
Aztec Labs intends to establish connections between zk.money and various decentralized finance protocols on Ethereum, targeting integration completion within the current year. A mobile application version is similarly scheduled for release during the same timeframe, though specific dates remain unannounced.
Two legacy Aztec smart contracts linked to previously discontinued services experienced security breaches last June. Aztec confirmed these contracts operated separately from the current network architecture and that the relaunched zk.money remained uncompromised.
Aztec Labs has secured $125 million in cumulative funding, including a substantial $100 million financing round in 2022 led by a16z crypto and Paradigm.
The post <a href="https://blockonomi.com/aztec-labs-revives-zk-money-privacy-wallet-three-years-after-shutdown/" rel="noopener noreferrer nofollow">Aztec Labs Revives zk.money Privacy Wallet Three Years After Shutdown</a> appeared first on <a href="https://blockonomi.com" rel="noopener noreferrer nofollow">Blockonomi</a>.

Aztec Labs Revives zk.money Privacy Wallet Three Years After Shutdown

Table of Contents

Blockonomi

Other articles published on Sep 30, 2026

Join our free newsletter for daily crypto updates!