Ethereum Foundation Updates Kohaku for Wallet Privacy

The developer group is pushing for default privacy integration in wallets via the open-source Kohaku SDK.

Updated on Oct. 26, 2026 in Cybersecurity

Ethereum Foundation Updates Kohaku for Wallet Privacy

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The Ethereum Foundation has released an update to its Kohaku SDK to support the integration of privacy protocols into crypto wallets. By providing a standardized interface, the project aims to minimize user data exposure to external attackers.

Why it matters

The Foundation asserts that robust privacy is essential for security, following a string of recent exploits involving onchain user histories. Adopting these tools is designed to shield sensitive transaction data from malicious actors.

The Kohaku SDK utilizes a standardized interface to support shielded-pool protocols including Railgun, Privacy Pools, and Tornado Cash. The project also maintains a public repository featuring post-quantum account implementations at a per-transaction cost of $0.07.

The players

Ethereum Foundation

This is a non-profit organization that supports the Ethereum ecosystem and related open-source technologies.

Jordan Enev

Jordan Enev is an advocate for the adoption of privacy-focused wallet development standards.

US Treasury

This is the executive agency of the United States government responsible for economic policy and financial sanctions.

The details

The Kohaku SDK, introduced in October 2025, serves as both a reference wallet and an open-source development kit. It now supports the Sepolia testnet, allowing developers to embed privacy protections directly into wallet user interfaces to limit information available to potential attackers.

Timeline

  1. March 21, 2025: The US Treasury removed economic sanctions against Tornado Cash.

  2. October 2025: The Ethereum Foundation introduced the Kohaku SDK.

  3. October 23, 2026: Jordan Enev urged wallet developers to adopt the Kohaku standards.

  4. November 3, 2026: The Foundation scheduled a Kohaku privacy demonstration for the Devcon conference on the Ethereum mainnet.

The Tech Race

The release of the Kohaku SDK reflects the industry's shift toward decentralized privacy standards following the legal uncertainty surrounding the US Treasury's sanctions against Tornado Cash. This effort positions the Ethereum Foundation to compete with private actors in defining how shielded-pool protocols are natively integrated into the user experience.

Users can expect future wallet interfaces to include more robust privacy controls that automatically shield transaction histories. Developers will gain access to decentralized methods for fetching token prices and logos, reducing reliance on centralized data providers.

The takeaway

The Ethereum Foundation is prioritizing privacy by making shielded transactions the default for wallet software. Users should look for these features in upcoming wallet releases to better protect their transaction history from unauthorized tracking.

What happens next

The Ethereum Foundation is scheduled to demonstrate the Kohaku SDK on the Ethereum mainnet during the upcoming Devcon conference on November 3, 2026.

Further reading

For more information on the evolving security landscape, visit the Cybersecurity section.

Live Poll

Do you believe cryptocurrency wallets should offer default privacy protections for your transactions?