diff --git a/.changelog/1923.feature.md b/.changelog/1923.feature.md
new file mode 100644
index 0000000000..b54beb14a8
--- /dev/null
+++ b/.changelog/1923.feature.md
@@ -0,0 +1 @@
+Allow to use eth private key that starts with 0x
diff --git a/playwright/tests/paraTimes.spec.ts b/playwright/tests/paraTimes.spec.ts
index aef21603d3..2dd7457f5e 100644
--- a/playwright/tests/paraTimes.spec.ts
+++ b/playwright/tests/paraTimes.spec.ts
@@ -1,5 +1,5 @@
 import { test, expect } from '@playwright/test'
-import { privateKey, privateKeyAddress } from '../../src/utils/__fixtures__/test-inputs'
+import { privateKey, privateKeyAddress, ethAccount } from '../../src/utils/__fixtures__/test-inputs'
 import { fillPrivateKeyWithoutPassword } from '../utils/fillPrivateKey'
 import { warnSlowApi } from '../utils/warnSlowApi'
 import { mockApi } from '../utils/mockApi'
@@ -33,4 +33,40 @@ test.describe('ParaTimes', () => {
     await page.getByRole('button', { name: /Next/i }).click()
     await expect(page.getByPlaceholder('0x...')).toHaveValue('')
   })
+
+  test('should validate eth private key', async ({ page }) => {
+    const validKey = ethAccount.privateKey
+    const validKeyWithPrefix = `0x${validKey}`
+    const invalidKey = validKey.replace('c', 'g')
+    const invalidKeyWithPrefix = `0x${invalidKey}`
+
+    async function testPrivateKeyValidation(key, expected) {
+      await page.getByPlaceholder('Enter Ethereum-compatible private key').fill(key)
+      await page.getByRole('button', { name: 'Next' }).click()
+      await expect(page.getByText(expected)).toBeVisible()
+    }
+
+    await page.goto('/open-wallet/private-key')
+    await fillPrivateKeyWithoutPassword(page, {
+      privateKey: privateKey,
+      privateKeyAddress: privateKeyAddress,
+      persistenceCheckboxChecked: false,
+      persistenceCheckboxDisabled: false,
+    })
+    await page.getByTestId('nav-paratime').click()
+    await page.getByRole('button', { name: /Withdraw/i }).click()
+    await page.getByRole('button', { name: 'Select a ParaTime' }).click()
+    await expect(page.getByRole('listbox')).toBeVisible()
+    await page.getByRole('listbox').locator('button', { hasText: 'Sapphire' }).click()
+    await page.getByRole('button', { name: 'Next' }).click()
+    await page.getByPlaceholder(privateKeyAddress).fill(privateKeyAddress)
+    // valid eth private keys
+    await testPrivateKeyValidation(validKey, /enter the amount/)
+    await page.getByRole('button', { name: 'Back' }).click()
+    await testPrivateKeyValidation(validKeyWithPrefix, /enter the amount/)
+    await page.getByRole('button', { name: 'Back' }).click()
+    // invalid eth private keys
+    await testPrivateKeyValidation(invalidKey, /private key is invalid/)
+    await testPrivateKeyValidation(invalidKeyWithPrefix, /private key is invalid/)
+  })
 })
diff --git a/src/app/lib/eth-helpers.ts b/src/app/lib/eth-helpers.ts
index adb2d9cbf8..ef80464ba9 100644
--- a/src/app/lib/eth-helpers.ts
+++ b/src/app/lib/eth-helpers.ts
@@ -1,7 +1,7 @@
 import * as oasis from '@oasisprotocol/client'
 import * as oasisRT from '@oasisprotocol/client-rt'
 import { bytesToHex, isValidPrivate, privateToAddress, toChecksumAddress } from '@ethereumjs/util'
-export { isValidAddress as isValidEthAddress } from '@ethereumjs/util'
+export { isValidAddress as isValidEthAddress, stripHexPrefix } from '@ethereumjs/util'
 
 export const hexToBuffer = (value: string): Buffer => Buffer.from(value, 'hex')
 export const isValidEthPrivateKey = (ethPrivateKey: string): boolean => {
diff --git a/src/app/pages/ParaTimesPage/TransactionRecipient/__tests__/index.test.tsx b/src/app/pages/ParaTimesPage/TransactionRecipient/__tests__/index.test.tsx
index dfbec81393..797d8a60bc 100644
--- a/src/app/pages/ParaTimesPage/TransactionRecipient/__tests__/index.test.tsx
+++ b/src/app/pages/ParaTimesPage/TransactionRecipient/__tests__/index.test.tsx
@@ -1,7 +1,7 @@
 import * as React from 'react'
 import { render, screen } from '@testing-library/react'
 import userEvent from '@testing-library/user-event'
-import { TransactionTypes } from 'app/state/paratimes/types'
+import { TransactionForm, TransactionTypes } from 'app/state/paratimes/types'
 import { useParaTimes, ParaTimesHook } from '../../useParaTimes'
 import { useParaTimesNavigation, ParaTimesNavigationHook } from '../../useParaTimesNavigation'
 import { TransactionRecipient } from '..'
@@ -25,7 +25,7 @@ describe('<TransactionRecipient />', () => {
     ticker: 'ROSE',
     transactionForm: {
       recipient: '',
-      ethPrivateKey: '',
+      ethPrivateKeyRaw: '',
     },
     usesOasisAddress: true,
   } as ParaTimesHook
@@ -123,7 +123,7 @@ describe('<TransactionRecipient />', () => {
       ...mockUseParaTimesEVMcResult,
       transactionForm: {
         ...mockUseParaTimesEVMcResult.transactionForm,
-        ethPrivateKey: '123',
+        ethPrivateKeyRaw: '123',
       },
     })
     jest.mocked(useParaTimesNavigation).mockReturnValue({
@@ -144,7 +144,7 @@ describe('<TransactionRecipient />', () => {
       ...mockUseParaTimesEVMcResult,
       transactionForm: {
         ...mockUseParaTimesEVMcResult.transactionForm,
-        ethPrivateKey: '----------------------------------------------------------------',
+        ethPrivateKeyRaw: '----------------------------------------------------------------',
       },
     })
     jest.mocked(useParaTimesNavigation).mockReturnValue({
@@ -160,13 +160,18 @@ describe('<TransactionRecipient />', () => {
   })
 
   it('should navigate to amount selection step when address is valid', async () => {
+    const ethPrivateKey = mockUseParaTimesEVMcResult.evmAccounts[0].ethPrivateKey
+    const ethPrivateKeyWith0xPrefix = `0x${ethPrivateKey}`
+    const setTransactionForm = jest.fn()
     const navigateToAmount = jest.fn()
     jest.mocked(useParaTimes).mockReturnValue({
       ...mockUseParaTimesResult,
+      setTransactionForm,
       transactionForm: {
         recipient: 'oasis1qq3xrq0urs8qcffhvmhfhz4p0mu7ewc8rscnlwxe',
-      },
-    } as ParaTimesHook)
+        ethPrivateKeyRaw: ethPrivateKeyWith0xPrefix,
+      } as TransactionForm,
+    })
     jest.mocked(useParaTimesNavigation).mockReturnValue({
       ...mockUseParaTimesNavigationResult,
       navigateToAmount,
@@ -175,6 +180,11 @@ describe('<TransactionRecipient />', () => {
 
     await userEvent.click(screen.getByRole('button', { name: 'Next' }))
 
+    expect(setTransactionForm).toHaveBeenCalledWith({
+      ethPrivateKey: ethPrivateKey,
+      ethPrivateKeyRaw: ethPrivateKeyWith0xPrefix,
+      recipient: 'oasis1qq3xrq0urs8qcffhvmhfhz4p0mu7ewc8rscnlwxe',
+    })
     expect(navigateToAmount).toHaveBeenCalled()
   })
 
diff --git a/src/app/pages/ParaTimesPage/TransactionRecipient/index.tsx b/src/app/pages/ParaTimesPage/TransactionRecipient/index.tsx
index b17ccac7b1..f304d66e60 100644
--- a/src/app/pages/ParaTimesPage/TransactionRecipient/index.tsx
+++ b/src/app/pages/ParaTimesPage/TransactionRecipient/index.tsx
@@ -13,6 +13,7 @@ import { useParaTimes } from '../useParaTimes'
 import { useParaTimesNavigation } from '../useParaTimesNavigation'
 import { PasswordField } from 'app/components/PasswordField'
 import { preventSavingInputsToUserData } from 'app/lib/preventSavingInputsToUserData'
+import { stripHexPrefix } from '../../../lib/eth-helpers'
 
 export const TransactionRecipient = () => {
   const { t } = useTranslation()
@@ -65,13 +66,19 @@ export const TransactionRecipient = () => {
         onChange={nextValue =>
           setTransactionForm({
             ...nextValue,
-            ethPrivateKey:
-              typeof nextValue.ethPrivateKey === 'object'
-                ? (nextValue.ethPrivateKey as any).value // from suggestions
-                : nextValue.ethPrivateKey,
+            ethPrivateKeyRaw:
+              typeof nextValue.ethPrivateKeyRaw === 'object'
+                ? (nextValue.ethPrivateKeyRaw as any).value // from suggestions
+                : nextValue.ethPrivateKeyRaw,
           })
         }
-        onSubmit={navigateToAmount}
+        onSubmit={formData => {
+          setTransactionForm({
+            ...formData.value,
+            ethPrivateKey: stripHexPrefix(formData.value.ethPrivateKeyRaw),
+          })
+          navigateToAmount()
+        }}
         value={transactionForm}
         style={{ width: isMobile ? '100%' : '465px' }}
         {...preventSavingInputsToUserData}
@@ -79,15 +86,15 @@ export const TransactionRecipient = () => {
         <Box margin={{ bottom: 'medium' }}>
           {isEvmcParaTime && !isDepositing && (
             <PasswordField
-              inputElementId="ethPrivateKey"
-              name="ethPrivateKey"
-              validate={ethPrivateKey =>
-                !isValidEthPrivateKeyLength(ethPrivateKey)
+              inputElementId="ethPrivateKeyRaw"
+              name="ethPrivateKeyRaw"
+              validate={ethPrivateKeyRaw =>
+                !isValidEthPrivateKeyLength(stripHexPrefix(ethPrivateKeyRaw))
                   ? t(
                       'paraTimes.validation.invalidEthPrivateKeyLength',
                       'Private key should be 64 characters long',
                     )
-                  : !isValidEthPrivateKey(ethPrivateKey)
+                  : !isValidEthPrivateKey(stripHexPrefix(ethPrivateKeyRaw))
                   ? t(
                       'paraTimes.validation.invalidEthPrivateKey',
                       'Ethereum-compatible private key is invalid',
@@ -98,7 +105,7 @@ export const TransactionRecipient = () => {
                 'paraTimes.recipient.ethPrivateKeyPlaceholder',
                 'Enter Ethereum-compatible private key',
               )}
-              value={transactionForm.ethPrivateKey}
+              value={transactionForm.ethPrivateKeyRaw}
               showTip={t('openWallet.privateKey.showPrivateKey', 'Show private key')}
               hideTip={t('openWallet.privateKey.hidePrivateKey', 'Hide private key')}
               suggestions={evmAccounts.map(acc => ({ label: acc.ethAddress, value: acc.ethPrivateKey }))}
diff --git a/src/app/state/paratimes/index.ts b/src/app/state/paratimes/index.ts
index 47f378b10a..016fd41bb8 100644
--- a/src/app/state/paratimes/index.ts
+++ b/src/app/state/paratimes/index.ts
@@ -14,6 +14,7 @@ export const initialState: ParaTimesState = {
     confirmTransferToForeignAccount: false,
     defaultFeeAmount: '',
     ethPrivateKey: '',
+    ethPrivateKeyRaw: '',
     feeAmount: '',
     feeGas: '',
     paraTime: undefined,
diff --git a/src/app/state/paratimes/types.ts b/src/app/state/paratimes/types.ts
index de03b8e4f0..45dddfd5f5 100644
--- a/src/app/state/paratimes/types.ts
+++ b/src/app/state/paratimes/types.ts
@@ -23,7 +23,10 @@ export interface TransactionForm {
   confirmTransferToValidator: boolean
   confirmTransferToForeignAccount: boolean
   defaultFeeAmount: string
+  // compatible with oasisRT.signatureSecp256k1
   ethPrivateKey: string
+  // provided by user and used in form inputs allowing back and forth form navigation
+  ethPrivateKeyRaw: string
   feeAmount: string
   feeGas: string
   paraTime?: ParaTime
diff --git a/src/utils/__fixtures__/test-inputs.ts b/src/utils/__fixtures__/test-inputs.ts
index 7e6a49f192..1eca4d07f0 100644
--- a/src/utils/__fixtures__/test-inputs.ts
+++ b/src/utils/__fixtures__/test-inputs.ts
@@ -80,6 +80,7 @@ export const privateKeyUnlockedState = {
       confirmTransferToForeignAccount: false,
       defaultFeeAmount: '',
       ethPrivateKey: '',
+      ethPrivateKeyRaw: '',
       feeAmount: '',
       feeGas: '',
       paraTime: undefined,
@@ -213,6 +214,11 @@ export const walletExtensionV0PersistedState = {
   },
 } satisfies WalletExtensionV0State
 
+export const ethAccount = {
+  address: '0xbA1b346233E5bB5b44f5B4aC6bF224069f427b18',
+  privateKey: '6593a788d944bb3e25357df140fac5b0e6273f1500a3b37d6513bf9e9807afe2',
+}
+
 export const walletExtensionV0UnlockedState = {
   account: {
     address: 'oasis1qq30ejf9puuc6qnrazmy9dmn7f3gessveum5wnr6',
@@ -235,9 +241,9 @@ export const walletExtensionV0UnlockedState = {
     },
   },
   evmAccounts: {
-    '0xbA1b346233E5bB5b44f5B4aC6bF224069f427b18': {
-      ethAddress: '0xbA1b346233E5bB5b44f5B4aC6bF224069f427b18',
-      ethPrivateKey: '6593a788d944bb3e25357df140fac5b0e6273f1500a3b37d6513bf9e9807afe2',
+    [ethAccount.address]: {
+      ethAddress: ethAccount.address,
+      ethPrivateKey: ethAccount.privateKey,
     },
   },
   createWallet: { checkbox: false, mnemonic: [] },
@@ -268,6 +274,7 @@ export const walletExtensionV0UnlockedState = {
       confirmTransferToForeignAccount: false,
       defaultFeeAmount: '',
       ethPrivateKey: '',
+      ethPrivateKeyRaw: '',
       feeAmount: '',
       feeGas: '',
       paraTime: undefined,