What is Privy?
Privy is a web3 authentication and embedded wallet platform that creates non-custodial wallets for users without requiring them to manage seed phrases — using social logins, email, and phone number as recovery methods.
WHY IT MATTERS
Traditional wallet creation is hostile: install an extension, write down 24 words, understand gas. Privy abstracts all of this. Users sign in with email or social accounts and get a wallet automatically. The private key is secured using MPC or enclave technology — the user controls it without ever seeing it.
Privy's embedded wallets are particularly useful for agent-based applications. When an application creates an agent on behalf of a user, Privy can provision a wallet for that agent without the user needing to understand key management.
The developer experience focuses on seamless integration: a few lines of code add authentication and wallet creation to any application. This makes it fast to build agent-powered financial applications without building wallet infrastructure from scratch.
HOW POLICYLAYER USES THIS
PolicyLayer can wrap Privy-created embedded wallets with spending policies. The agent gets its wallet from Privy, and PolicyLayer adds transaction-level controls — combining easy wallet provisioning with robust financial guardrails.