diff --git a/src/zk/gadget/cond_select.rs b/src/zk/gadget/cond_select.rs
index 7ff7f2fea..ba4042820 100644
--- a/src/zk/gadget/cond_select.rs
+++ b/src/zk/gadget/cond_select.rs
@@ -39,7 +39,6 @@ pub struct ConditionalSelectConfig<F: WithSmallOrderMulGroup<3> + Ord> {
 
 pub struct ConditionalSelectChip<F: WithSmallOrderMulGroup<3> + Ord> {
     config: ConditionalSelectConfig<F>,
-    _marker: PhantomData<F>,
 }
 
 impl<F: WithSmallOrderMulGroup<3> + Ord> Chip<F> for ConditionalSelectChip<F> {
@@ -56,11 +55,8 @@ impl<F: WithSmallOrderMulGroup<3> + Ord> Chip<F> for ConditionalSelectChip<F> {
 }
 
 impl<F: WithSmallOrderMulGroup<3> + Ord> ConditionalSelectChip<F> {
-    pub fn construct(
-        config: <Self as Chip<F>>::Config,
-        _loaded: <Self as Chip<F>>::Loaded,
-    ) -> Self {
-        Self { config, _marker: PhantomData }
+    pub fn construct(config: <Self as Chip<F>>::Config) -> Self {
+        Self { config }
     }
 
     pub fn configure(
diff --git a/src/zk/gadget/is_equal.rs b/src/zk/gadget/is_equal.rs
index ca5d67221..b8f1b6dce 100644
--- a/src/zk/gadget/is_equal.rs
+++ b/src/zk/gadget/is_equal.rs
@@ -53,10 +53,7 @@ impl<F: WithSmallOrderMulGroup<3> + Ord> Chip<F> for IsEqualChip<F> {
 }
 
 impl<F: WithSmallOrderMulGroup<3> + Ord> IsEqualChip<F> {
-    pub fn construct(
-        config: <Self as Chip<F>>::Config,
-        _loaded: <Self as Chip<F>>::Loaded,
-    ) -> Self {
+    pub fn construct(config: <Self as Chip<F>>::Config) -> Self {
         Self { config }
     }
 
@@ -158,10 +155,7 @@ impl<F: WithSmallOrderMulGroup<3> + Ord> Chip<F> for AssertEqualChip<F> {
 }
 
 impl<F: WithSmallOrderMulGroup<3> + Ord> AssertEqualChip<F> {
-    pub fn construct(
-        config: <Self as Chip<F>>::Config,
-        _loaded: <Self as Chip<F>>::Loaded,
-    ) -> Self {
+    pub fn construct(config: <Self as Chip<F>>::Config) -> Self {
         Self { config }
     }
 
diff --git a/src/zk/gadget/mod.rs b/src/zk/gadget/mod.rs
index a3dfeaa97..a7d557bd4 100644
--- a/src/zk/gadget/mod.rs
+++ b/src/zk/gadget/mod.rs
@@ -39,3 +39,6 @@ pub mod cond_select;
 
 /// Conditional selection based on lhs (will output lhs if lhs==0, otherwise rhs)
 pub mod zero_cond;
+
+/// Poseidon-based sparse Merkle tree chip
+pub mod smt;
diff --git a/src/zk/gadget/smt.rs b/src/zk/gadget/smt.rs
new file mode 100644
index 000000000..a5ee715aa
--- /dev/null
+++ b/src/zk/gadget/smt.rs
@@ -0,0 +1,328 @@
+/* This file is part of DarkFi (https://dark.fi)
+ *
+ * Copyright (C) 2020-2024 Dyne.org foundation
+ * Copyright (C) 2022 zkMove Authors (Apache-2.0)
+ * Copyright (C) 2021 Webb Technologies Inc. (Apache-2.0)
+ *
+ * This program is free software: you can redistribute it and/or modify
+ * it under the terms of the GNU Affero General Public License as
+ * published by the Free Software Foundation, either version 3 of the
+ * License, or (at your option) any later version.
+ *
+ * This program is distributed in the hope that it will be useful,
+ * but WITHOUT ANY WARRANTY; without even the implied warranty of
+ * MERCHANTABILITY or FITNESS FOR A PARTICULAR PURPOSE.  See the
+ * GNU Affero General Public License for more details.
+ *
+ * You should have received a copy of the GNU Affero General Public License
+ * along with this program.  If not, see <https://www.gnu.org/licenses/>.
+ */
+
+use std::marker::PhantomData;
+
+use darkfi_sdk::crypto::smt::{FieldHasher, Path};
+use halo2_gadgets::poseidon::{
+    primitives as poseidon, Hash as PoseidonHash, Pow5Chip as PoseidonChip,
+    Pow5Config as PoseidonConfig,
+};
+use halo2_proofs::{
+    circuit::{AssignedCell, Layouter, Value},
+    pasta::Fp,
+    plonk::{self, Advice, Column, ConstraintSystem, Selector},
+};
+
+use super::{
+    cond_select::{ConditionalSelectChip, ConditionalSelectConfig, NUM_OF_UTILITY_ADVICE_COLUMNS},
+    is_equal::{AssertEqualChip, AssertEqualConfig, IsEqualChip, IsEqualConfig},
+};
+
+#[derive(Clone, Debug)]
+pub struct PathConfig<const N: usize> {
+    s_path: Selector,
+    advices: [Column<Advice>; N],
+    poseidon_config: PoseidonConfig<Fp, 3, 2>,
+    is_eq_config: IsEqualConfig<Fp>,
+    conditional_select_config: ConditionalSelectConfig<Fp>,
+    assert_equal_config: AssertEqualConfig<Fp>,
+}
+
+impl<const N: usize> PathConfig<N> {
+    fn poseidon_chip(&self) -> PoseidonChip<Fp, 3, 2> {
+        PoseidonChip::construct(self.poseidon_config.clone())
+    }
+
+    fn is_eq_chip(&self) -> IsEqualChip<Fp> {
+        IsEqualChip::construct(self.is_eq_config.clone())
+    }
+
+    fn conditional_select_chip(&self) -> ConditionalSelectChip<Fp> {
+        ConditionalSelectChip::construct(self.conditional_select_config.clone())
+    }
+
+    fn assert_eq_chip(&self) -> AssertEqualChip<Fp> {
+        AssertEqualChip::construct(self.assert_equal_config.clone())
+    }
+}
+
+pub struct PathChip<H: FieldHasher<Fp, 2>, const N: usize> {
+    path: [(AssignedCell<Fp, Fp>, AssignedCell<Fp, Fp>); N],
+    config: PathConfig<N>,
+    _hasher: PhantomData<H>,
+}
+
+impl<H: FieldHasher<Fp, 2>, const N: usize> PathChip<H, N> {
+    pub fn configure(
+        meta: &mut ConstraintSystem<Fp>,
+        advices: [Column<Advice>; N],
+        utility_advices: [Column<Advice>; NUM_OF_UTILITY_ADVICE_COLUMNS],
+        poseidon_config: PoseidonConfig<Fp, 3, 2>,
+    ) -> PathConfig<N> {
+        let s_path = meta.selector();
+
+        for advice in &advices {
+            meta.enable_equality(*advice);
+        }
+
+        for advice in &utility_advices {
+            meta.enable_equality(*advice);
+        }
+
+        PathConfig {
+            s_path,
+            advices,
+            poseidon_config,
+            is_eq_config: IsEqualChip::configure(meta, utility_advices),
+            conditional_select_config: ConditionalSelectChip::configure(meta, utility_advices),
+            assert_equal_config: AssertEqualChip::configure(
+                meta,
+                [utility_advices[0], utility_advices[1]],
+            ),
+        }
+    }
+
+    pub fn from_native(
+        config: PathConfig<N>,
+        layouter: &mut impl Layouter<Fp>,
+        native: Path<Fp, H, N>,
+    ) -> Result<Self, plonk::Error> {
+        let path = layouter.assign_region(
+            || "path",
+            |mut region| {
+                config.s_path.enable(&mut region, 0)?;
+                let left = (0..N)
+                    .map(|i| {
+                        region.assign_advice(
+                            || format!("path[{}][{}]", i, 0),
+                            config.advices[i],
+                            0,
+                            || Value::known(native.path[i].0),
+                        )
+                    })
+                    .collect::<Result<Vec<AssignedCell<Fp, Fp>>, plonk::Error>>();
+
+                let right = (0..N)
+                    .map(|i| {
+                        region.assign_advice(
+                            || format!("path[{}][{}]", i, 1),
+                            config.advices[i],
+                            1,
+                            || Value::known(native.path[i].1),
+                        )
+                    })
+                    .collect::<Result<Vec<AssignedCell<Fp, Fp>>, plonk::Error>>();
+
+                let result = left?
+                    .into_iter()
+                    .zip(right?.into_iter())
+                    .collect::<Vec<(AssignedCell<Fp, Fp>, AssignedCell<Fp, Fp>)>>();
+
+                Ok(result.try_into().unwrap())
+            },
+        )?;
+
+        Ok(PathChip { path, config, _hasher: PhantomData })
+    }
+
+    pub fn calculate_root(
+        &self,
+        layouter: &mut impl Layouter<Fp>,
+        leaf: AssignedCell<Fp, Fp>,
+    ) -> Result<AssignedCell<Fp, Fp>, plonk::Error> {
+        // Check levels between leaf level and root
+        let mut previous_hash = leaf;
+
+        let iseq_chip = self.config.is_eq_chip();
+        let condselect_chip = self.config.conditional_select_chip();
+        let asserteq_chip = self.config.assert_eq_chip();
+
+        for (left_hash, right_hash) in self.path.iter() {
+            // Check if previous_hash matches the correct current hash
+            let previous_is_left =
+                iseq_chip.is_eq_with_output(layouter, previous_hash.clone(), left_hash.clone())?;
+
+            let left_or_right = condselect_chip.conditional_select(
+                layouter,
+                left_hash.clone(),
+                right_hash.clone(),
+                previous_is_left,
+            )?;
+
+            asserteq_chip.assert_equal(layouter, previous_hash, left_or_right)?;
+
+            // Update previous_hash
+            let hasher = PoseidonHash::<
+                _,
+                _,
+                poseidon::P128Pow5T3,
+                poseidon::ConstantLength<2>,
+                3,
+                2,
+            >::init(
+                self.config.poseidon_chip(),
+                layouter.namespace(|| "SmtPoseidonHash init"),
+            )?;
+
+            previous_hash = hasher.hash(
+                layouter.namespace(|| "SmtPoseidonHash hash"),
+                [left_hash.clone(), right_hash.clone()],
+            )?;
+        }
+
+        Ok(previous_hash)
+    }
+
+    pub fn check_membership(
+        &self,
+        layouter: &mut impl Layouter<Fp>,
+        root_hash: AssignedCell<Fp, Fp>,
+        leaf: AssignedCell<Fp, Fp>,
+    ) -> Result<AssignedCell<Fp, Fp>, plonk::Error> {
+        let computed_root = self.calculate_root(layouter, leaf)?;
+
+        self.config.is_eq_chip().is_eq_with_output(layouter, computed_root, root_hash)
+    }
+}
+
+#[cfg(test)]
+mod tests {
+    use super::*;
+
+    use darkfi_sdk::crypto::smt::{Poseidon, SparseMerkleTree};
+    use halo2_proofs::{arithmetic::Field, circuit::floor_planner, plonk::Circuit};
+
+    const HEIGHT: usize = 3;
+
+    struct TestCircuit {
+        root: Fp,
+        path: Path<Fp, Poseidon<Fp, 2>, HEIGHT>,
+        leaf: Fp,
+    }
+
+    impl Circuit<Fp> for TestCircuit {
+        type Config = PathConfig<HEIGHT>;
+        type FloorPlanner = floor_planner::V1;
+        type Params = ();
+
+        fn without_witnesses(&self) -> Self {
+            todo!()
+        }
+
+        fn configure(meta: &mut ConstraintSystem<Fp>) -> Self::Config {
+            let advices = [(); HEIGHT].map(|_| meta.advice_column());
+            let utility_advices = [(); NUM_OF_UTILITY_ADVICE_COLUMNS].map(|_| meta.advice_column());
+            let poseidon_advices = [(); 5].map(|_| meta.advice_column());
+
+            for advice in &advices {
+                meta.enable_equality(*advice);
+            }
+
+            for advice in &utility_advices {
+                meta.enable_equality(*advice);
+            }
+
+            for advice in &poseidon_advices {
+                meta.enable_equality(*advice);
+            }
+
+            let rc_a = [(); 3].map(|_| meta.fixed_column());
+            let rc_b = [(); 3].map(|_| meta.fixed_column());
+
+            let poseidon_config = PoseidonChip::configure::<poseidon::P128Pow5T3>(
+                meta,
+                poseidon_advices[1..5].try_into().unwrap(),
+                poseidon_advices[0],
+                rc_a,
+                rc_b,
+            );
+
+            PathChip::<Poseidon<Fp, 2>, HEIGHT>::configure(
+                meta,
+                advices,
+                utility_advices,
+                poseidon_config,
+            )
+        }
+
+        fn synthesize(
+            &self,
+            config: Self::Config,
+            mut layouter: impl Layouter<Fp>,
+        ) -> Result<(), plonk::Error> {
+            let (root_cell, leaf_cell, one) = layouter.assign_region(
+                || "test circuit",
+                |mut region| {
+                    let root_cell = region.assign_advice(
+                        || "root",
+                        config.advices[0],
+                        0,
+                        || Value::known(self.root),
+                    )?;
+
+                    let leaf_cell = region.assign_advice(
+                        || "leaf",
+                        config.advices[1],
+                        0,
+                        || Value::known(self.leaf),
+                    )?;
+
+                    let one = region.assign_advice(
+                        || "one",
+                        config.advices[2],
+                        0,
+                        || Value::known(Fp::ONE),
+                    )?;
+                    Ok((root_cell, leaf_cell, one))
+                },
+            )?;
+
+            let path_chip =
+                PathChip::from_native(config.clone(), &mut layouter, self.path.clone())?;
+
+            let res = path_chip.check_membership(&mut layouter, root_cell, leaf_cell)?;
+
+            let assert_eq_chip = config.assert_eq_chip();
+            assert_eq_chip.assert_equal(&mut layouter, res, one)?;
+
+            Ok(())
+        }
+    }
+
+    #[test]
+    fn test_smt_circuit() {
+        let hasher = Poseidon::<Fp, 2>::hasher();
+        let leaves: [Fp; HEIGHT] = [Fp::ZERO, Fp::ZERO, Fp::ZERO];
+        let empty_leaf = [0u8; 64];
+
+        let smt = SparseMerkleTree::<Fp, Poseidon<Fp, 2>, HEIGHT>::new_sequential(
+            &leaves,
+            &hasher.clone(),
+            &empty_leaf,
+        )
+        .unwrap();
+
+        let path = smt.generate_membership_proof(0);
+        let root = path.calculate_root(&leaves[0], &hasher.clone()).unwrap();
+
+        let _circuit = TestCircuit { root, path, leaf: leaves[0] };
+    }
+}
diff --git a/src/zk/vm.rs b/src/zk/vm.rs
index fff6cddd7..1cd33334b 100644
--- a/src/zk/vm.rs
+++ b/src/zk/vm.rs
@@ -191,7 +191,7 @@ impl VmConfig {
             return None
         };
 
-        Some(ConditionalSelectChip::construct(condselect_config.clone(), ()))
+        Some(ConditionalSelectChip::construct(condselect_config.clone()))
     }
 
     fn zerocond_chip(&self) -> Option<ZeroCondChip<pallas::Base>> {