diff --git a/src/extension/background-script/actions/nostr/decryptOrPrompt.ts b/src/extension/background-script/actions/nostr/decryptOrPrompt.ts
new file mode 100644
index 0000000000..183e9d8f5d
--- /dev/null
+++ b/src/extension/background-script/actions/nostr/decryptOrPrompt.ts
@@ -0,0 +1,35 @@
+import state from "~/extension/background-script/state";
+import { MessageDecryptGet } from "~/types";
+
+const decryptOrPrompt = async (message: MessageDecryptGet) => {
+  if (!("host" in message.origin)) {
+    console.error("error", message.origin);
+    return;
+  }
+
+  const result = await prompt(message);
+
+  return result;
+};
+
+const prompt = async (message: MessageDecryptGet) => {
+  try {
+    // TODO: Add prompt & permissions
+
+    const response = {
+      data: state
+        .getState()
+        .getNostr()
+        .decrypt(message.args.peer, message.args.ciphertext),
+    };
+
+    return response;
+  } catch (e) {
+    console.error("decrypt failed", e);
+    if (e instanceof Error) {
+      return { error: e.message };
+    }
+  }
+};
+
+export default decryptOrPrompt;
diff --git a/src/extension/background-script/actions/nostr/encryptOrPrompt.ts b/src/extension/background-script/actions/nostr/encryptOrPrompt.ts
new file mode 100644
index 0000000000..4132fa9a5f
--- /dev/null
+++ b/src/extension/background-script/actions/nostr/encryptOrPrompt.ts
@@ -0,0 +1,35 @@
+import state from "~/extension/background-script/state";
+import { MessageEncryptGet } from "~/types";
+
+const encryptOrPrompt = async (message: MessageEncryptGet) => {
+  if (!("host" in message.origin)) {
+    console.error("error", message.origin);
+    return;
+  }
+
+  const result = await prompt(message);
+
+  return result;
+};
+
+const prompt = async (message: MessageEncryptGet) => {
+  try {
+    // TODO: Add prompt & permissions
+
+    const response = {
+      data: state
+        .getState()
+        .getNostr()
+        .encrypt(message.args.peer, message.args.plaintext),
+    };
+
+    return response;
+  } catch (e) {
+    console.error("encrypt failed", e);
+    if (e instanceof Error) {
+      return { error: e.message };
+    }
+  }
+};
+
+export default encryptOrPrompt;
diff --git a/src/extension/background-script/actions/nostr/index.ts b/src/extension/background-script/actions/nostr/index.ts
index 2c842649a5..65f4069733 100644
--- a/src/extension/background-script/actions/nostr/index.ts
+++ b/src/extension/background-script/actions/nostr/index.ts
@@ -1,3 +1,5 @@
+import decryptOrPrompt from "./decryptOrPrompt";
+import encryptOrPrompt from "./encryptOrPrompt";
 import generatePrivateKey from "./generatePrivateKey";
 import getPrivateKey from "./getPrivateKey";
 import getPublicKeyOrPrompt from "./getPublicKeyOrPrompt";
@@ -12,4 +14,6 @@ export {
   getPublicKeyOrPrompt,
   getRelays,
   signEventOrPrompt,
+  encryptOrPrompt,
+  decryptOrPrompt,
 };
diff --git a/src/extension/background-script/nostr/__test__/nostr.test.ts b/src/extension/background-script/nostr/__test__/nostr.test.ts
new file mode 100644
index 0000000000..61d918c9b6
--- /dev/null
+++ b/src/extension/background-script/nostr/__test__/nostr.test.ts
@@ -0,0 +1,29 @@
+import Nostr from "~/extension/background-script/nostr";
+
+const alice = {
+  privateKey:
+    "9ab5b12ade1d9c27207ff0264e9fb155c77c9361c9b6a27c865fce1b2c0ddf0e",
+  publicKey: "0bf50e2fdc927853c12b64c06f6a703cfad8086e79b18b1eb864f3fab7fc6f74",
+};
+
+const bob = {
+  privateKey:
+    "b7eab8ab34aac491217a31059ec017e51c63d09c828e39ee3a40a016bc9d0cbf",
+  publicKey: "519f5ae2cd7d4b970c4edadb2efc947c9b803838de918d1c5bfd4b9c1a143b72",
+};
+
+describe("nostr", () => {
+  test("encrypt & decrypt", async () => {
+    const nostr = new Nostr();
+    nostr.getPrivateKey = jest.fn().mockReturnValue(alice.privateKey);
+
+    const message = "Secret message that is sent from Alice to Bob";
+    const encrypted = nostr.encrypt(bob.publicKey, message);
+
+    nostr.getPrivateKey = jest.fn().mockReturnValue(bob.privateKey);
+
+    const decrypted = nostr.decrypt(alice.publicKey, encrypted);
+
+    expect(decrypted).toMatch(message);
+  });
+});
diff --git a/src/extension/background-script/nostr/index.ts b/src/extension/background-script/nostr/index.ts
index 271da512c3..a94e37098f 100644
--- a/src/extension/background-script/nostr/index.ts
+++ b/src/extension/background-script/nostr/index.ts
@@ -1,4 +1,10 @@
 import * as secp256k1 from "@noble/secp256k1";
+import { Buffer } from "buffer";
+import { AES } from "crypto-js";
+import * as CryptoJS from "crypto-js";
+import Base64 from "crypto-js/enc-base64";
+import Hex from "crypto-js/enc-hex";
+import Utf8 from "crypto-js/enc-utf8";
 import { decryptData, encryptData } from "~/common/lib/crypto";
 import { Event } from "~/extension/ln/nostr/types";
 
@@ -36,6 +42,35 @@ class Nostr {
     event.sig = signature;
     return event;
   }
+
+  encrypt(pubkey: string, text: string) {
+    const key = secp256k1.getSharedSecret(this.getPrivateKey(), "02" + pubkey);
+    const normalizedKey = Buffer.from(key.slice(1, 33));
+    const hexNormalizedKey = secp256k1.utils.bytesToHex(normalizedKey);
+    const hexKey = Hex.parse(hexNormalizedKey);
+
+    const encrypted = AES.encrypt(text, hexKey, {
+      iv: CryptoJS.lib.WordArray.random(16),
+    });
+
+    return `${encrypted.toString()}?iv=${encrypted.iv.toString(
+      CryptoJS.enc.Base64
+    )}`;
+  }
+
+  decrypt(pubkey: string, ciphertext: string) {
+    const [cip, iv] = ciphertext.split("?iv=");
+    const key = secp256k1.getSharedSecret(this.getPrivateKey(), "02" + pubkey);
+    const normalizedKey = Buffer.from(key.slice(1, 33));
+    const hexNormalizedKey = secp256k1.utils.bytesToHex(normalizedKey);
+    const hexKey = Hex.parse(hexNormalizedKey);
+
+    const decrypted = AES.decrypt(cip, hexKey, {
+      iv: Base64.parse(iv),
+    });
+
+    return Utf8.stringify(decrypted);
+  }
 }
 
 export default Nostr;
diff --git a/src/extension/background-script/router.ts b/src/extension/background-script/router.ts
index 284c4c4837..a2e8355e14 100644
--- a/src/extension/background-script/router.ts
+++ b/src/extension/background-script/router.ts
@@ -75,6 +75,8 @@ const routes = {
       getPublicKeyOrPrompt: nostr.getPublicKeyOrPrompt,
       signEventOrPrompt: nostr.signEventOrPrompt,
       getRelays: nostr.getRelays,
+      encryptOrPrompt: nostr.encryptOrPrompt,
+      decryptOrPrompt: nostr.decryptOrPrompt,
     },
   },
 };
diff --git a/src/extension/content-script/onendnostr.js b/src/extension/content-script/onendnostr.js
index 32a416476e..3d13d83130 100644
--- a/src/extension/content-script/onendnostr.js
+++ b/src/extension/content-script/onendnostr.js
@@ -9,6 +9,8 @@ const nostrCalls = [
   "nostr/getPublicKeyOrPrompt",
   "nostr/signEventOrPrompt",
   "nostr/getRelays",
+  "nostr/encryptOrPrompt",
+  "nostr/decryptOrPrompt",
 ];
 let callActive = false;
 
diff --git a/src/extension/ln/nostr/index.ts b/src/extension/ln/nostr/index.ts
index 1a33e69a4d..f198fd75ba 100644
--- a/src/extension/ln/nostr/index.ts
+++ b/src/extension/ln/nostr/index.ts
@@ -68,10 +68,10 @@ class Nip04 {
   }
 
   async encrypt(peer: string, plaintext: string): Promise<string> {
-    throw new Error("Nip04 is not yet implemented.");
+    return this.provider.execute("encryptOrPrompt", { peer, plaintext });
   }
 
   async decrypt(peer: string, ciphertext: string): Promise<string> {
-    throw new Error("Nip04 is not yet implemented.");
+    return this.provider.execute("decryptOrPrompt", { peer, ciphertext });
   }
 }
diff --git a/src/types.ts b/src/types.ts
index 92b0d56f43..e7d1b98329 100644
--- a/src/types.ts
+++ b/src/types.ts
@@ -366,6 +366,22 @@ export interface MessageSignEvent extends MessageDefault {
   action: "signEvent";
 }
 
+export interface MessageEncryptGet extends MessageDefault {
+  args: {
+    peer: string;
+    plaintext: string;
+  };
+  action: "encrypt";
+}
+
+export interface MessageDecryptGet extends MessageDefault {
+  args: {
+    peer: string;
+    ciphertext: string;
+  };
+  action: "decrypt";
+}
+
 export interface LNURLChannelServiceResponse {
   uri: string; // Remote node address of form node_key@ip_address:port_number
   callback: string; // a second-level URL which would initiate an OpenChannel message from target LN node