diff --git a/cmd/genkeys/main.go b/cmd/genkeys/main.go
index 840bfbe9..a78bf293 100644
--- a/cmd/genkeys/main.go
+++ b/cmd/genkeys/main.go
@@ -1,12 +1,12 @@
 // genkeys generates mainnet validator keys from a BIP-39 mnemonic.
 //
-// Mnemonic source (priority order, handled inside the shared luxfi/kms
-// keys.LoadMnemonic loader so every Lux-derived tool resolves keys
-// the same way):
+// Mnemonic source (priority order, handled inside the shared
+// luxfi/kms mnemonic.Load loader so every Lux-derived tool resolves
+// keys the same way):
 //
-//	1. MNEMONIC env var                 — local dev + CI test seam
-//	2. KMS_ADDR + KMS_ENV +             — native ZAP from Liquid KMS
-//	   KMS_MNEMONIC_PATH
+//  1. MNEMONIC env var                 — local dev + CI test seam
+//  2. KMS_ADDR + KMS_ENV +             — native ZAP from Liquid KMS
+//     KMS_MNEMONIC_PATH
 package main
 
 import (
@@ -20,6 +20,7 @@ import (
 	"time"
 
 	"github.com/luxfi/keys"
+	"github.com/luxfi/kms/pkg/mnemonic"
 )
 
 type ValidatorBackup struct {
@@ -35,10 +36,15 @@ type ValidatorBackup struct {
 func main() {
 	ctx, cancel := context.WithTimeout(context.Background(), 30*time.Second)
 	defer cancel()
-	mnemonic, err := keys.LoadMnemonic(ctx,
+	// Bootstrap loader: identity is nil. genkeys derives the root validator
+	// set FROM this mnemonic, so no service identity exists yet to sign the
+	// KMS envelope (the mnemonic is the root every later identity derives
+	// from). With MNEMONIC set the KMS dial is never reached.
+	phrase, err := mnemonic.Load(ctx,
 		os.Getenv("KMS_ADDR"),
 		os.Getenv("KMS_ENV"),
-		envOr("KMS_MNEMONIC_PATH", "/mnemonic"))
+		envOr("KMS_MNEMONIC_PATH", "/mnemonic"),
+		nil)
 	if err != nil {
 		fmt.Printf("ERROR: load mnemonic: %v\n", err)
 		fmt.Println("Set MNEMONIC env var, or KMS_ADDR + KMS_ENV + KMS_MNEMONIC_PATH for native ZAP.")
@@ -58,7 +64,7 @@ func main() {
 	ks := keys.NewKeyStore(keysDir)
 
 	// Generate 5 validators
-	validators, err := keys.DeriveValidatorsFromMnemonic(mnemonic, 5)
+	validators, err := keys.DeriveValidatorsFromMnemonic(phrase, 5)
 	if err != nil {
 		fmt.Printf("ERROR: Failed to derive validators: %v\n", err)
 		os.Exit(1)
@@ -151,4 +157,3 @@ func envOr(name, def string) string {
 	}
 	return def
 }
-
diff --git a/cmd/testkeys/main.go b/cmd/testkeys/main.go
index 4b613701..3a6d3b4a 100644
--- a/cmd/testkeys/main.go
+++ b/cmd/testkeys/main.go
@@ -9,15 +9,20 @@ import (
 	"time"
 
 	"github.com/luxfi/keys"
+	"github.com/luxfi/kms/pkg/mnemonic"
 )
 
 func main() {
 	ctx, cancel := context.WithTimeout(context.Background(), 30*time.Second)
 	defer cancel()
-	mnemonic, err := keys.LoadMnemonic(ctx,
+	// Bootstrap loader: identity is nil (the mnemonic is the root; no service
+	// identity exists yet to sign the KMS envelope). With MNEMONIC set the KMS
+	// dial is never reached.
+	phrase, err := mnemonic.Load(ctx,
 		os.Getenv("KMS_ADDR"),
 		os.Getenv("KMS_ENV"),
-		envOr("KMS_MNEMONIC_PATH", "/mnemonic"))
+		envOr("KMS_MNEMONIC_PATH", "/mnemonic"),
+		nil)
 	if err != nil {
 		fmt.Printf("ERROR: load mnemonic: %v\n", err)
 		fmt.Println("Set MNEMONIC env var, or KMS_ADDR + KMS_ENV + KMS_MNEMONIC_PATH for native ZAP.")
@@ -51,7 +56,7 @@ func main() {
 
 	// Keys don't exist - derive from mnemonic and persist (first run only)
 	fmt.Println("=== Deriving 5 validators from mnemonic (first run) ===")
-	validators, err := keys.DeriveValidatorsFromMnemonic(mnemonic, 5)
+	validators, err := keys.DeriveValidatorsFromMnemonic(phrase, 5)
 	if err != nil {
 		fmt.Printf("Error deriving: %v\n", err)
 		os.Exit(1)
@@ -91,4 +96,3 @@ func envOr(name, def string) string {
 	}
 	return def
 }
-
diff --git a/go.mod b/go.mod
index 99d9aca1..8d83bdec 100644
--- a/go.mod
+++ b/go.mod
@@ -20,6 +20,7 @@ require (
 	github.com/luxfi/go-bip39 v1.1.2
 	github.com/luxfi/ids v1.2.15
 	github.com/luxfi/keys v1.2.0
+	github.com/luxfi/kms v1.12.0
 	github.com/luxfi/log v1.4.3
 	github.com/luxfi/math v1.4.1
 	github.com/luxfi/metric v1.5.8
@@ -90,7 +91,6 @@ require (
 	github.com/luxfi/crypto/ipa v1.2.4 // indirect
 	github.com/luxfi/filesystem v0.0.1 // indirect
 	github.com/luxfi/formatting v1.0.1 // indirect
-	github.com/luxfi/kms v1.11.7 // indirect
 	github.com/luxfi/mdns v0.1.1 // indirect
 	github.com/luxfi/net v0.0.5 // indirect
 	github.com/luxfi/pq v1.0.3 // indirect
diff --git a/go.sum b/go.sum
index 4b7e97ee..818d7ee1 100644
--- a/go.sum
+++ b/go.sum
@@ -300,6 +300,8 @@ github.com/luxfi/keys v1.2.0 h1:+AriQNM7FOylAEls1XvFdlSOXDfoyc6X3ZfJRWQ2I9g=
 github.com/luxfi/keys v1.2.0/go.mod h1:SjsAaxo6sGmSp9OaHXUiVCqsknO8iPspN6jMOoEAMb8=
 github.com/luxfi/kms v1.11.7 h1:E25z8SCNTGOVvzzg5tj6pwJQ2K3FrE/nuy0KAfF+0zs=
 github.com/luxfi/kms v1.11.7/go.mod h1:XhLUVqN4RBv6j4Bj3MNgTZmHCnm74jH7RqqK0b9xbzw=
+github.com/luxfi/kms v1.12.0 h1:Ij77JRqb1aFBPAJscc8iBRU06cbfB8hGnNXImh11BLI=
+github.com/luxfi/kms v1.12.0/go.mod h1:JcfnH5eNsUWf0U/8aHJoiX3e/IQvlNDZiOAVf330zss=
 github.com/luxfi/lattice/v7 v7.1.4 h1:hQR02M6cHTAV5+joOPi9gb9Gm+z/hKJnhJF4IlciIJs=
 github.com/luxfi/lattice/v7 v7.1.4/go.mod h1:DmIQFi3mJiehVsR235l1NKYEU0JhU649OX5p7gMEW2c=
 github.com/luxfi/log v1.4.3 h1:xkUKRWvQ4ZwvlUC2e0/RTtHYZOYSMvSQ9W9lbjwBmiI=