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Smart WalletsVerified Reference • August 2026

ERC-4337 Account Abstraction & Paymasters

ERC-4337 introduces smart contract wallets to Ethereum without consensus-layer protocol changes, utilizing an alternative mempool for UserOperations.

Core Architectural Highlights:
Replaces EOAs (Externally Owned Accounts) with programmable smart contract accounts.
Paymasters sponsor transaction gas fees, enabling zero-ETH USDT transfers.
Bundlers package UserOperations and submit them to canonical EntryPoint contracts.

1. UserOperation Execution Pipeline

Users sign a UserOperation struct containing sender, callData, gas limits, and paymasterAndData. Bundlers simulate the validation on Alt-Mempools before submitting to the EntryPoint contract.

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