diff --git a/frontend/src/lib/lemon-ui/LemonMenu/LemonMenu.tsx b/frontend/src/lib/lemon-ui/LemonMenu/LemonMenu.tsx
index 76f26a8137..b4cce19e3c 100644
--- a/frontend/src/lib/lemon-ui/LemonMenu/LemonMenu.tsx
+++ b/frontend/src/lib/lemon-ui/LemonMenu/LemonMenu.tsx
@@ -39,13 +39,13 @@ export interface LemonMenuItemNode extends LemonMenuItemBase {
 }
 
 export interface LemonMenuItemLeafCallback extends LemonMenuItemBase {
-    onClick?: () => void
+    onClick?: (e: React.MouseEvent) => void
     items?: never
     placement?: never
     keyboardShortcut?: KeyboardShortcut
 }
 export interface LemonMenuItemLeafLink extends LemonMenuItemBase {
-    onClick?: () => void
+    onClick?: (e: React.MouseEvent) => void
     to: string
     disableClientSideRouting?: boolean
     targetBlank?: boolean
diff --git a/frontend/src/toolbar/bar/Toolbar.tsx b/frontend/src/toolbar/bar/Toolbar.tsx
index ea44162606..7784705da7 100644
--- a/frontend/src/toolbar/bar/Toolbar.tsx
+++ b/frontend/src/toolbar/bar/Toolbar.tsx
@@ -10,6 +10,8 @@ import {
     IconCheck,
     IconCursorClick,
     IconDay,
+    IconEye,
+    IconHide,
     IconLive,
     IconLogomark,
     IconNight,
@@ -30,6 +32,7 @@ import { IconFlare, IconMenu } from 'lib/lemon-ui/icons'
 import { inStorybook, inStorybookTestRunner } from 'lib/utils'
 
 import { ActionsToolbarMenu } from '~/toolbar/actions/ActionsToolbarMenu'
+import { PII_MASKING_PRESET_COLORS } from '~/toolbar/bar/piiMaskingStyles'
 import { toolbarLogic } from '~/toolbar/bar/toolbarLogic'
 import { EventDebugMenu } from '~/toolbar/debug/EventDebugMenu'
 import { ExperimentsToolbarMenu } from '~/toolbar/experiments/ExperimentsToolbarMenu'
@@ -53,7 +56,11 @@ function EnabledStatusItem({ label, value }: { label: string; value: boolean }):
     )
 }
 
-function postHogDebugInfo(posthog: PostHog | null, loadingSurveys: boolean, surveysCount: number): LemonMenuItem {
+function postHogDebugInfoMenuItem(
+    posthog: PostHog | null,
+    loadingSurveys: boolean,
+    surveysCount: number
+): LemonMenuItem {
     const isAutocaptureEnabled = posthog?.autocapture?.isEnabled
 
     return {
@@ -134,15 +141,65 @@ function postHogDebugInfo(posthog: PostHog | null, loadingSurveys: boolean, surv
     }
 }
 
+function piiMaskingMenuItem(
+    piiMaskingEnabled: boolean,
+    piiMaskingColor: string,
+    togglePiiMasking: () => void,
+    setPiiMaskingColor: (color: string) => void
+): LemonMenuItem[] {
+    return [
+        {
+            icon: piiMaskingEnabled ? <IconEye /> : <IconHide />,
+            label: piiMaskingEnabled ? 'Show PII' : 'Hide PII',
+            onClick: (e: React.MouseEvent) => {
+                e.preventDefault()
+                e.stopPropagation()
+                togglePiiMasking()
+            },
+            custom: true,
+        },
+        piiMaskingEnabled
+            ? {
+                  icon: (
+                      <div
+                          className="w-4 h-4 rounded border"
+                          // eslint-disable-next-line react/forbid-dom-props
+                          style={{ backgroundColor: piiMaskingColor }}
+                      />
+                  ),
+                  label: 'PII masking color',
+                  placement: 'right',
+                  disabled: !piiMaskingEnabled,
+                  items: PII_MASKING_PRESET_COLORS.map((preset) => ({
+                      icon: (
+                          <div
+                              className="w-4 h-4 rounded border"
+                              // eslint-disable-next-line react/forbid-dom-props
+                              style={{ backgroundColor: preset.value }}
+                          />
+                      ),
+                      label: preset.label,
+                      onClick: () => {
+                          setPiiMaskingColor(preset.value)
+                      },
+                      active: piiMaskingColor === preset.value,
+                      custom: true,
+                  })),
+              }
+            : undefined,
+    ].filter(Boolean) as LemonMenuItem[]
+}
+
 function MoreMenu(): JSX.Element {
-    const { hedgehogMode, theme, posthog } = useValues(toolbarLogic)
-    const { setHedgehogMode, toggleTheme, setVisibleMenu } = useActions(toolbarLogic)
+    const { hedgehogMode, theme, posthog, piiMaskingEnabled, piiMaskingColor } = useValues(toolbarLogic)
+    const { setHedgehogMode, toggleTheme, setVisibleMenu, togglePiiMasking, setPiiMaskingColor } =
+        useActions(toolbarLogic)
 
     const [loadingSurveys, setLoadingSurveys] = useState(true)
     const [surveysCount, setSurveysCount] = useState(0)
 
     useEffect(() => {
-        posthog?.surveys?.getSurveys((surveys) => {
+        posthog?.surveys?.getSurveys((surveys: any[]) => {
             setSurveysCount(surveys.length)
             setLoadingSurveys(false)
         }, false)
@@ -180,7 +237,8 @@ function MoreMenu(): JSX.Element {
                         label: `Switch to ${currentlyLightMode ? 'dark' : 'light'} mode`,
                         onClick: () => toggleTheme(),
                     },
-                    postHogDebugInfo(posthog, loadingSurveys, surveysCount),
+                    ...piiMaskingMenuItem(piiMaskingEnabled, piiMaskingColor, togglePiiMasking, setPiiMaskingColor),
+                    postHogDebugInfoMenuItem(posthog, loadingSurveys, surveysCount),
                     {
                         icon: <IconQuestion />,
                         label: 'Help',
diff --git a/frontend/src/toolbar/bar/piiMaskingStyles.ts b/frontend/src/toolbar/bar/piiMaskingStyles.ts
new file mode 100644
index 0000000000..59bd0f38d5
--- /dev/null
+++ b/frontend/src/toolbar/bar/piiMaskingStyles.ts
@@ -0,0 +1,96 @@
+interface Color {
+    r: number
+    g: number
+    b: number
+}
+
+const lighten = (color: Color, amount: number): Color => {
+    const newR = Math.min(255, color.r + amount)
+    const newG = Math.min(255, color.g + amount)
+    const newB = Math.min(255, color.b + amount)
+    return { r: newR, g: newG, b: newB }
+}
+
+const darken = (color: Color, amount: number): Color => {
+    const newR = Math.max(0, color.r - amount)
+    const newG = Math.max(0, color.g - amount)
+    const newB = Math.max(0, color.b - amount)
+    return { r: newR, g: newG, b: newB }
+}
+
+const parseColorFromHex = (hex: string): Color => {
+    const r = parseInt(hex.substring(0, 2), 16)
+    const g = parseInt(hex.substring(2, 4), 16)
+    const b = parseInt(hex.substring(4, 6), 16)
+    return { r, g, b }
+}
+
+const colorToHex = (color: Color): string => {
+    return `#${color.r.toString(16).padStart(2, '0')}${color.g.toString(16).padStart(2, '0')}${color.b.toString(16).padStart(2, '0')}`
+}
+
+const getColorPalette = (color: string): [Color, Color, Color, Color, Color] => {
+    const hex = color.replace('#', '')
+    const baseColor = parseColorFromHex(hex)
+
+    const color1 = darken(baseColor, 30)
+    const color2 = darken(baseColor, 15)
+    const color3 = baseColor
+    const color4 = lighten(baseColor, 15)
+    const color5 = darken(baseColor, 15)
+
+    return [color1, color2, color3, color4, color5]
+}
+
+export const generatePiiMaskingCSS = (baseColor: string): string => {
+    const [color1, color2, color3, color4, color5] = getColorPalette(baseColor).map(colorToHex)
+
+    return `
+        @keyframes shimmer {
+            0% {
+                background-position: -200% 0;
+            }
+            100% {
+                background-position: 200% 0;
+            }
+        }
+        .ph-no-capture {
+            position: relative !important;
+        }
+        .ph-no-capture::before {
+            content: '';
+            position: absolute;
+            inset: 0;
+            background: linear-gradient(
+                90deg,
+                ${color1} 0%,
+                ${color2} 20%,
+                ${color3} 40%,
+                ${color4} 60%,
+                ${color5} 80%,
+                ${color1} 100%
+            );
+            background-size: 200% 100%;
+            animation: shimmer 6s ease-in-out infinite;
+            z-index: 999999;
+            pointer-events: none;
+        }
+        .ph-no-capture img,
+        .ph-no-capture video {
+            opacity: 0 !important;
+        }
+        .ph-no-capture * {
+            color: transparent !important;
+            text-shadow: none !important;
+        }
+    `
+}
+
+export const PII_MASKING_PRESET_COLORS = [
+    { label: 'Grey', value: '#888888' },
+    { label: 'Red', value: '#aa7777' },
+    { label: 'Blue', value: '#7788aa' },
+    { label: 'Green', value: '#88aa88' },
+    { label: 'Purple', value: '#9988aa' },
+    { label: 'Orange', value: '#aa9988' },
+] as const
diff --git a/frontend/src/toolbar/bar/toolbarLogic.ts b/frontend/src/toolbar/bar/toolbarLogic.ts
index 2fa9472ad6..c3f6ab2d94 100644
--- a/frontend/src/toolbar/bar/toolbarLogic.ts
+++ b/frontend/src/toolbar/bar/toolbarLogic.ts
@@ -12,9 +12,11 @@ import { experimentsTabLogic } from '~/toolbar/experiments/experimentsTabLogic'
 import { toolbarConfigLogic } from '~/toolbar/toolbarConfigLogic'
 import { TOOLBAR_CONTAINER_CLASS, TOOLBAR_ID, inBounds, makeNavigateWrapper } from '~/toolbar/utils'
 
+import { generatePiiMaskingCSS } from './piiMaskingStyles'
 import type { toolbarLogicType } from './toolbarLogicType'
 
 const MARGIN = 2
+const PII_MASKING_STYLESHEET_ID = 'posthog-pii-masking-styles'
 
 export type MenuState =
     | 'none'
@@ -91,6 +93,8 @@ export const toolbarLogic = kea<toolbarLogicType>([
         setFixedPosition: (position: ToolbarPositionType) => ({ position }),
         setCurrentPathname: (pathname: string) => ({ pathname }),
         maybeSendNavigationMessage: true,
+        togglePiiMasking: (enabled?: boolean) => ({ enabled }),
+        setPiiMaskingColor: (color: string) => ({ color }),
     })),
     windowValues(() => ({
         windowHeight: (window: Window) => window.innerHeight,
@@ -189,6 +193,20 @@ export const toolbarLogic = kea<toolbarLogicType>([
                 setCurrentPathname: (_, { pathname }) => pathname,
             },
         ],
+        piiMaskingEnabled: [
+            false,
+            { persist: true },
+            {
+                togglePiiMasking: (state, { enabled }) => enabled ?? !state,
+            },
+        ],
+        piiMaskingColor: [
+            '#888888' as string,
+            { persist: true },
+            {
+                setPiiMaskingColor: (_, { color }) => color,
+            },
+        ],
     })),
     selectors({
         position: [
@@ -428,6 +446,31 @@ export const toolbarLogic = kea<toolbarLogicType>([
                 )
             }
         },
+        togglePiiMasking: () => {
+            const styleElement = document.getElementById(PII_MASKING_STYLESHEET_ID) as HTMLStyleElement | null
+
+            if (values.piiMaskingEnabled) {
+                if (!styleElement) {
+                    const newStyleElement = document.createElement('style')
+                    newStyleElement.id = PII_MASKING_STYLESHEET_ID
+                    document.head.appendChild(newStyleElement)
+                    newStyleElement.textContent = generatePiiMaskingCSS(values.piiMaskingColor)
+                } else {
+                    styleElement.textContent = generatePiiMaskingCSS(values.piiMaskingColor)
+                }
+            } else {
+                if (styleElement) {
+                    styleElement.remove()
+                }
+            }
+        },
+        setPiiMaskingColor: async ({ color }) => {
+            const styleElement = document.getElementById(PII_MASKING_STYLESHEET_ID) as HTMLStyleElement | null
+
+            if (styleElement && values.piiMaskingEnabled) {
+                styleElement.textContent = generatePiiMaskingCSS(color)
+            }
+        },
     })),
     afterMount(({ actions, values, cache }) => {
         // Add window event listeners using disposables
@@ -454,6 +497,27 @@ export const toolbarLogic = kea<toolbarLogicType>([
             'historyProxy'
         )
 
+        // Initialize PII masking if already enabled
+        // Remove stylesheet on unmount
+        cache.disposables.add(() => {
+            if (values.piiMaskingEnabled) {
+                let styleElement = document.getElementById(PII_MASKING_STYLESHEET_ID) as HTMLStyleElement | null
+                if (!styleElement) {
+                    styleElement = document.createElement('style')
+                    styleElement.id = PII_MASKING_STYLESHEET_ID
+                    document.head.appendChild(styleElement)
+                }
+                styleElement.textContent = generatePiiMaskingCSS(values.piiMaskingColor)
+            }
+
+            return () => {
+                const styleElement = document.getElementById(PII_MASKING_STYLESHEET_ID)
+                if (styleElement) {
+                    styleElement.remove()
+                }
+            }
+        }, 'piiMasking')
+
         // the toolbar can be run within the posthog parent app
         // if it is then it listens to parent messages
         const isInIframe = window !== window.parent