diff --git a/src/wallet/wallet.py b/src/wallet/wallet.py
new file mode 100644
index 000000000..486e1dbc7
--- /dev/null
+++ b/src/wallet/wallet.py
@@ -0,0 +1,94 @@
+import os
+import json
+import hashlib
+import secrets
+from collections import defaultdict
+from cryptography.fernet import Fernet
+import base64
+import binascii
+
+class HDWallet:
+    def __init__(self, seed):
+        self.seed = seed
+        self.addresses = {}  # index -> (private_key, public_key)
+
+    def generate_address(self, index):
+        private_key = secrets.token_hex(32)  # 64 hex characters
+        public_key = self._generate_public_key(private_key)
+        self.addresses[index] = (private_key, public_key)
+        return public_key
+
+    def _generate_public_key(self, private_key):
+        return hashlib.sha256(private_key.encode()).hexdigest()
+
+class Wallet:
+    def __init__(self):
+        self.wallets = {}  # user -> HDWallet
+        self.balances = defaultdict(int)  # user -> balance
+        self.transaction_history = defaultdict(list)  # user -> list of transactions
+        self.key_storage = {}  # user -> encrypted private keys
+
+    def create_wallet(self, user, seed):
+        if user in self.wallets:
+            raise ValueError("Wallet already exists for this user.")
+        
+        hd_wallet = HDWallet(seed)
+        hd_wallet.generate_address(0)  # Generate the first address
+        self.wallets[user] = hd_wallet
+        print(f"Wallet created for {user}. Public Key: {hd_wallet.addresses[0][1]}")
+
+    def encrypt_private_key(self, user, private_key):
+        key = Fernet.generate_key()
+        cipher_suite = Fernet(key)
+        encrypted_key = cipher_suite.encrypt(private_key.encode())
+        self.key_storage[user] = (encrypted_key, key)
+        return encrypted_key
+
+    def decrypt_private_key(self, user):
+        encrypted_key, key = self.key_storage[user]
+        cipher_suite = Fernet(key)
+        return cipher_suite.decrypt(encrypted_key).decode()
+
+    def get_balance(self, user):
+        return self.balances[user]
+
+    def deposit(self, user, amount):
+        if user not in self.wallets:
+            raise ValueError("Wallet does not exist for this user.")
+        self.balances[user] += amount
+        self.transaction_history[user].append(f"Deposited {amount}. New balance: {self.balances[user]}")
+        print(f"Deposited {amount} to {user}'s wallet. New balance: {self.balances[user]}")
+
+    def withdraw(self, user, amount):
+        if user not in self.wallets:
+            raise ValueError("Wallet does not exist for this user.")
+        if self.balances[user] < amount:
+            raise ValueError("Insufficient balance.")
+        self.balances[user] -= amount
+        self.transaction_history[user].append(f"Withdrew {amount}. New balance: {self.balances[user]}")
+        print(f"Withdrew {amount} from {user}'s wallet. New balance: {self.balances[user]}")
+
+    def get_wallet_info(self, user):
+        if user not in self.wallets:
+            raise ValueError("Wallet does not exist for this user.")
+        hd_wallet = self.wallets[user]
+        return {
+            "addresses": hd_wallet.addresses,
+            "balance": self.get_balance(user),
+            "transaction_history": self.transaction_history[user]
+        }
+
+# Example usage
+if __name__ == "__main__":
+    wallet_manager = Wallet()
+    
+    # Create wallets for users
+    wallet_manager.create_wallet("user1", "seed_phrase_1")
+    wallet_manager.create_wallet("user2", "seed_phrase_2")
+
+    # Deposit and withdraw funds
+    wallet_manager.deposit("user1", 100)
+    wallet_manager.withdraw("user1", 50)
+
+    # Get wallet info
+    print(wallet_manager .get_wallet_info("user1"))