Starknet

**Multiple teams are building privacy-focused applications on Starknet using STRK20:** - **AVNU** - Trading and routing for STRK20 and private asset flows - **Troves** - Automated yield vaults with private deposits - **Forge Yields** - Cross-chain yield vaults exploring institutional-grade private allocation - **Provable Games** - Exploring private onchain organizations - **Invoicemate** - Building a private mainnet with one-click privacy toggle for lenders These developments follow earlier announcements about STRK20 expanding across the Starknet ecosystem, including open-source SDK access, a Proof of Privacy incubator, and private swaps through AVNU and Ekubo.

A new privacy solution allows users to perform **anonymous swaps** directly against existing liquidity pools without requiring isolated pools or cold starts. **Key features:** - Multi-call privacy enables users to unshield, swap, repay, and reshield assets in a single transaction - Works through existing signing keys via native account abstraction - no new wallet required - Users can shield assets in one click and control wallet disclosure - Builders can add private flows without rebuilding privacy infrastructure - Compatible with ERC-20 assets on Starknet without new token standards or wrappers - Designed for institutional use with confidentiality by default and customizable disclosure paths The solution addresses common privacy challenges by integrating with existing DeFi infrastructure rather than creating fragmented liquidity pools.

Developers now have two options for integration: **SDK (TypeScript, Apache 2.0)** - Designed for wallets and advanced integrators - Provides full control over proving and notes - Open-source implementation **Wallet API (starknet.js)** - Simplified integration for standard applications - Apps never handle viewing keys or proofs directly - Wallet manages all cryptographic operations This dual approach balances flexibility for power users with security and simplicity for mainstream developers.

Starknet has officially launched its privacy infrastructure for builders with the release of SDK and Wallet API tools. **What's New:** - Developers can now integrate privacy features into their applications using the new SDK and Wallet API - Shielded balances and private DeFi protocols are already operational on mainnet - The STRK20 standard enables users to shield any asset with one click **Key Features:** - Privacy layer works without requiring new token standards or wrapped assets - Built-in compliance layer for institutional use cases - Minimal integration work required for existing teams The infrastructure aims to bring practical privacy to crypto applications while maintaining compatibility with existing ERC-20 assets and DeFi protocols.

The Financial Privacy Inc (FPI) holds the master disclosure key within a dual-enclave Trusted Execution Environment (TEE), establishing a multi-layered security framework for Starknet's privacy infrastructure. **Key Security Measures:** - Primary protection: 3-of-4 multisig split between StarkWare and FPI - Secondary backup: 7-of-12 multisig controlled by Starknet Security Council - Disclosure only occurs through valid lawful requests assessed by FPI **Privacy Pool Operation:** - Users undergo screening upon entry to STRK20 Privacy Pool - All activity remains encrypted once inside - Selective disclosure limited to specific users, transfers, or time windows as legally required This architecture balances privacy protection with regulatory compliance through independent oversight.

**STRK20 Privacy Pool** has implemented a compliance framework that balances user privacy with regulatory requirements. **How it works:** - Users undergo screening before entering the privacy pool - All activity inside remains encrypted - Disclosure only occurs following valid lawful requests - Independent audit firm **FPI (Financial Privacy Inc)** assesses each request - Only specific requested information is revealed (individual user, transfer, or time window) This approach differs from traditional privacy pools where legal requests often require exposing the entire pool, leading to frozen funds or delistings.

Starknet has announced a concrete timeline to achieve full post-quantum security by 2027, addressing the looming threat of quantum computers to current cryptographic systems. **Key developments:** - Eli Ben-Sasson outlined the implementation roadmap in a brief video explanation - The network already has foundational advantages: hash-based STARKs and Native Account Abstraction - Post-quantum wallets are deployable on the network today The move responds to "Q Day" - the anticipated moment when quantum computers could break existing crypto security. Starknet's Native AA architecture allows security protocols to evolve without requiring protocol-level changes, providing flexibility as quantum threats develop. This positions Starknet as an early mover in quantum-resistant blockchain infrastructure.

**Privacy adoption on Starknet reaches significant milestone** Starknet's privacy features have now shielded over $500,000 in assets, marking growing adoption of on-chain privacy solutions. The platform offers one-click privacy functionality that works across different asset types. **Key developments:** - Total shielded value surpasses $500K threshold - One-click privacy mechanism simplifies user experience - Privacy features available for multiple asset types - Analytics tracked by [Starkscan](https://starkscan.co) The milestone reflects increasing demand for privacy-preserving transactions on Layer 2 networks. Starknet's approach aims to make privacy accessible without requiring technical expertise from users.

**Brief Service Interruption Resolved** On July 9, 2026, the STRK20 contract upgrade introduced expanded screening functionality but temporarily disabled new shielding deposits due to a verification issue with screening signatures. **Key Points:** - New shielding deposits were unavailable during the incident - The issue has been fully resolved and shielding is operational again - User funds remained secure throughout the downtime - Existing shielded assets could still be unshielded - Private transfers continued functioning normally **Context:** STRK20 launched on July 16, 2026, enabling one-click asset shielding for users, easy privacy integration for developers via SDK and Wallet API, and confidential onchain solutions for businesses. The protocol has now restored full functionality following the brief technical hiccup.

**STRK20** introduces privacy features for ERC-20 tokens on Starknet while maintaining regulatory compliance through encrypted viewing keys. **Key Features:** - Private balances, transfers, and swaps for any ERC-20 on Starknet - Fixed cost of 4 $STRK per transaction, regardless of size - Single shared privacy pool that strengthens as more users join - Encrypted viewing keys allow authorized auditors to access specific information on legitimate requests **How It Works:** Users can shield ERC-20 tokens into private balances, conduct private transactions, then unshield with one click—all within the same wallet and liquidity pools. The framework leverages Starknet's provable computation capabilities to verify private transactions without exposing details. As the privacy pool grows with more users and assets, individual transactions become harder to isolate. **Ecosystem Expansion:** STRK20 is rolling out across Starknet with integrations for [avnu](https://avnu.fi) and [Ekubo](https://ekubo.org), plus an open-source SDK. The [Proof of Privacy incubator](https://starknet.io) supports teams building private applications for payments, trading, identity, and DeFi. *Privacy by default, accountability when required.*