Tempo launches Zones privacy system in production with Deel

StarkWare launches Shadow Accounts on Ethereum layer-2 network Starknet, allowing decentralized finance users to obscure connections between primary wallets and specific application identities. Operating on the STRK20 privacy framework, the feature uses zero-knowledge proofs and shielded balance pools to keep transaction histories public while protecting wallet privacy. Developers can integrate the tool through Starknet Wallet API 0.10.4.

StarkWare privacy releases

• ▪StarkWare introduced the STRK20 framework on June 9, 2026, providing shielded balances and private transfers for supported ERC-20 assets on Starknet.
• ▪StarkWare launched Shadow Accounts on the Ethereum layer-2 network Starknet on October 13, 2026, introducing persistent application-specific identities.

Privacy and transaction visibility

• ▪Starknet Shadow Accounts hold public ERC-20 tokens, allowing blockchain observers to examine transaction histories once a specific Shadow Account address is identified.
• ▪Starknet Shadow Accounts allow users to manage decentralized finance positions without publicly linking their application activity to primary cryptocurrency wallets.
• ▪Starknet derives each Shadow Account address from user-specific data, the selected application, and a unique identifier known as a nonce.
• ▪Shadow Account balances and transactions remain publicly visible on the blockchain, but the connection to the user's primary wallet address is obscured.

Funding and withdrawal mechanics

• ▪When withdrawing from a Starknet Shadow Account, funds return to shielded STRK20 balances using zero-knowledge proofs managed by the wallet.
• ▪Users fund Starknet Shadow Accounts by depositing supported assets into a shared privacy pool represented through encrypted STRK20 balances.

Developer integration requirements

• ▪Developers can integrate Shadow Accounts into applications using the shadow_account_invoke method in Starknet Wallet API version 0.10.4 or starknet.js version 10.8.0 or newer.
• ▪Starknet wallets handle zero-knowledge proof generation and shielded balance data during Shadow Account operations without requiring developers to access users' viewing keys.