diff --git a/noir-projects/aztec-nr/aztec/src/oracle/capsules.nr b/noir-projects/aztec-nr/aztec/src/oracle/capsules.nr
index 93b3b07d67b5..c54db467c9af 100644
--- a/noir-projects/aztec-nr/aztec/src/oracle/capsules.nr
+++ b/noir-projects/aztec-nr/aztec/src/oracle/capsules.nr
@@ -7,7 +7,8 @@ where
     T: Serialize,
 {
     let serialized = value.serialize();
-    store_oracle(contract_address, slot, serialized);
+    // TODO(@mverzilli): bubble scope param up, for now none=global scope
+    store_oracle(contract_address, slot, serialized, Option::none());
 }
 
 /// Returns data previously stored via `storeCapsule` in the per-contract non-volatile database. Returns Option::none()
@@ -16,13 +17,20 @@ pub unconstrained fn load<T>(contract_address: AztecAddress, slot: Field) -> Opt
 where
     T: Deserialize,
 {
-    let serialized_option = load_oracle(contract_address, slot, <T as Deserialize>::N);
+    // TODO(@mverzilli): bubble scope param up, for now none=global scope
+    let serialized_option = load_oracle(
+        contract_address,
+        slot,
+        <T as Deserialize>::N,
+        Option::none(),
+    );
     serialized_option.map(|arr| Deserialize::deserialize(arr))
 }
 
 /// Deletes data in the per-contract non-volatile database. Does nothing if no data was present.
 pub unconstrained fn delete(contract_address: AztecAddress, slot: Field) {
-    delete_oracle(contract_address, slot);
+    // TODO(@mverzilli): bubble scope param up, for now none=global scope
+    delete_oracle(contract_address, slot, Option::none());
 }
 
 /// Copies a number of contiguous entries in the per-contract non-volatile database. This allows for efficient data
@@ -30,11 +38,23 @@ pub unconstrained fn delete(contract_address: AztecAddress, slot: Field) {
 /// destination regions (which will result in the overlapped source values being overwritten). All copied slots must
 /// exist in the database (i.e. have been stored and not deleted)
 pub unconstrained fn copy(contract_address: AztecAddress, src_slot: Field, dst_slot: Field, num_entries: u32) {
-    copy_oracle(contract_address, src_slot, dst_slot, num_entries);
+    // TODO(@mverzilli): bubble scope param up, for now none=global scope
+    copy_oracle(
+        contract_address,
+        src_slot,
+        dst_slot,
+        num_entries,
+        Option::none(),
+    );
 }
 
 #[oracle(aztec_utl_storeCapsule)]
-unconstrained fn store_oracle<let N: u32>(contract_address: AztecAddress, slot: Field, values: [Field; N]) {}
+unconstrained fn store_oracle<let N: u32>(
+    contract_address: AztecAddress,
+    slot: Field,
+    values: [Field; N],
+    scope: Option<AztecAddress>,
+) {}
 
 /// We need to pass in `array_len` (the value of N) as a parameter to tell the oracle how many fields the response must
 /// have.
@@ -48,13 +68,20 @@ unconstrained fn load_oracle<let N: u32>(
     contract_address: AztecAddress,
     slot: Field,
     array_len: u32,
+    scope: Option<AztecAddress>,
 ) -> Option<[Field; N]> {}
 
 #[oracle(aztec_utl_deleteCapsule)]
-unconstrained fn delete_oracle(contract_address: AztecAddress, slot: Field) {}
+unconstrained fn delete_oracle(contract_address: AztecAddress, slot: Field, scope: Option<AztecAddress>) {}
 
 #[oracle(aztec_utl_copyCapsule)]
-unconstrained fn copy_oracle(contract_address: AztecAddress, src_slot: Field, dst_slot: Field, num_entries: u32) {}
+unconstrained fn copy_oracle(
+    contract_address: AztecAddress,
+    src_slot: Field,
+    dst_slot: Field,
+    num_entries: u32,
+    scope: Option<AztecAddress>,
+) {}
 
 mod test {
     // These tests are sort of redundant since we already test the oracle implementation directly in TypeScript, but
diff --git a/noir-projects/aztec-nr/aztec/src/oracle/version.nr b/noir-projects/aztec-nr/aztec/src/oracle/version.nr
index f16367db9d0a..db1f5d94ef02 100644
--- a/noir-projects/aztec-nr/aztec/src/oracle/version.nr
+++ b/noir-projects/aztec-nr/aztec/src/oracle/version.nr
@@ -4,7 +4,7 @@
 ///
 /// @dev Whenever a contract function or Noir test is run, the `aztec_utl_assertCompatibleOracleVersion` oracle is
 /// called and if the oracle version is incompatible an error is thrown.
-pub global ORACLE_VERSION: Field = 16;
+pub global ORACLE_VERSION: Field = 17;
 
 /// Asserts that the version of the oracle is compatible with the version expected by the contract.
 pub fn assert_compatible_oracle_version() {
diff --git a/noir-projects/noir-contracts/contracts/protocol/aztec_sublib/src/oracle/capsules.nr b/noir-projects/noir-contracts/contracts/protocol/aztec_sublib/src/oracle/capsules.nr
index 762b984311b2..e8d8bdaa0b2e 100644
--- a/noir-projects/noir-contracts/contracts/protocol/aztec_sublib/src/oracle/capsules.nr
+++ b/noir-projects/noir-contracts/contracts/protocol/aztec_sublib/src/oracle/capsules.nr
@@ -7,7 +7,7 @@ where
     T: Serialize,
 {
     let serialized = value.serialize();
-    store_oracle(contract_address, slot, serialized);
+    store_oracle(contract_address, slot, serialized, Option::none());
 }
 
 /// Returns data previously stored via `storeCapsule` in the per-contract non-volatile database. Returns Option::none()
@@ -16,13 +16,13 @@ pub unconstrained fn load<T>(contract_address: AztecAddress, slot: Field) -> Opt
 where
     T: Deserialize,
 {
-    let serialized_option = load_oracle(contract_address, slot, <T as Deserialize>::N);
+    let serialized_option = load_oracle(contract_address, slot, <T as Deserialize>::N, Option::none());
     serialized_option.map(|arr| Deserialize::deserialize(arr))
 }
 
 /// Deletes data in the per-contract non-volatile database. Does nothing if no data was present.
 pub unconstrained fn delete(contract_address: AztecAddress, slot: Field) {
-    delete_oracle(contract_address, slot);
+    delete_oracle(contract_address, slot, Option::none());
 }
 
 /// Copies a number of contiguous entries in the per-contract non-volatile database. This allows for efficient data
@@ -35,7 +35,7 @@ pub unconstrained fn copy(
     dst_slot: Field,
     num_entries: u32,
 ) {
-    copy_oracle(contract_address, src_slot, dst_slot, num_entries);
+    copy_oracle(contract_address, src_slot, dst_slot, num_entries, Option::none());
 }
 
 #[oracle(aztec_utl_storeCapsule)]
@@ -43,6 +43,7 @@ unconstrained fn store_oracle<let N: u32>(
     contract_address: AztecAddress,
     slot: Field,
     values: [Field; N],
+    scope: Option<AztecAddress>,
 ) {}
 
 /// We need to pass in `array_len` (the value of N) as a parameter to tell the oracle how many fields the response must
@@ -57,10 +58,11 @@ unconstrained fn load_oracle<let N: u32>(
     contract_address: AztecAddress,
     slot: Field,
     array_len: u32,
+    scope: Option<AztecAddress>,
 ) -> Option<[Field; N]> {}
 
 #[oracle(aztec_utl_deleteCapsule)]
-unconstrained fn delete_oracle(contract_address: AztecAddress, slot: Field) {}
+unconstrained fn delete_oracle(contract_address: AztecAddress, slot: Field, scope: Option<AztecAddress>) {}
 
 #[oracle(aztec_utl_copyCapsule)]
 unconstrained fn copy_oracle(
@@ -68,4 +70,5 @@ unconstrained fn copy_oracle(
     src_slot: Field,
     dst_slot: Field,
     num_entries: u32,
+    scope: Option<AztecAddress>,
 ) {}
diff --git a/yarn-project/pxe/src/contract_function_simulator/oracle/interfaces.ts b/yarn-project/pxe/src/contract_function_simulator/oracle/interfaces.ts
index e468114f2b4b..3ae2a1341b64 100644
--- a/yarn-project/pxe/src/contract_function_simulator/oracle/interfaces.ts
+++ b/yarn-project/pxe/src/contract_function_simulator/oracle/interfaces.ts
@@ -137,10 +137,16 @@ export interface IUtilityExecutionOracle {
     messageContextRequestsArrayBaseSlot: Fr,
     messageContextResponsesArrayBaseSlot: Fr,
   ): Promise<void>;
-  storeCapsule(contractAddress: AztecAddress, key: Fr, capsule: Fr[]): Promise<void>;
-  loadCapsule(contractAddress: AztecAddress, key: Fr): Promise<Fr[] | null>;
-  deleteCapsule(contractAddress: AztecAddress, key: Fr): Promise<void>;
-  copyCapsule(contractAddress: AztecAddress, srcKey: Fr, dstKey: Fr, numEntries: number): Promise<void>;
+  storeCapsule(contractAddress: AztecAddress, key: Fr, capsule: Fr[], scope?: AztecAddress): void;
+  loadCapsule(contractAddress: AztecAddress, key: Fr, scope?: AztecAddress): Promise<Fr[] | null>;
+  deleteCapsule(contractAddress: AztecAddress, key: Fr, scope?: AztecAddress): void;
+  copyCapsule(
+    contractAddress: AztecAddress,
+    srcKey: Fr,
+    dstKey: Fr,
+    numEntries: number,
+    scope?: AztecAddress,
+  ): Promise<void>;
   aes128Decrypt(ciphertext: Buffer, iv: Buffer, symKey: Buffer): Promise<Buffer>;
   getSharedSecret(address: AztecAddress, ephPk: Point): Promise<Point>;
   emitOffchainEffect(data: Fr[]): Promise<void>;
diff --git a/yarn-project/pxe/src/contract_function_simulator/oracle/legacy_oracle_mappings.ts b/yarn-project/pxe/src/contract_function_simulator/oracle/legacy_oracle_mappings.ts
index d8c7297824db..a09dbf14e013 100644
--- a/yarn-project/pxe/src/contract_function_simulator/oracle/legacy_oracle_mappings.ts
+++ b/yarn-project/pxe/src/contract_function_simulator/oracle/legacy_oracle_mappings.ts
@@ -23,7 +23,10 @@ export function buildLegacyOracleCallbacks(oracle: Oracle): ACIRCallback {
       contractAddress: ACVMField[],
       slot: ACVMField[],
       tSize: ACVMField[],
-    ): Promise<(ACVMField | ACVMField[])[]> => oracle.aztec_utl_loadCapsule(contractAddress, slot, tSize),
+    ): Promise<(ACVMField | ACVMField[])[]> =>
+      // Last two params represent an Option<AztecAddress> == None, which means the capsule is contract-global,
+      // matching legacy behavior.
+      oracle.aztec_utl_loadCapsule(contractAddress, slot, tSize, [new Fr(0).toString()], [new Fr(0).toString()]),
     privateStoreInExecutionCache: (values: ACVMField[], hash: ACVMField[]): Promise<ACVMField[]> =>
       oracle.aztec_prv_storeInExecutionCache(values, hash),
     privateLoadFromExecutionCache: (returnsHash: ACVMField[]): Promise<ACVMField[][]> =>
@@ -65,15 +68,30 @@ export function buildLegacyOracleCallbacks(oracle: Oracle): ACIRCallback {
       contractAddress: ACVMField[],
       slot: ACVMField[],
       capsule: ACVMField[],
-    ): Promise<ACVMField[]> => oracle.aztec_utl_storeCapsule(contractAddress, slot, capsule),
+    ): Promise<ACVMField[]> =>
+      // Last two params represent an Option<AztecAddress> == None, which means the capsule is contract-global,
+      // matching legacy behavior.
+      oracle.aztec_utl_storeCapsule(contractAddress, slot, capsule, [new Fr(0).toString()], [new Fr(0).toString()]),
     utilityCopyCapsule: (
       contractAddress: ACVMField[],
       srcSlot: ACVMField[],
       dstSlot: ACVMField[],
       numEntries: ACVMField[],
-    ): Promise<ACVMField[]> => oracle.aztec_utl_copyCapsule(contractAddress, srcSlot, dstSlot, numEntries),
+    ): Promise<ACVMField[]> =>
+      // Last two params represent an Option<AztecAddress> == None, which means the capsule is contract-global,
+      // matching legacy behavior.
+      oracle.aztec_utl_copyCapsule(
+        contractAddress,
+        srcSlot,
+        dstSlot,
+        numEntries,
+        [new Fr(0).toString()],
+        [new Fr(0).toString()],
+      ),
     utilityDeleteCapsule: (contractAddress: ACVMField[], slot: ACVMField[]): Promise<ACVMField[]> =>
-      oracle.aztec_utl_deleteCapsule(contractAddress, slot),
+      // Last two params represent an Option<AztecAddress> == None, which means the capsule is contract-global,
+      // matching legacy behavior.
+      oracle.aztec_utl_deleteCapsule(contractAddress, slot, [new Fr(0).toString()], [new Fr(0).toString()]),
     utilityAes128Decrypt: (
       ciphertextBVecStorage: ACVMField[],
       ciphertextLength: ACVMField[],
diff --git a/yarn-project/pxe/src/contract_function_simulator/oracle/oracle.ts b/yarn-project/pxe/src/contract_function_simulator/oracle/oracle.ts
index 40ab39c54fa4..1d5318c39f74 100644
--- a/yarn-project/pxe/src/contract_function_simulator/oracle/oracle.ts
+++ b/yarn-project/pxe/src/contract_function_simulator/oracle/oracle.ts
@@ -25,6 +25,10 @@ export class UnavailableOracleError extends Error {
   }
 }
 
+function optionalAddressFromAcvmFields(scopeSome: ACVMField, scopeValue: ACVMField) {
+  return Fr.fromString(scopeSome).toNumber() === 1 ? AztecAddress.fromField(Fr.fromString(scopeValue)) : undefined;
+}
+
 /**
  * A data source that has all the apis required by Aztec.nr.
  */
@@ -544,17 +548,21 @@ export class Oracle {
   }
 
   // eslint-disable-next-line camelcase
-  async aztec_utl_storeCapsule(
+  aztec_utl_storeCapsule(
     [contractAddress]: ACVMField[],
     [slot]: ACVMField[],
     capsule: ACVMField[],
+    [scopeSome]: ACVMField[],
+    [scopeValue]: ACVMField[],
   ): Promise<ACVMField[]> {
-    await this.handlerAsUtility().storeCapsule(
+    const scope = optionalAddressFromAcvmFields(scopeSome, scopeValue);
+    this.handlerAsUtility().storeCapsule(
       AztecAddress.fromField(Fr.fromString(contractAddress)),
       Fr.fromString(slot),
       capsule.map(Fr.fromString),
+      scope,
     );
-    return [];
+    return Promise.resolve([]);
   }
 
   // eslint-disable-next-line camelcase
@@ -562,10 +570,14 @@ export class Oracle {
     [contractAddress]: ACVMField[],
     [slot]: ACVMField[],
     [tSize]: ACVMField[],
+    [scopeSome]: ACVMField[],
+    [scopeValue]: ACVMField[],
   ): Promise<(ACVMField | ACVMField[])[]> {
+    const scope = optionalAddressFromAcvmFields(scopeSome, scopeValue);
     const values = await this.handlerAsUtility().loadCapsule(
       AztecAddress.fromField(Fr.fromString(contractAddress)),
       Fr.fromString(slot),
+      scope,
     );
 
     // We are going to return a Noir Option struct to represent the possibility of null values. Options are a struct
@@ -580,12 +592,19 @@ export class Oracle {
   }
 
   // eslint-disable-next-line camelcase
-  async aztec_utl_deleteCapsule([contractAddress]: ACVMField[], [slot]: ACVMField[]): Promise<ACVMField[]> {
-    await this.handlerAsUtility().deleteCapsule(
+  aztec_utl_deleteCapsule(
+    [contractAddress]: ACVMField[],
+    [slot]: ACVMField[],
+    [scopeSome]: ACVMField[],
+    [scopeValue]: ACVMField[],
+  ): Promise<ACVMField[]> {
+    const scope = optionalAddressFromAcvmFields(scopeSome, scopeValue);
+    this.handlerAsUtility().deleteCapsule(
       AztecAddress.fromField(Fr.fromString(contractAddress)),
       Fr.fromString(slot),
+      scope,
     );
-    return [];
+    return Promise.resolve([]);
   }
 
   // eslint-disable-next-line camelcase
@@ -594,12 +613,16 @@ export class Oracle {
     [srcSlot]: ACVMField[],
     [dstSlot]: ACVMField[],
     [numEntries]: ACVMField[],
+    [scopeSome]: ACVMField[],
+    [scopeValue]: ACVMField[],
   ): Promise<ACVMField[]> {
+    const scope = optionalAddressFromAcvmFields(scopeSome, scopeValue);
     await this.handlerAsUtility().copyCapsule(
       AztecAddress.fromField(Fr.fromString(contractAddress)),
       Fr.fromString(srcSlot),
       Fr.fromString(dstSlot),
       Fr.fromString(numEntries).toNumber(),
+      scope,
     );
     return [];
   }
diff --git a/yarn-project/pxe/src/contract_function_simulator/oracle/utility_execution.test.ts b/yarn-project/pxe/src/contract_function_simulator/oracle/utility_execution.test.ts
index 02ae9fa46ac0..849dc531a203 100644
--- a/yarn-project/pxe/src/contract_function_simulator/oracle/utility_execution.test.ts
+++ b/yarn-project/pxe/src/contract_function_simulator/oracle/utility_execution.test.ts
@@ -12,7 +12,7 @@ import type { AztecNode } from '@aztec/stdlib/interfaces/server';
 import { deriveKeys } from '@aztec/stdlib/keys';
 import { Note, NoteDao } from '@aztec/stdlib/note';
 import { makeL2Tips } from '@aztec/stdlib/testing';
-import { BlockHeader, GlobalVariables, TxHash } from '@aztec/stdlib/tx';
+import { BlockHeader, Capsule, GlobalVariables, TxHash } from '@aztec/stdlib/tx';
 
 import { mock } from 'jest-mock-extended';
 import type { _MockProxy } from 'jest-mock-extended/lib/Mock.js';
@@ -245,6 +245,73 @@ describe('Utility Execution test suite', () => {
       });
     });
 
+    describe('capsules', () => {
+      it('forwards scope to the capsule store', async () => {
+        const scope = await AztecAddress.random();
+        const slot = Fr.random();
+        const srcSlot = Fr.random();
+        const dstSlot = Fr.random();
+        const capsule = [Fr.random()];
+
+        capsuleStore.loadCapsule.mockResolvedValueOnce(capsule);
+
+        utilityExecutionOracle.storeCapsule(contractAddress, slot, capsule, scope);
+        await utilityExecutionOracle.loadCapsule(contractAddress, slot, scope);
+        utilityExecutionOracle.deleteCapsule(contractAddress, slot, scope);
+        await utilityExecutionOracle.copyCapsule(contractAddress, srcSlot, dstSlot, 1, scope);
+
+        expect(capsuleStore.storeCapsule).toHaveBeenCalledWith(contractAddress, slot, capsule, 'test-job-id', scope);
+        expect(capsuleStore.loadCapsule).toHaveBeenCalledWith(contractAddress, slot, 'test-job-id', scope);
+        expect(capsuleStore.deleteCapsule).toHaveBeenCalledWith(contractAddress, slot, 'test-job-id', scope);
+        expect(capsuleStore.copyCapsule).toHaveBeenCalledWith(
+          contractAddress,
+          srcSlot,
+          dstSlot,
+          1,
+          'test-job-id',
+          scope,
+        );
+      });
+
+      it('loads transient capsules by scope', async () => {
+        const scope = await AztecAddress.random();
+        const slot = Fr.random();
+        const transientGlobal = [Fr.random()];
+        const transientScoped = [Fr.random()];
+        const persisted = [Fr.random()];
+
+        utilityExecutionOracle = new UtilityExecutionOracle({
+          contractAddress,
+          authWitnesses: [],
+          capsules: [
+            new Capsule(contractAddress, slot, transientGlobal),
+            new Capsule(contractAddress, slot, transientScoped, scope),
+          ],
+          anchorBlockHeader,
+          contractStore,
+          noteStore,
+          keyStore,
+          addressStore,
+          aztecNode,
+          recipientTaggingStore,
+          senderAddressBookStore,
+          capsuleStore,
+          privateEventStore,
+          messageContextService,
+          jobId: 'test-job-id',
+          scopes: 'ALL_SCOPES',
+        });
+
+        capsuleStore.loadCapsule.mockResolvedValueOnce(persisted);
+
+        expect(await utilityExecutionOracle.loadCapsule(contractAddress, slot)).toEqual(transientGlobal);
+        expect(await utilityExecutionOracle.loadCapsule(contractAddress, slot, AztecAddress.ZERO)).toEqual(
+          transientGlobal,
+        );
+        expect(await utilityExecutionOracle.loadCapsule(contractAddress, slot, scope)).toEqual(transientScoped);
+      });
+    });
+
     describe('utilityResolveMessageContexts', () => {
       const requestSlot = Fr.random();
       const responseSlot = Fr.random();
diff --git a/yarn-project/pxe/src/contract_function_simulator/oracle/utility_execution_oracle.ts b/yarn-project/pxe/src/contract_function_simulator/oracle/utility_execution_oracle.ts
index ce774d4076d7..48a14a711198 100644
--- a/yarn-project/pxe/src/contract_function_simulator/oracle/utility_execution_oracle.ts
+++ b/yarn-project/pxe/src/contract_function_simulator/oracle/utility_execution_oracle.ts
@@ -613,42 +613,51 @@ export class UtilityExecutionOracle implements IMiscOracle, IUtilityExecutionOra
     }
   }
 
-  public storeCapsule(contractAddress: AztecAddress, slot: Fr, capsule: Fr[]): Promise<void> {
+  public storeCapsule(contractAddress: AztecAddress, slot: Fr, capsule: Fr[], scope?: AztecAddress): void {
     if (!contractAddress.equals(this.contractAddress)) {
       // TODO(#10727): instead of this check that this.contractAddress is allowed to access the external DB
       throw new Error(`Contract ${contractAddress} is not allowed to access ${this.contractAddress}'s PXE DB`);
     }
-    this.capsuleStore.storeCapsule(this.contractAddress, slot, capsule, this.jobId);
-    return Promise.resolve();
+    this.capsuleStore.storeCapsule(contractAddress, slot, capsule, this.jobId, scope);
   }
 
-  public async loadCapsule(contractAddress: AztecAddress, slot: Fr): Promise<Fr[] | null> {
+  public async loadCapsule(contractAddress: AztecAddress, slot: Fr, scope?: AztecAddress): Promise<Fr[] | null> {
     if (!contractAddress.equals(this.contractAddress)) {
       // TODO(#10727): instead of this check that this.contractAddress is allowed to access the external DB
       throw new Error(`Contract ${contractAddress} is not allowed to access ${this.contractAddress}'s PXE DB`);
     }
-    return (
-      // TODO(#12425): On the following line, the pertinent capsule gets overshadowed by the transient one. Tackle this.
-      this.capsules.find(c => c.contractAddress.equals(contractAddress) && c.storageSlot.equals(slot))?.data ??
-      (await this.capsuleStore.loadCapsule(this.contractAddress, slot, this.jobId))
-    );
+    const normalizedScope = scope ?? AztecAddress.ZERO;
+    const maybeTransientCapsule = this.capsules.find(
+      c =>
+        c.contractAddress.equals(contractAddress) &&
+        c.storageSlot.equals(slot) &&
+        (c.scope ?? AztecAddress.ZERO).equals(normalizedScope),
+    )?.data;
+
+    // TODO(#12425): On the following line, the pertinent capsule gets overshadowed by the transient one. Tackle this.
+    return maybeTransientCapsule ?? (await this.capsuleStore.loadCapsule(contractAddress, slot, this.jobId, scope));
   }
 
-  public deleteCapsule(contractAddress: AztecAddress, slot: Fr): Promise<void> {
+  public deleteCapsule(contractAddress: AztecAddress, slot: Fr, scope?: AztecAddress): void {
     if (!contractAddress.equals(this.contractAddress)) {
       // TODO(#10727): instead of this check that this.contractAddress is allowed to access the external DB
       throw new Error(`Contract ${contractAddress} is not allowed to access ${this.contractAddress}'s PXE DB`);
     }
-    this.capsuleStore.deleteCapsule(this.contractAddress, slot, this.jobId);
-    return Promise.resolve();
+    this.capsuleStore.deleteCapsule(contractAddress, slot, this.jobId, scope);
   }
 
-  public copyCapsule(contractAddress: AztecAddress, srcSlot: Fr, dstSlot: Fr, numEntries: number): Promise<void> {
+  public copyCapsule(
+    contractAddress: AztecAddress,
+    srcSlot: Fr,
+    dstSlot: Fr,
+    numEntries: number,
+    scope?: AztecAddress,
+  ): Promise<void> {
     if (!contractAddress.equals(this.contractAddress)) {
       // TODO(#10727): instead of this check that this.contractAddress is allowed to access the external DB
       throw new Error(`Contract ${contractAddress} is not allowed to access ${this.contractAddress}'s PXE DB`);
     }
-    return this.capsuleStore.copyCapsule(this.contractAddress, srcSlot, dstSlot, numEntries, this.jobId);
+    return this.capsuleStore.copyCapsule(contractAddress, srcSlot, dstSlot, numEntries, this.jobId, scope);
   }
 
   // TODO(#11849): consider replacing this oracle with a pure Noir implementation of aes decryption.
diff --git a/yarn-project/pxe/src/oracle_version.ts b/yarn-project/pxe/src/oracle_version.ts
index f3069e1bf869..9837031291c4 100644
--- a/yarn-project/pxe/src/oracle_version.ts
+++ b/yarn-project/pxe/src/oracle_version.ts
@@ -4,9 +4,9 @@
 ///
 /// @dev Whenever a contract function or Noir test is run, the `aztec_utl_assertCompatibleOracleVersion` oracle is called
 /// and if the oracle version is incompatible an error is thrown.
-export const ORACLE_VERSION = 16;
+export const ORACLE_VERSION = 17;
 
 /// This hash is computed as by hashing the Oracle interface and it is used to detect when the Oracle interface changes,
 /// which in turn implies that you need to update the ORACLE_VERSION constant in this file and in
 /// `noir-projects/aztec-nr/aztec/src/oracle/version.nr`.
-export const ORACLE_INTERFACE_HASH = '73ccb2a24bc9fe7514108be9ff98d7ca8734bc316fb7c1ec4329d1d32f412a55';
+export const ORACLE_INTERFACE_HASH = 'e3d3af6b1b843213d9789f82aa08e70732124f84d42378b4a19921763be1528b';
diff --git a/yarn-project/pxe/src/storage/capsule_store/capsule_store.test.ts b/yarn-project/pxe/src/storage/capsule_store/capsule_store.test.ts
index 51217891caee..9f94338d6ee8 100644
--- a/yarn-project/pxe/src/storage/capsule_store/capsule_store.test.ts
+++ b/yarn-project/pxe/src/storage/capsule_store/capsule_store.test.ts
@@ -66,6 +66,31 @@ describe('capsule data provider', () => {
       expect(result2).toEqual(values2);
     });
 
+    it('stores values for different scopes independently', async () => {
+      const scopeA = await AztecAddress.random();
+      const scopeB = await AztecAddress.random();
+      const slot = new Fr(1);
+      const valuesA = [new Fr(42)];
+      const valuesB = [new Fr(100)];
+
+      capsuleStore.storeCapsule(contract, slot, valuesA, 'test', scopeA);
+      capsuleStore.storeCapsule(contract, slot, valuesB, 'test', scopeB);
+
+      expect(await capsuleStore.loadCapsule(contract, slot, 'test', scopeA)).toEqual(valuesA);
+      expect(await capsuleStore.loadCapsule(contract, slot, 'test', scopeB)).toEqual(valuesB);
+      expect(await capsuleStore.loadCapsule(contract, slot, 'test')).toBeNull();
+    });
+
+    it('treats the global scope as the zero address', async () => {
+      const slot = new Fr(1);
+      const values = [new Fr(42)];
+
+      capsuleStore.storeCapsule(contract, slot, values, 'test');
+
+      expect(await capsuleStore.loadCapsule(contract, slot, 'test')).toEqual(values);
+      expect(await capsuleStore.loadCapsule(contract, slot, 'test', AztecAddress.ZERO)).toEqual(values);
+    });
+
     it('returns null for non-existent slots', async () => {
       const slot = Fr.random();
       const result = await capsuleStore.loadCapsule(contract, slot, 'test');
@@ -176,6 +201,19 @@ describe('capsule data provider', () => {
         'Attempted to copy empty slot',
       );
     });
+
+    it('copies values within a scope only', async () => {
+      const scope = await AztecAddress.random();
+      const src = new Fr(1);
+      const dst = new Fr(5);
+      const values = [new Fr(42)];
+
+      capsuleStore.storeCapsule(contract, src, values, 'test', scope);
+      await capsuleStore.copyCapsule(contract, src, dst, 1, 'test', scope);
+
+      expect(await capsuleStore.loadCapsule(contract, dst, 'test', scope)).toEqual(values);
+      expect(await capsuleStore.loadCapsule(contract, dst, 'test')).toBeNull();
+    });
   });
 
   describe('arrays', () => {
diff --git a/yarn-project/pxe/src/storage/capsule_store/capsule_store.ts b/yarn-project/pxe/src/storage/capsule_store/capsule_store.ts
index 0b847c06df52..a9fbf9ce9073 100644
--- a/yarn-project/pxe/src/storage/capsule_store/capsule_store.ts
+++ b/yarn-project/pxe/src/storage/capsule_store/capsule_store.ts
@@ -1,7 +1,7 @@
 import { Fr } from '@aztec/foundation/curves/bn254';
 import { type Logger, createLogger } from '@aztec/foundation/log';
 import type { AztecAsyncKVStore, AztecAsyncMap } from '@aztec/kv-store';
-import type { AztecAddress } from '@aztec/stdlib/aztec-address';
+import { AztecAddress } from '@aztec/stdlib/aztec-address';
 
 import type { StagedStore } from '../../job_coordinator/job_coordinator.js';
 
@@ -10,11 +10,12 @@ export class CapsuleStore implements StagedStore {
 
   #store: AztecAsyncKVStore;
 
-  // Arbitrary data stored by contracts. Key is computed as `${contractAddress}:${key}`
+  // Arbitrary data stored by contracts. Key is computed as `${contractAddress}:${scope}:${key}`, using the zero
+  // address for the global scope.
   #capsules: AztecAsyncMap<string, Buffer>;
 
-  // jobId => `${contractAddress}:${key}` => capsule data
-  // when `#stagedCapsules.get('some-job-id').get('${some-contract-address:some-key') === null`,
+  // jobId => `${contractAddress}:${scope}:${key}` => capsule data
+  // when `#stagedCapsules.get('some-job-id').get('${some-contract-address}:${some-scope}:${some-key}') === null`,
   // it signals that the capsule was deleted during the job, so it needs to be deleted on commit
   #stagedCapsules: Map<string, Map<string, Buffer | null>>;
 
@@ -134,8 +135,8 @@ export class CapsuleStore implements StagedStore {
    * to public contract storage in that it's indexed by the contract address and storage slot but instead of the global
    * network state it's backed by local PXE db.
    */
-  storeCapsule(contractAddress: AztecAddress, slot: Fr, capsule: Fr[], jobId: string) {
-    const dbSlotKey = dbSlotToKey(contractAddress, slot);
+  storeCapsule(contractAddress: AztecAddress, slot: Fr, capsule: Fr[], jobId: string, scope?: AztecAddress) {
+    const dbSlotKey = dbSlotToKey(contractAddress, slot, scope);
 
     // A store overrides any pre-existing data on the slot
     this.#setOnStage(jobId, dbSlotKey, Buffer.concat(capsule.map(value => value.toBuffer())));
@@ -147,8 +148,13 @@ export class CapsuleStore implements StagedStore {
    * @param slot - The slot in the database to read.
    * @returns The stored data or `null` if no data is stored under the slot.
    */
-  async loadCapsule(contractAddress: AztecAddress, slot: Fr, jobId: string): Promise<Fr[] | null> {
-    const dataBuffer = await this.#getFromStage(jobId, dbSlotToKey(contractAddress, slot));
+  async loadCapsule(
+    contractAddress: AztecAddress,
+    slot: Fr,
+    jobId: string,
+    scope?: AztecAddress,
+  ): Promise<Fr[] | null> {
+    const dataBuffer = await this.#getFromStage(jobId, dbSlotToKey(contractAddress, slot, scope));
     if (!dataBuffer) {
       this.logger.trace(`Data not found for contract ${contractAddress.toString()} and slot ${slot.toString()}`);
       return null;
@@ -165,9 +171,9 @@ export class CapsuleStore implements StagedStore {
    * @param contractAddress - The contract address under which the data is scoped.
    * @param slot - The slot in the database to delete.
    */
-  deleteCapsule(contractAddress: AztecAddress, slot: Fr, jobId: string) {
+  deleteCapsule(contractAddress: AztecAddress, slot: Fr, jobId: string, scope?: AztecAddress) {
     // When we commit this, we will interpret null as a deletion, so we'll propagate the delete to the KV store
-    this.#deleteOnStage(jobId, dbSlotToKey(contractAddress, slot));
+    this.#deleteOnStage(jobId, dbSlotToKey(contractAddress, slot, scope));
   }
 
   /**
@@ -187,6 +193,7 @@ export class CapsuleStore implements StagedStore {
     dstSlot: Fr,
     numEntries: number,
     jobId: string,
+    scope?: AztecAddress,
   ): Promise<void> {
     // This transactional context gives us "copy atomicity":
     // there shouldn't be concurrent writes to what's being copied here.
@@ -203,8 +210,8 @@ export class CapsuleStore implements StagedStore {
       }
 
       for (const i of indexes) {
-        const currentSrcSlot = dbSlotToKey(contractAddress, srcSlot.add(new Fr(i)));
-        const currentDstSlot = dbSlotToKey(contractAddress, dstSlot.add(new Fr(i)));
+        const currentSrcSlot = dbSlotToKey(contractAddress, srcSlot.add(new Fr(i)), scope);
+        const currentDstSlot = dbSlotToKey(contractAddress, dstSlot.add(new Fr(i)), scope);
 
         const toCopy = await this.#getFromStage(jobId, currentSrcSlot);
         if (!toCopy) {
@@ -306,8 +313,8 @@ export class CapsuleStore implements StagedStore {
   }
 }
 
-function dbSlotToKey(contractAddress: AztecAddress, slot: Fr): string {
-  return `${contractAddress.toString()}:${slot.toString()}`;
+function dbSlotToKey(contractAddress: AztecAddress, slot: Fr, scope?: AztecAddress): string {
+  return [contractAddress.toString(), (scope ?? AztecAddress.ZERO).toString(), slot.toString()].join(':');
 }
 
 function arraySlot(baseSlot: Fr, index: number) {
diff --git a/yarn-project/pxe/src/storage/metadata.ts b/yarn-project/pxe/src/storage/metadata.ts
index 826f90735b91..aa63404894b5 100644
--- a/yarn-project/pxe/src/storage/metadata.ts
+++ b/yarn-project/pxe/src/storage/metadata.ts
@@ -1 +1 @@
-export const PXE_DATA_SCHEMA_VERSION = 4;
+export const PXE_DATA_SCHEMA_VERSION = 5;
diff --git a/yarn-project/stdlib/src/tx/capsule.ts b/yarn-project/stdlib/src/tx/capsule.ts
index 8efeee24983f..eaff72c8c56a 100644
--- a/yarn-project/stdlib/src/tx/capsule.ts
+++ b/yarn-project/stdlib/src/tx/capsule.ts
@@ -19,6 +19,8 @@ export class Capsule {
     public readonly storageSlot: Fr,
     /** Data passed to the contract  */
     public readonly data: Fr[],
+    /** Optional namespace for the capsule contents */
+    public readonly scope?: AztecAddress,
   ) {}
 
   static get schema() {
@@ -30,12 +32,18 @@ export class Capsule {
   }
 
   toBuffer() {
-    return serializeToBuffer(this.contractAddress, this.storageSlot, new Vector(this.data));
+    return this.scope
+      ? serializeToBuffer(this.contractAddress, this.storageSlot, new Vector(this.data), true, this.scope)
+      : serializeToBuffer(this.contractAddress, this.storageSlot, new Vector(this.data), false);
   }
 
   static fromBuffer(buffer: Buffer | BufferReader): Capsule {
     const reader = BufferReader.asReader(buffer);
-    return new Capsule(AztecAddress.fromBuffer(reader), Fr.fromBuffer(reader), reader.readVector(Fr));
+    const contractAddress = AztecAddress.fromBuffer(reader);
+    const storageSlot = Fr.fromBuffer(reader);
+    const data = reader.readVector(Fr);
+    const hasScope = reader.readBoolean();
+    return new Capsule(contractAddress, storageSlot, data, hasScope ? AztecAddress.fromBuffer(reader) : undefined);
   }
 
   toString() {
diff --git a/yarn-project/txe/src/rpc_translator.ts b/yarn-project/txe/src/rpc_translator.ts
index 1d60cd154451..d9a8e0745770 100644
--- a/yarn-project/txe/src/rpc_translator.ts
+++ b/yarn-project/txe/src/rpc_translator.ts
@@ -810,31 +810,61 @@ export class RPCTranslator {
   }
 
   // eslint-disable-next-line camelcase
-  async aztec_utl_storeCapsule(
+  aztec_utl_storeCapsule(
     foreignContractAddress: ForeignCallSingle,
     foreignSlot: ForeignCallSingle,
     foreignCapsule: ForeignCallArray,
+  ) {
+    return this.aztec_utl_storeCapsuleV2(foreignContractAddress, foreignSlot, foreignCapsule);
+  }
+
+  // eslint-disable-next-line camelcase
+  aztec_utl_storeCapsuleV2(
+    foreignContractAddress: ForeignCallSingle,
+    foreignSlot: ForeignCallSingle,
+    foreignCapsule: ForeignCallArray,
+    foreignScopeIsSome?: ForeignCallSingle,
+    foreignScopeValue?: ForeignCallSingle,
   ) {
     const contractAddress = AztecAddress.fromField(fromSingle(foreignContractAddress));
     const slot = fromSingle(foreignSlot);
     const capsule = fromArray(foreignCapsule);
+    const scope =
+      foreignScopeIsSome && fromSingle(foreignScopeIsSome).toBool()
+        ? AztecAddress.fromField(fromSingle(foreignScopeValue!))
+        : undefined;
 
-    await this.handlerAsUtility().storeCapsule(contractAddress, slot, capsule);
+    this.handlerAsUtility().storeCapsule(contractAddress, slot, capsule, scope);
 
     return toForeignCallResult([]);
   }
 
   // eslint-disable-next-line camelcase
-  async aztec_utl_loadCapsule(
+  aztec_utl_loadCapsule(
+    foreignContractAddress: ForeignCallSingle,
+    foreignSlot: ForeignCallSingle,
+    foreignTSize: ForeignCallSingle,
+  ) {
+    return this.aztec_utl_loadCapsuleV2(foreignContractAddress, foreignSlot, foreignTSize);
+  }
+
+  // eslint-disable-next-line camelcase
+  async aztec_utl_loadCapsuleV2(
     foreignContractAddress: ForeignCallSingle,
     foreignSlot: ForeignCallSingle,
     foreignTSize: ForeignCallSingle,
+    foreignScopeIsSome?: ForeignCallSingle,
+    foreignScopeValue?: ForeignCallSingle,
   ) {
     const contractAddress = AztecAddress.fromField(fromSingle(foreignContractAddress));
     const slot = fromSingle(foreignSlot);
     const tSize = fromSingle(foreignTSize).toNumber();
+    const scope =
+      foreignScopeIsSome && fromSingle(foreignScopeIsSome).toBool()
+        ? AztecAddress.fromField(fromSingle(foreignScopeValue!))
+        : undefined;
 
-    const values = await this.handlerAsUtility().loadCapsule(contractAddress, slot);
+    const values = await this.handlerAsUtility().loadCapsule(contractAddress, slot, scope);
 
     // We are going to return a Noir Option struct to represent the possibility of null values. Options are a struct
     // with two fields: `some` (a boolean) and `value` (a field array in this case).
@@ -848,28 +878,58 @@ export class RPCTranslator {
   }
 
   // eslint-disable-next-line camelcase
-  async aztec_utl_deleteCapsule(foreignContractAddress: ForeignCallSingle, foreignSlot: ForeignCallSingle) {
+  aztec_utl_deleteCapsule(foreignContractAddress: ForeignCallSingle, foreignSlot: ForeignCallSingle) {
+    return this.aztec_utl_deleteCapsuleV2(foreignContractAddress, foreignSlot);
+  }
+
+  // eslint-disable-next-line camelcase
+  aztec_utl_deleteCapsuleV2(
+    foreignContractAddress: ForeignCallSingle,
+    foreignSlot: ForeignCallSingle,
+    foreignScopeIsSome?: ForeignCallSingle,
+    foreignScopeValue?: ForeignCallSingle,
+  ) {
     const contractAddress = AztecAddress.fromField(fromSingle(foreignContractAddress));
     const slot = fromSingle(foreignSlot);
+    const scope =
+      foreignScopeIsSome && fromSingle(foreignScopeIsSome).toBool()
+        ? AztecAddress.fromField(fromSingle(foreignScopeValue!))
+        : undefined;
 
-    await this.handlerAsUtility().deleteCapsule(contractAddress, slot);
+    this.handlerAsUtility().deleteCapsule(contractAddress, slot, scope);
 
     return toForeignCallResult([]);
   }
 
   // eslint-disable-next-line camelcase
-  async aztec_utl_copyCapsule(
+  aztec_utl_copyCapsule(
+    foreignContractAddress: ForeignCallSingle,
+    foreignSrcSlot: ForeignCallSingle,
+    foreignDstSlot: ForeignCallSingle,
+    foreignNumEntries: ForeignCallSingle,
+  ) {
+    return this.aztec_utl_copyCapsuleV2(foreignContractAddress, foreignSrcSlot, foreignDstSlot, foreignNumEntries);
+  }
+
+  // eslint-disable-next-line camelcase
+  async aztec_utl_copyCapsuleV2(
     foreignContractAddress: ForeignCallSingle,
     foreignSrcSlot: ForeignCallSingle,
     foreignDstSlot: ForeignCallSingle,
     foreignNumEntries: ForeignCallSingle,
+    foreignScopeIsSome?: ForeignCallSingle,
+    foreignScopeValue?: ForeignCallSingle,
   ) {
     const contractAddress = AztecAddress.fromField(fromSingle(foreignContractAddress));
     const srcSlot = fromSingle(foreignSrcSlot);
     const dstSlot = fromSingle(foreignDstSlot);
     const numEntries = fromSingle(foreignNumEntries).toNumber();
+    const scope =
+      foreignScopeIsSome && fromSingle(foreignScopeIsSome).toBool()
+        ? AztecAddress.fromField(fromSingle(foreignScopeValue!))
+        : undefined;
 
-    await this.handlerAsUtility().copyCapsule(contractAddress, srcSlot, dstSlot, numEntries);
+    await this.handlerAsUtility().copyCapsule(contractAddress, srcSlot, dstSlot, numEntries, scope);
 
     return toForeignCallResult([]);
   }