Core Concepts

This section introduces the fundamental concepts used throughout ZKFund. These terms form the mental model for how private governance and private fund execution work.


zkID (Zero-Knowledge Identity)

A zkID is a cryptographic identity that allows a participant to prove authorization without revealing a wallet address or real-world identity.

  • zkIDs are used to represent membership and roles

  • They are not transferable by default

  • They do not expose persistent identifiers on-chain

A zkID enables statements such as:

“I am an authorized member of this fund” without revealing who that member is.


Proof-of-Role / ZK Membership

Proof-of-role is a zero-knowledge proof that a zkID holds a specific role within a fund or DAO.

Examples:

  • Founder

  • Board

  • Signer

  • LP

  • Auditor

  • Executor

These proofs allow the system to:

  • Restrict proposal creation

  • Weight votes by role

  • Enforce execution permissions

All without revealing role holders publicly.


Anonymous Voting Session Keys

Voting is performed using ephemeral session keys.

  • A session key is valid only within a specific voting period

  • It prevents double voting

  • It cannot be linked to past or future actions

This ensures that:

  • Votes cannot be correlated across proposals

  • Voter privacy is preserved even from internal observers


Proposal

A proposal is a structured request to perform an action.

Each proposal defines:

  • Action type (swap, withdraw, allocate, parameter change)

  • Required roles and thresholds

  • Voting and execution rules

  • Expiration and finalization conditions

Proposal metadata and execution parameters may be:

  • Fully public

  • Partially hidden

  • Fully private (proven via ZK circuits)


ZK Voting Circuit

A ZK voting circuit verifies that:

  • The voter is eligible

  • The vote is cast exactly once

  • Voting weight is applied correctly

Supported voting models include:

  • Token-weighted voting

  • Role-weighted voting

  • Stake-weighted voting

  • Hybrid models

The circuit outputs only what is necessary:

  • Aggregated result

  • Finalization proof

Individual votes are never revealed.


ZK Multisig Proof

ZK multisig replaces visible signatures with cryptographic proofs.

Each signer submits a proof that:

  • They belong to the authorized signer set

  • They approved a specific proposal

Smart contracts verify:

  • Proof validity

  • Threshold satisfaction (e.g., 3-of-5)

Signer identities, order, and timing remain private.


Stealth Treasury

A stealth treasury is a fund treasury that:

  • Does not expose a public wallet address

  • Does not reveal balances or transaction history

  • Is controlled through ZK-governed execution

Assets are managed through private settlement mechanisms rather than visible transfers.


ZK Pool Settlement

ZK Pool is the settlement layer that:

  • Executes swaps, transfers, and allocations privately

  • Produces verifiable proof receipts

  • Prevents tracing of fund flows

Only minimal execution confirmations are published on-chain.


Proof Receipts (Proof-Only Logging)

Instead of detailed events, ZKFund emits proof receipts.

These receipts confirm:

  • A proposal was finalized

  • An action was executed

  • Governance rules were followed

They do not disclose:

  • Addresses

  • Amounts

  • Counterparties

  • Strategy details


Selective Disclosure

Selective disclosure allows a fund or DAO to:

  • Reveal specific data to auditors or regulators

  • Keep the rest of the system private

Disclosure is controlled by governance and enforced cryptographically.

Last updated