Privy Integration

Privy Integration

Privy is a library for onboarding users into Web3 applications without requiring them to own a crypto wallet. A user logs in via email, Google, Twitter, Discord, or phone number — Privy creates an embedded wallet for them behind the scenes. Crypto-native users connect MetaMask, Coinbase Wallet, WalletConnect as usual. Both groups work in one application.

Privy's key solution: the embedded wallet is stored in the user's browser via threshold encryption, where one shard is with Privy (in their HSM), one with the user (in localStorage, protected by passphrase). The private key never leaves the client in plaintext, Privy doesn't have access to funds.

Quick Integration

Installation and basic setup:

npm install @privy-io/react-auth

import { PrivyProvider } from '@privy-io/react-auth'

export default function App() {
    return (
        <PrivyProvider
            appId="your-privy-app-id"
            config={{
                loginMethods: ['email', 'google', 'wallet'],
                appearance: { theme: 'dark', accentColor: '#6366f1' },
                embeddedWallets: {
                    createOnLogin: 'users-without-wallets', // auto-create for email/social users
                    noPromptOnSignature: false,
                },
                defaultChain: base,
                supportedChains: [mainnet, base, arbitrum],
            }}
        >
            {children}
        </PrivyProvider>
    )
}

import { usePrivy, useWallets } from '@privy-io/react-auth'

function WalletButton() {
    const { login, authenticated, user, logout } = usePrivy()
    const { wallets } = useWallets()

    if (!authenticated) return <button onClick={login}>Log in</button>

    const embeddedWallet = wallets.find(w => w.walletClientType === 'privy')
    const externalWallet = wallets.find(w => w.walletClientType !== 'privy')

    return <div>{user.email?.address} — {embeddedWallet?.address}</div>
}

When to Use Privy

Privy is optimal for applications where the target audience is not crypto-native users. Gaming, social apps, loyalty programs, NFT marketplaces for mass audience. If the audience is DeFi traders or developers — standard WalletConnect is sufficient.

Limitations: Privy is a centralized service ($0 up to 100 MAU, then paid). Embedded wallet depends on Privy infrastructure availability. For applications requiring decentralization — alternatives are needed (Dynamic.xyz, Web3Auth, Turnkey).

Integrating Privy into an existing React project — 1–3 days. Custom UI and backend user verification — another 2–5 days.