What is EIP-7702?
EIP-7702 is an Ethereum improvement proposal (activated in the Pectra upgrade) that allows externally owned accounts (EOAs) to temporarily delegate their execution logic to a smart contract — enabling account abstraction features like spending limits and session keys on regular wallets.
WHY IT MATTERS
ERC-4337 requires deploying a new smart contract wallet. EIP-7702 takes a different approach: it lets existing EOAs behave like smart accounts for the duration of a transaction. Your regular MetaMask wallet can temporarily gain programmable validation, batched transactions, and gas sponsorship.
This is achieved through a new transaction type that sets a 'delegation designator' on the EOA. For that transaction (or a set period), the EOA's execution is handled by the designated smart contract code. After delegation ends, it reverts to a normal EOA.
For AI agents, EIP-7702 means existing wallets can gain spending controls without migration. An agent's EOA wallet can be delegated to a smart contract that enforces policy rules — no need to deploy a new smart account and transfer funds.
HOW POLICYLAYER USES THIS
EIP-7702 enables PolicyLayer controls on regular EOA wallets. Agents using standard private key wallets can delegate to PolicyLayer's smart contract during transactions — adding spending limits and rules without deploying a new smart account.