Zero-knowledge proofs (ZKPs) are changing how Bitcoin wallets protect your privacy. They allow transactions to be verified without exposing sensitive details, making Bitcoin more private and secure. Below are four wallets that integrate ZKPs in unique ways:
- Blockstream Green: Uses Bulletproofs++ for private transactions, supports Liquid and Lightning Networks, and offers TOR integration for anonymity.
- Specter Desktop: Focuses on range proofs for confidential transactions, integrates with Liquid and hardware wallets, and allows direct node connections.
- BitVault: Features time-delayed transactions for extra security, AES 256-bit encryption, and Layer 2 compatibility with Liquid and Lightning.
- Samourai Wallet: Prioritizes privacy with CoinJoin mixing, PayNyms, TOR support, and advanced obfuscation techniques.
Quick Comparison
| Feature | Blockstream Green | Specter Desktop | BitVault | Samourai Wallet |
|---|---|---|---|---|
| ZKP Type | Bulletproofs++ | Range Proofs | Time-delayed ZK | CoinJoin Mixing |
| Privacy Tools | TOR, metadata encryption | UTXO control, TOR | Time-delayed transfers | PayNyms, Ricochet |
| Layer 2 Support | Liquid, Lightning | Liquid | Liquid, Lightning | SegWit, future Lightning |
| Platforms | iOS, Android, Desktop | Desktop only | Cross-platform | Android only |
Each wallet balances privacy, security, and usability differently. Whether you prioritize full control, advanced privacy features, or compatibility with Bitcoin's Layer 2 solutions, there's a wallet tailored to your needs.
Zero knowledge made simple | Justin Thaler
1. Blockstream Green
Blockstream Green is a versatile Bitcoin wallet available across multiple platforms. It’s designed with privacy and security in mind, incorporating cutting-edge technologies like zero-knowledge proofs to safeguard transaction details.
Zero-Knowledge Proof Integration
Blockstream has been working on Bulletproofs++ (BP++), a zero-knowledge proof system aimed at increasing privacy by blinding transaction amounts. This approach ensures greater confidentiality for users on the Liquid Network and could extend to Bitcoin transactions in the future.
"Key among these was our push to advance Bulletproofs++ (BP++), a type of zero-knowledge proof that would allow amounts to be blinded (with types of assets additionally blinded in Liquid) for greater privacy." - Blockstream [3]
The wallet also plans to introduce Codex32, a feature that enhances offline management of Bitcoin secrets, offering stronger air-gapped security measures.
Privacy Features
Blockstream Green is equipped with TOR support, which hides users' IP addresses during transactions for improved anonymity. By default, the wallet also blinds and encrypts user metadata, such as transaction notes and settings, ensuring sensitive information remains private [4].
For added control, users can connect to their own nodes via TOR or proxy services like VPNs. The option to select a trusted Electrum server allows users to decide which nodes handle their transaction data, further bolstering privacy.
Layer 2 Compatibility
The wallet supports the Liquid Network, a Bitcoin sidechain that facilitates faster transfers of assets like stablecoins and security tokens. Transactions on the Liquid Network achieve finality in about two minutes [2].
Blockstream Green is also nearing the integration of the Lightning Network through Greenlight, Blockstream's on-demand node service. Once implemented, users will be able to manage mainchain Bitcoin, Liquid assets, and Lightning funds all within a single app.
"This will establish Blockstream Green as the first in-market wallet to enable non-custodial payments across Bitcoin and its leading layer-2 solutions, the Liquid and Lightning networks." [6]
Security Enhancements
Greenlight ensures non-custodial control by keeping signing keys exclusively in the user's possession, even though Blockstream manages the infrastructure for running nodes.
"There are two domains of control in Greenlight: the user and Blockstream. Any number of clients from the user domain can connect to a single node on the Blockstream domain. The node running on Blockstream's infrastructure receives commands, computes the state changes, and then reaches out to the signer, which is solely under the user's control, to have it check and sign off on the changes. The result is a non-custodial, on-demand Lightning node where your keys are stored on your device and never touch our infrastructure." - Christian Decker, lead engineer for Greenlight [5]
For additional protection, Blockstream Green supports integration with the air-gapped Jade hardware wallet, which is set to receive improved QR code workflows. This hardware integration provides an extra layer of security, safeguarding against software vulnerabilities while maintaining the privacy benefits offered by zero-knowledge proofs.
Next, we’ll take a closer look at another Bitcoin wallet, Specter Desktop.
2. Specter Desktop
Specter Desktop is a non-custodial Bitcoin wallet designed to give users maximum control and privacy. It integrates smoothly with major hardware wallets, making it a versatile choice for Bitcoin enthusiasts.
Zero-Knowledge Proof Integration
One of Specter Desktop's standout features is its use of the Liquid Network for Confidential Transactions. By employing range proofs, it hides transaction amounts and asset types, offering an extra layer of privacy for users [8].
"The native privacy and issuance features of Liquid are not yet fully appreciated by Bitcoin users. Confidential Transactions are making Bitcoin more fungible and private, and we believe the technology will play a key role in the ongoing adoption of Bitcoin." - Moritz Wietersheim, Founder at Specter Solutions [7]
Privacy Features
Specter Desktop is packed with privacy-focused tools that help users secure their Bitcoin activity. It allows users to connect directly to their own Bitcoin Core node, ensuring all transaction verifications happen independently [10]. On top of that, it includes Tor integration, which anonymizes network connections by hiding IP addresses and location data [9].
For those who want more control over their transactions, the wallet offers advanced coin control features. This lets users manage their UTXOs (unspent transaction outputs) by selecting specific ones for spending or freezing particular outputs for added privacy [9]. These privacy tools blend seamlessly with layer-2 solutions, giving users flexibility and security.
Layer 2 Compatibility
In October 2021, Specter Desktop expanded its capabilities by integrating the Liquid Network, a Bitcoin sidechain known for faster transactions and enhanced privacy [7]. This feature allows users to handle Bitcoin, stablecoins like L-USDT, and other digital assets, completing transactions in under two minutes [12]. The Liquid Network has already surpassed $1.2 billion in network value, reflecting its growing popularity among Bitcoin users [7].
Specter Desktop makes managing Liquid nodes straightforward with a user-friendly graphical interface. It supports creating hot wallets for Liquid transactions and connecting Liquid-compatible hardware wallets, making it accessible even for those new to sidechains.
Security Enhancements
Specter Desktop is built with security at its core. As a non-custodial wallet, it ensures users maintain full control of their private keys. It supports popular hardware wallets like Blockstream Jade, adding a physical layer of protection against software vulnerabilities. For those managing larger Bitcoin holdings, the wallet offers multisig configurations on both the Bitcoin and Liquid networks, enabling secure, multi-party setups.
"Secure your bitcoin. Verify your transactions. Protect your privacy." - Specter Solutions [11]
3. BitVault
BitVault is an open-source, non-custodial Bitcoin wallet designed to withstand both physical and cyber threats. Like other wallets in its class, it uses advanced security protocols to enhance privacy and safeguard user assets. Key features include time-delayed transactions and AES 256-bit encryption, which work together to prevent unauthorized transfers.
Privacy Features
At the heart of BitVault's privacy design is its time-delayed transaction system. This feature allows users to set delays for outgoing transfers, creating a crucial buffer. Even if someone gains access to your device or pressures you into sharing your keys, they won’t be able to move funds immediately. This delay gives users critical time to intervene and secure their assets.
The wallet also includes an encrypted notification system. If suspicious activity is detected, an alert is sent to a pre-designated "owl wallet", while the app itself displays a security warning each time it’s accessed. These measures ensure that security remains a constant priority for users.
"Even if someone forces you to reveal your keys, BitVault's time-delay feature ensures your funds remain inaccessible for a pre-determined period, providing you with ample time to prevent unauthorized transfers." – Francesco Madonna, CEO of BitVault
This combination of features creates a strong foundation for BitVault's security-first approach.
Security Measures
To protect users further, BitVault employs AES 256-bit encryption, a gold standard in data security, and boasts a CISA+ security certification for enterprise-grade protection. The wallet also supports multisig transactions, requiring multiple signatures for approval. This adds another layer of defense against unauthorized access.
"BitVault was built with the belief that true Bitcoin ownership means absolute control over security. With customizable time delays and robust encryption, we've created a wallet that sets a new benchmark for safety." – Francesco Madonna, CEO of BitVault
In addition to encryption and multisig safeguards, BitVault enhances its security framework with seamless compatibility for Bitcoin's Layer 2 solutions.
Layer 2 Integration
BitVault is fully compatible with popular Bitcoin Layer 2 solutions, including Liquid and the Lightning Network. It also offers tools for optimizing Layer 1 transaction fees, allowing users to balance cost efficiency with security, even during fluctuating network conditions. This integration ensures users can transact with ease while maintaining top-tier protection.
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4. Samourai Wallet
Samourai Wallet is a Bitcoin-only mobile wallet for Android that puts privacy front and center. Designed for users who value anonymity, it combines various privacy-focused technologies to shield transactions from blockchain analysis and surveillance.
"A modern Bitcoin wallet, hand-forged to keep your transactions private, your identity masked, and your funds secured." – Samourai team
Privacy Features
Samourai Wallet is packed with tools to obscure transaction details and prevent tracking. It generates a new address for every transaction, randomizes change outputs, and uses BIP 126 to avoid linking new transactions to older ones. These features make it harder for anyone to connect the dots between your wallet and your activity.
For added anonymity, Samourai introduces PayNyms - a feature that lets you receive Bitcoin payments without exposing your actual wallet address. Essentially, it creates a layer of separation between your public payment details and your private wallet.
Another standout feature is Ricochet, which routes transactions through multiple addresses to mask the origin of funds. This added layer of privacy comes at a cost of $2.50 plus standard mining fees.
Security Enhancements
Samourai goes beyond privacy to include features that secure your funds and protect your digital footprint. It supports TOR and VPN connections, which hide your IP address and prevent your internet activity from being tied to your Bitcoin transactions. This network-level protection complements the wallet’s on-chain privacy measures.
The wallet also offers Stealth Mode, a clever feature that hides the wallet shortcut from your device’s home screen, safeguarding against prying eyes.
For users dealing with stuck transactions or wanting more control over fees, Samourai includes Replace by Fee (RBF) and Child Pays for Parent (CPFP). These tools let you adjust transaction fees after broadcasting or accelerate transactions waiting in the queue.
Layer 2 Compatibility
Samourai Wallet is also forward-thinking, supporting advanced Bitcoin protocols to enhance functionality and efficiency. It was one of the first mobile wallets to adopt SegWit transactions, which lower transaction costs and pave the way for future scaling technologies like the Lightning Network.
The wallet’s Batch Spending feature allows users to bundle multiple smaller transactions into one, potentially saving up to 30% on mining fees. This is especially useful for frequent Bitcoin users.
For those who prefer running their own infrastructure, Samourai offers Dojo software, which integrates with a Bitcoin Core full node. This setup enables users to bypass Samourai’s servers entirely, adding another layer of privacy. Additionally, the wallet supports Whirlpool CoinJoins, a decentralized mixing service that has processed over 8,024 BTC and coordinated enhanced privacy for more than 1,134 clients using the Soroban protocol.
While the wallet focuses heavily on mixing and obfuscation techniques, it also aligns with emerging innovations like zero-knowledge technologies, ensuring it stays ahead in the privacy game.
Feature Comparison
Let's break down the key features of Bitcoin wallets that incorporate zero-knowledge proof (ZKP) capabilities.
| Feature | Blockstream Green | Specter Desktop | BitVault | Samourai Wallet |
|---|---|---|---|---|
| ZKP Type | Confidential Transactions | Range Proofs | Time-delayed ZK verification | CoinJoin mixing protocols |
| Privacy Mechanisms | Amount blinding, address confidentiality | UTXO management, coin control | Secret notifications, stealth transactions | PayNyms, Ricochet routing, Stealth Mode |
| Layer 2 Compatibility | Lightning Network, Liquid Network | Lightning Network support | Lightning Network, Liquid Network | SegWit, planned Lightning integration |
| Security Features | 2FA, multisig, hardware wallet support | Air-gapped signing, multisig | Time-delayed transactions, AES 256-bit encryption | TOR/VPN support, RBF, CPFP |
| Platform Support | iOS, Android, Desktop | Desktop (Windows, macOS, Linux) | Cross-platform | Android only |
| Open Source | Yes | Yes | Yes | Yes |
| Self-Custody | Full control | Full control | Non-custodial | Full control |
The table above highlights the main differences between these wallets, but let’s dive deeper into what sets each one apart.
Privacy Features and Zero-Knowledge Proofs
Privacy is a top priority for these wallets, and each employs unique methods to enhance transaction confidentiality. Blockstream Green uses Confidential Transactions, which obscure transaction amounts while preserving the blockchain’s integrity. Specter Desktop leans on range proofs, ensuring UTXOs remain private without revealing exact values. BitVault introduces time-delayed zero-knowledge verification, adding an extra layer of protection against physical attacks. Meanwhile, Samourai Wallet focuses on CoinJoin mixing protocols and obfuscation techniques like PayNyms and Stealth Mode to sever transaction links.
Layer 2 Integration
Layer 2 compatibility varies across these wallets. Both Blockstream Green and BitVault shine with their support for the Lightning Network and Liquid Network, offering faster transactions and added privacy. Specter Desktop supports the Lightning Network as well, though its primary focus remains on desktop environments. Samourai Wallet, while currently supporting SegWit, has plans to integrate Lightning in the future, signaling its commitment to evolving with user needs.
Security Innovations
Each wallet takes a different approach to security. BitVault emphasizes time-delayed transactions and AES 256-bit encryption, specifically targeting threats like physical attacks and hacks. Blockstream Green combines two-factor authentication (2FA) with hardware wallet integration for robust security. Specter Desktop prioritizes air-gapped signing, which isolates sensitive operations for maximum protection. Samourai Wallet, on the other hand, leans into network-level defenses, using TOR and VPN support to mask users' IP addresses and increase anonymity during transactions.
Platform Accessibility
When it comes to platform support, there’s a clear distinction in focus. Blockstream Green and BitVault cater to a broad audience by offering compatibility across mobile and desktop platforms. Specter Desktop, however, is designed for power users who prefer advanced features in a desktop-only environment. Samourai Wallet, optimized exclusively for Android, delivers a tailored mobile experience for users on the go.
Choosing the Right Wallet
Each wallet reflects a different set of priorities. Whether you’re looking for advanced transaction privacy, protection against physical threats, network anonymity, or seamless Layer 2 functionality, the right choice depends on your specific needs and how you plan to use it. Consider your technical expertise, privacy preferences, and transaction habits when deciding which wallet aligns best with your goals.
Conclusion
Zero-knowledge proofs (ZKPs) are transforming Bitcoin wallet security by validating transactions without exposing sensitive details [13]. Unlike traditional methods that disclose transaction data, ZKPs allow users to confirm they have enough funds for a transaction without revealing their wallet balance or other private information [13]. This approach minimizes blockchain exposure and significantly reduces the risk of hacks, making it harder for attackers to exploit vulnerabilities in wallets and protocols [1]. The importance of this enhanced security is underscored by incidents like the 2025 Bybit breach, which resulted in $1.5 billion in losses [1].
"Zero-knowledge cryptography integrated within a distributed system creates an environment where the user's privacy is preserved online."
- Zack Xuereb, Engineer at the Aleo Network Foundation [14]
However, the computational demands of ZKPs can impact transaction speeds, and different implementations vary in complexity and performance [13]. Wallets that utilize advanced ZKP variants, such as zk-STARKs, eliminate the need for a trusted setup and often include user-friendly tools for seamless integration [13]. These advancements are paving the way for more secure and accessible solutions.
The wallets explored - Blockstream Green, Specter Desktop, BitVault, and Samourai Wallet - each offer distinct approaches to incorporating ZKPs. Whether your focus is on confidential transactions or features like time-delayed verification, there's an option tailored to your privacy and usability needs. Each wallet demonstrates how ZKPs can be uniquely applied to enhance both security and privacy.
As Charles Hoskinson, Founder of IOHK, puts it:
"That's the beauty of zero-knowledge proofs, is enabling data privacy on a public blockchain where others won't" [15]
With innovations from wallets like Blockstream Green, Specter Desktop, BitVault, and Samourai Wallet, ZKPs are ushering in a new era of secure self-custody. As the National Institute of Standards and Technology (NIST) works toward standardizing ZKPs by 2025 [13], the future promises even stronger and more interoperable solutions. Choosing the right wallet depends on your specific security needs and transaction habits, but one thing is clear: ZKPs are setting a new standard for privacy and peace of mind in the crypto space.
FAQs
How do zero-knowledge proofs improve privacy and security in Bitcoin wallets?
Zero-Knowledge Proofs in Bitcoin Wallets
Zero-knowledge proofs (ZKPs) bring a new level of privacy and security to Bitcoin wallets by enabling transaction verification without exposing sensitive details. With ZKPs, users can confirm they have enough funds or meet specific conditions without sharing private information like wallet balances or transaction amounts.
This cryptographic approach not only protects personal data from risks like identity theft and phishing but also boosts blockchain performance. By minimizing the amount of data processed during transactions, ZKPs help the network handle growth more efficiently. In short, they play a key role in maintaining both privacy and trust in Bitcoin transactions.
What types of zero-knowledge proofs are used in Bitcoin wallets, and how do they differ?
Zero-knowledge proofs (ZKPs) play a crucial role in Bitcoin wallets, with two primary types in use: zk-SNARKs and zk-STARKs.
zk-SNARKs (Zero-Knowledge Succinct Non-Interactive Arguments of Knowledge) are known for their efficiency and compact size. They enable users to verify transactions without exposing sensitive information, making them a go-to option for privacy-focused solutions. However, they rely on a trusted setup, which is a key consideration, especially for smaller datasets where their efficiency shines.
zk-STARKs (Zero-Knowledge Scalable Transparent Arguments of Knowledge) focus on scalability and transparency. Unlike zk-SNARKs, they don't require a trusted setup, and they’re built to withstand quantum computing threats. Although they demand more computational power, zk-STARKs excel at handling larger datasets, making them a better fit for systems requiring high throughput.
Deciding between zk-SNARKs and zk-STARKs comes down to the specific needs of the wallet - whether the emphasis is on efficiency, scalability, or privacy.
How do Bitcoin wallets use Layer 2 solutions like the Liquid and Lightning Networks to enhance speed and lower costs?
Bitcoin wallets utilize Layer 2 solutions such as the Liquid Network and the Lightning Network to streamline transactions. By handling transactions off the primary Bitcoin blockchain, these solutions ease congestion, speed up processing times, and cut down on fees.
The Lightning Network is perfect for quick, small payments, offering near-instant transaction speeds. On the other hand, the Liquid Network focuses on faster and more private transactions by functioning as a sidechain. Both systems group multiple transactions together before recording them on the main blockchain, ensuring Bitcoin remains secure and decentralized while improving scalability.
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