diff --git a/account/priv_key.go b/account/priv_key.go
index 1975749ba..63749612e 100644
--- a/account/priv_key.go
+++ b/account/priv_key.go
@@ -54,3 +54,10 @@ func (privKey PrivKeyEd25519) ToCurve25519() *[32]byte {
 func (privKey PrivKeyEd25519) String() string {
 	return Fmt("PrivKeyEd25519{*****}")
 }
+
+func GenPrivKeyEd25519() PrivKeyEd25519 {
+	privKeyBytes := new([64]byte)
+	copy(privKeyBytes[:32], CRandBytes(32))
+	ed25519.MakePublicKey(privKeyBytes)
+	return PrivKeyEd25519(privKeyBytes[:])
+}
diff --git a/account/pub_key.go b/account/pub_key.go
index 37d9af1e2..a3d671a24 100644
--- a/account/pub_key.go
+++ b/account/pub_key.go
@@ -1,7 +1,9 @@
 package account
 
 import (
+	"bytes"
 	"errors"
+
 	"github.com/tendermint/tendermint/Godeps/_workspace/src/github.com/tendermint/ed25519"
 	"github.com/tendermint/tendermint/Godeps/_workspace/src/github.com/tendermint/ed25519/extra25519"
 	"github.com/tendermint/tendermint/binary"
@@ -71,3 +73,11 @@ func (pubKey PubKeyEd25519) ValidateBasic() error {
 func (pubKey PubKeyEd25519) String() string {
 	return Fmt("PubKeyEd25519{%X}", []byte(pubKey))
 }
+
+func (pubKey PubKeyEd25519) Equals(other PubKey) bool {
+	if _, ok := other.(PubKeyEd25519); ok {
+		return bytes.Equal(pubKey, other.(PubKeyEd25519))
+	} else {
+		return false
+	}
+}
diff --git a/node/node.go b/node/node.go
index 858b7d0c8..88bc42207 100644
--- a/node/node.go
+++ b/node/node.go
@@ -12,6 +12,7 @@ import (
 	"time"
 
 	"github.com/tendermint/tendermint/Godeps/_workspace/src/code.google.com/p/go-uuid/uuid"
+	acm "github.com/tendermint/tendermint/account"
 	"github.com/tendermint/tendermint/binary"
 	bc "github.com/tendermint/tendermint/blockchain"
 	. "github.com/tendermint/tendermint/common"
@@ -46,6 +47,7 @@ type Node struct {
 	consensusReactor *consensus.ConsensusReactor
 	privValidator    *sm.PrivValidator
 	genDoc           *sm.GenesisDoc
+	privKey          acm.PrivKeyEd25519
 }
 
 func NewNode() *Node {
@@ -92,6 +94,10 @@ func NewNode() *Node {
 		log.Info("Generated PrivValidator", "file", privValidatorFile)
 	}
 
+	// Generate node PrivKey
+	privKey := acm.GenPrivKeyEd25519()
+
+	// Make event switch
 	eventSwitch := new(events.EventSwitch)
 	eventSwitch.Start()
 
@@ -113,6 +119,7 @@ func NewNode() *Node {
 		consensusReactor.SetPrivValidator(privValidator)
 	}
 
+	// Make Switch
 	sw := p2p.NewSwitch()
 	sw.AddReactor("PEX", pexReactor)
 	sw.AddReactor("MEMPOOL", mempoolReactor)
@@ -135,6 +142,7 @@ func NewNode() *Node {
 		consensusReactor: consensusReactor,
 		privValidator:    privValidator,
 		genDoc:           genDoc,
+		privKey:          privKey,
 	}
 }
 
@@ -142,7 +150,8 @@ func NewNode() *Node {
 func (n *Node) Start() {
 	log.Info("Starting Node", "chainID", config.GetString("chain_id"))
 	n.book.Start()
-	n.sw.SetNodeInfo(makeNodeInfo(n.sw))
+	n.sw.SetNodeInfo(makeNodeInfo(n.sw, n.privKey))
+	n.sw.SetNodePrivKey(n.privKey)
 	n.sw.Start()
 }
 
@@ -237,10 +246,12 @@ func (n *Node) EventSwitch() *events.EventSwitch {
 	return n.evsw
 }
 
-func makeNodeInfo(sw *p2p.Switch) *types.NodeInfo {
+func makeNodeInfo(sw *p2p.Switch, privKey acm.PrivKeyEd25519) *types.NodeInfo {
+
 	nodeInfo := &types.NodeInfo{
-		ChainID: config.GetString("chain_id"),
+		PubKey:  privKey.PubKey().(acm.PubKeyEd25519),
 		Moniker: config.GetString("moniker"),
+		ChainID: config.GetString("chain_id"),
 		Version: config.GetString("version"),
 		UUID:    uuid.New(),
 	}
diff --git a/p2p/secret_connection.go b/p2p/secret_connection.go
index fb35e94b0..40ea899e5 100644
--- a/p2p/secret_connection.go
+++ b/p2p/secret_connection.go
@@ -9,11 +9,10 @@ import (
 	"crypto/sha256"
 	"encoding/binary"
 	"errors"
-	"net"
-	"time"
-	//"fmt"
 	"io"
+	"net"
 	"sync"
+	"time"
 
 	"golang.org/x/crypto/nacl/box"
 	"golang.org/x/crypto/nacl/secretbox"
diff --git a/p2p/switch.go b/p2p/switch.go
index 21a4d8a1f..08ff4b685 100644
--- a/p2p/switch.go
+++ b/p2p/switch.go
@@ -8,6 +8,7 @@ import (
 	"sync/atomic"
 	"time"
 
+	acm "github.com/tendermint/tendermint/account"
 	. "github.com/tendermint/tendermint/common"
 	"github.com/tendermint/tendermint/types"
 )
@@ -48,7 +49,8 @@ type Switch struct {
 	peers        *PeerSet
 	dialing      *CMap
 	running      uint32
-	nodeInfo     *types.NodeInfo // our node info
+	nodeInfo     *types.NodeInfo    // our node info
+	nodePrivKey  acm.PrivKeyEd25519 // our node privkey
 }
 
 var (
@@ -70,6 +72,7 @@ func NewSwitch() *Switch {
 		dialing:      NewCMap(),
 		running:      0,
 		nodeInfo:     nil,
+		nodePrivKey:  nil,
 	}
 	return sw
 }
@@ -126,6 +129,15 @@ func (sw *Switch) NodeInfo() *types.NodeInfo {
 	return sw.nodeInfo
 }
 
+// Not goroutine safe.
+// NOTE: Overwrites sw.nodeInfo.PubKey
+func (sw *Switch) SetNodePrivKey(nodePrivKey acm.PrivKeyEd25519) {
+	sw.nodePrivKey = nodePrivKey
+	if sw.nodeInfo != nil {
+		sw.nodeInfo.PubKey = nodePrivKey.PubKey().(acm.PubKeyEd25519)
+	}
+}
+
 func (sw *Switch) Start() {
 	if atomic.CompareAndSwapUint32(&sw.running, 0, 1) {
 		// Start reactors
@@ -165,40 +177,51 @@ func (sw *Switch) Stop() {
 // NOTE: This performs a blocking handshake before the peer is added.
 // CONTRACT: Iff error is returned, peer is nil, and conn is immediately closed.
 func (sw *Switch) AddPeerWithConnection(conn net.Conn, outbound bool) (*Peer, error) {
-	// First, perform handshake
-	peerNodeInfo, err := peerHandshake(conn, sw.nodeInfo)
+	// First, encrypt the connection.
+	sconn, err := MakeSecretConnection(conn, sw.nodePrivKey)
 	if err != nil {
-		conn.Close()
 		return nil, err
 	}
-	// check version, chain id
+	// Then, perform node handshake
+	peerNodeInfo, err := peerHandshake(sconn, sw.nodeInfo)
+	if err != nil {
+		sconn.Close()
+		return nil, err
+	}
+	// Check that the professed PubKey matches the sconn's.
+	if !peerNodeInfo.PubKey.Equals(sconn.RemotePubKey()) {
+		sconn.Close()
+		return nil, fmt.Errorf("Ignoring connection with unmatching pubkey: %v vs %v",
+			peerNodeInfo.PubKey, sconn.RemotePubKey())
+	}
+	// Check version, chain id
 	if err := sw.nodeInfo.CompatibleWith(peerNodeInfo); err != nil {
-		conn.Close()
+		sconn.Close()
 		return nil, err
 	}
-	// avoid self
+	// Avoid self
 	if peerNodeInfo.UUID == sw.nodeInfo.UUID {
-		conn.Close()
+		sconn.Close()
 		return nil, fmt.Errorf("Ignoring connection from self")
 	}
 
-	// the peerNodeInfo is not verified,
-	// so we overwrite the IP with that from the conn
+	// The peerNodeInfo is not verified, so overwrite.
+	// Overwrite the IP with that from the conn
 	// and if we dialed out, the port too
-	// everything else we just have to trust
-	ip, port, _ := net.SplitHostPort(conn.RemoteAddr().String())
+	// Everything else we just have to trust
+	ip, port, _ := net.SplitHostPort(sconn.RemoteAddr().String())
 	peerNodeInfo.Host = ip
 	if outbound {
 		porti, _ := strconv.Atoi(port)
 		peerNodeInfo.P2PPort = uint16(porti)
 	}
-	peer := newPeer(conn, peerNodeInfo, outbound, sw.reactorsByCh, sw.chDescs, sw.StopPeerForError)
+	peer := newPeer(sconn, peerNodeInfo, outbound, sw.reactorsByCh, sw.chDescs, sw.StopPeerForError)
 
 	// Add the peer to .peers
 	// ignore if duplicate or if we already have too many for that IP range
 	if err := sw.peers.Add(peer); err != nil {
 		log.Info("Ignoring peer", "error", err, "peer", peer)
-		peer.stop() // will also close conn
+		peer.stop() // will also close sconn
 		return nil, err
 	}
 
diff --git a/p2p/switch_test.go b/p2p/switch_test.go
index 41bf489ab..ca05c4e9d 100644
--- a/p2p/switch_test.go
+++ b/p2p/switch_test.go
@@ -6,6 +6,7 @@ import (
 	"testing"
 	"time"
 
+	acm "github.com/tendermint/tendermint/account"
 	"github.com/tendermint/tendermint/binary"
 	. "github.com/tendermint/tendermint/common"
 	"github.com/tendermint/tendermint/types"
@@ -74,21 +75,28 @@ func (tr *TestReactor) Receive(chId byte, peer *Peer, msgBytes []byte) {
 // convenience method for creating two switches connected to each other.
 func makeSwitchPair(t testing.TB, initSwitch func(*Switch) *Switch) (*Switch, *Switch) {
 
+	s1PrivKey := acm.GenPrivKeyEd25519()
+	s2PrivKey := acm.GenPrivKeyEd25519()
+
 	// Create two switches that will be interconnected.
 	s1 := initSwitch(NewSwitch())
 	s1.SetNodeInfo(&types.NodeInfo{
+		PubKey:  s1PrivKey.PubKey().(acm.PubKeyEd25519),
 		Moniker: "switch1",
 		ChainID: "testing",
 		Version: "123.123.123",
 		UUID:    uuid.New(),
 	})
+	s1.SetNodePrivKey(s1PrivKey)
 	s2 := initSwitch(NewSwitch())
 	s2.SetNodeInfo(&types.NodeInfo{
+		PubKey:  s2PrivKey.PubKey().(acm.PubKeyEd25519),
 		Moniker: "switch2",
 		ChainID: "testing",
 		Version: "123.123.123",
 		UUID:    uuid.New(),
 	})
+	s2.SetNodePrivKey(s2PrivKey)
 
 	// Start switches
 	s1.Start()
diff --git a/types/node.go b/types/node.go
index c700ed2fa..6b7226243 100644
--- a/types/node.go
+++ b/types/node.go
@@ -2,19 +2,20 @@ package types
 
 import (
 	"fmt"
+	acm "github.com/tendermint/tendermint/account"
 	"strings"
 )
 
 type NodeInfo struct {
-	Moniker  string `json:"moniker"`
-	ChainID  string `json:"chain_id"`
-	Version  string `json:"version"`
-	Revision string `json:"revision"`
-
-	UUID    string `json:"uuid"`
-	Host    string `json:"host"`
-	P2PPort uint16 `json:"p2p_port"`
-	RPCPort uint16 `json:"rpc_port"`
+	PubKey   acm.PubKeyEd25519 `json:"pub_key"`
+	Moniker  string            `json:"moniker"`
+	ChainID  string            `json:"chain_id"`
+	Version  string            `json:"version"`
+	Revision string            `json:"revision"`
+	UUID     string            `json:"uuid"`
+	Host     string            `json:"host"`
+	P2PPort  uint16            `json:"p2p_port"`
+	RPCPort  uint16            `json:"rpc_port"`
 }
 
 func (ni *NodeInfo) CompatibleWith(no *NodeInfo) error {