Smart Wallets

Smart Wallet Infrastructure

Privy Authentication Foundation

Similar to our yield product, Axal Autopilot uses Privy for the initial authentication layer. This provides:

• Seamless onboarding with social logins, email, or existing wallets
• Self-custodial security where you maintain full control of your private keys
• Familiar authentication flow that doesn’t require crypto knowledge

However, Autopilot takes wallet functionality further with ERC-4337 account abstraction.

Alchemy 4337 Smart Wallets

Autopilot leverages Alchemy’s implementation of ERC-4337 smart contract wallets to enable powerful automation features:

What is ERC-4337?

ERC-4337 is a standard for “account abstraction” that turns your wallet from a simple key pair into a programmable smart contract with advanced capabilities.

Benefits of Alchemy Smart Wallets in Autopilot

1. Automatic Gas Sponsorship

   • Execute transactions without needing ETH for gas
   • Seamlessly interact with DeFi protocols without gas concerns
   • Trade, swap, and manage positions without the friction of gas management

2. Batched Transactions

   • Execute multiple DeFi operations in a single confirmation
   • Significantly reduce the number of approval prompts you need to confirm
   • Optimize complex trading strategies with lower overall gas costs

3. Scheduled Operations

   • Set up time-based triggers for portfolio management
   • Pre-approve specific operations within defined parameters
   • Enable true “set and forget” DeFi management

4. Security Guardrails

   • Set spending limits per session or per application
   • Implement time-locks for large withdrawals
   • Create recovery mechanisms beyond seed phrases

How It Works Behind the Scenes

When you use Autopilot, we create a smart contract wallet for you that:

1. Is fully controlled by your private key (via Privy)
2. Can execute bundled transactions (UserOperations) through a “bundler”
3. Allows gas to be paid by a separate account (Axal’s gas sponsorship)
4. Maintains persistent addresses even as you upgrade wallet functionality

This infrastructure enables Autopilot to provide automation that would be impossible with traditional EOA wallets, all while maintaining the self-custodial principles that are core to our philosophy.