The world’s largest crypto exchange by trading volume has introduced a new self-custody wallet that enables one-click access to the blockchain from the platform’s mobile app. Binance says the new wallet serves as a bridge between the exchange and decentralized finance (DeFi) ecosystems and allows users to take charge of their own assets, trade tokens […]
The post Crypto Giant Binance Unveils New Self-Custody Wallet Compatible With 36 Different Chains appeared first on The Daily Hodl.
Progmat Coin hopes to issue yen- and dollar-pegged “trust-type” stablecoins next summer to accommodate around-the-clock settlement.
The Progmat Coin ecosystem is taking shape in Japan. With a market maker, wallet provider and cryptocurrency exchanges on board, Progmat and Mitsubishi UFJ Financial Group (MUFG) hope to launch two stablecoins in the summer of 2024.
Stablecoin platform Progmat Coin, MUFG and wallet provider Ginco have begun a study with the goal of issuing a yen-denominated XJPY stablecoin and dollar-denominated XUSD stablecoin, Progmat said in a statement. This is in addition to the platform's function enabling stablecoin issuance.
#japan #stablecoin #crypto #payments@ginco_inc, Mitsubishi UFJ Trust and Banking, and #Progmat are starting a joint study to introduce an “infrastructure stablecoin” with the aim of improving the settlement efficiencies among the players in the crypto asset market by leveraging… pic.twitter.com/Ei3I7t2bVb
— Norbert Gehrke (@norbertgehrke) November 7, 2023
Liquidity provider Cumberland and crypto exchanges Bitbank and Mercoin also figure into the Progmat plans, and other crypto asset-related businesses are invited to join. Binance Japan announced in September that it was conducting a joint study with MUFG on the issuance of stablecoins pegged to various currencies.
Related: Japan to allow startups to raise funds by issuing crypto instead of stocks: Report
The XJPY and XUSD stablecoins will beintended to improve the efficiency of settlements between crypto asset exchanges, with XUSD for use in cross-border settlements. Japanese crypto exchanges use banks for settlement, according to the Tokyo Fin Tech blog, causing delays that the Progmat system will eliminate.
MUFG introduced the Progmat platform in February 2022 in a consortium with other large Japanese banks. It is regulated under the revised Payment Services Act that came into effect in June 2023. The revised act provides for three types of stablecoin. Progmat would support the “trust” type coin, issued by trust banks.
MUFG said in June that Progmat would be used for banks to issue stablecoins on Ethereum, Polygon, Avalanche and Cosmos. Only banks are allowed to issue stablecoins under Japanese law, and stablecoins on Progmat will be required to undergo licensing ahead of launch.
Progmat Coin is not working in a vacuum. Blockchain startup Soramitsu is exploring a new stablecoin exchange for cross-border payments to Asian countries using Camboodia’s central bank digital currency as well as stablecoin. Tokyo-based startup G.U. Technologies is also reportedly creating a stablecoin platform.
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The Binance Web3 wallet has been launched within the primary Binance app, which is predominantly used for trading cryptocurrencies.
Crypto exchange Binance announced the launch of its new Web3 wallet at the Binance Blockchain Week conference in Istanbul, to be made available to all users via the Binance mobile app.
During the launch, Changpeng “CZ” Zhao, CEO of Binance, revealed the intent behind launching the service:
“Web3 wallets represent more than just storing digital assets — they are an integral part of the Web3 framework, empowering individuals with the ability for self-sovereign finance.”
For the purpose of simplicity, Binance’s Web3 wallet launches within the primary Binance app, which is predominantly used for trading cryptocurrencies. The wallet uses multiparty computation (MPC), which is used to break a user’s private keys into three smaller parts known as key shares.
“Having the key shares split across three different locations mitigates the risk of the keys being compromised and reduces the vulnerability of the system.”
Two of the three key shares will be controlled by the user at all times, allowing for self-custody. Binance spokesperson confirmed with Cointelegraph that the Binance Web3 Wallet is not available to users in the US as Binance.com is not available in the US. CZ added:
“Binance’s Web3 Wallet lowers the barriers of entry for users to achieve full self-custody of their assets, and it is an important, convenient bridge towards DeFi empowerment. Ultimately, our priority is to ensure users can explore Web3 with us within a user-friendly and protected environment.”
According to Richard Teng, head of regional markets at Binance, the MPC technology removes the fear of losing one’s seed phrase. “We want our users to be assured that they are interacting with Web3 within a secure and protected ecosystem. That is why we have incorporated MPC technology as well as Binance’s trusted security infrastructure within the Web3 Wallet,” he added.
Speaking to Cointelegraph, a Binance spokesperson clarified that users should still safeguard their wallet’s assets and access.
"If a user forgets their recovery password AND loses their device/delete the Binance app, they won’t be able to access their Web3 Wallet and Binance will not be able to restore it for them."
The three shares of the keys will be held in three places — the first part will be with Binance, the second part will get stored locally on the user's mobile phone and the third part will get encrypted by the user's recovery password and backed up to their personal cloud storage such as iCloud or Google Drive.
Related: Binance France director resigns, adding to list of exits from crypto exchange
Binance’s decision to delve into other crypto services comes at a time when its spot trading business appears to be struggling to retain investors. A report from blockchain analytics firm 0xScope suggested that Binance’s spot trading market share fell to 40% in 2023. According to the researchers:
“Binance’s spot trading volume has seen a significant decline in the past year, perhaps due to its listing strategy. Most popular coins experienced a downturn immediately after being listed on Binance.”
On the contrary, Korean crypto exchange Upbit saw the most significant increase, with its spot market share increasing from 5% to 15.3% during the same period. CZ, too, saw his net worth slashed by 38% amid a slump in exchange volumes, according to the Bloomberg Billionaires Index.
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SK Telecom aims to expand its “affiliations with customer-preferred mainnets and decentralized applications (dApps)” using this tripartite agreement with the blockchain companies.
South Korean telecom giant SK Telecom (SKT) announced plans to launch a Web3 wallet service, T wallet, in partnership with layer 1 mainnet Aptos Labs and Atomrigs Lab.
SK Telecom’s vision to launch a blockchain wallet for cryptocurrencies and nonfungible tokens (NFTs) dates back to July 2022. The initiative at the time kicked off with SKT’s blockchain arm collaborating with AhnLab Blockchain Company and Atomix Lab to develop and operate a Web3 wallet.
SKT가 '웹3 지갑' 개발을 위해 안랩블록체인컴퍼니, 블록체인 전문기업 아톰릭스랩과 협력합니다. 웹3 지갑은 사용자가 블록체인 네트워크 상에서 발행된 다양한 유형의 토큰을 저장·전송·수신할 수 있는 디지털 자산 지갑입니다. ▶https://t.co/bi8SIDKK2M#SK텔레콤 #블록체인 pic.twitter.com/HFGCl3cIN8
— SK telecom (@SKtelecom) July 11, 2022
According to the latest announcement, SKT aims to expand its “affiliations with customer-preferred mainnets and decentralized applications (dApps)” using this tripartite agreement with the blockchain companies.
“Through the collaboration with Aptos, which marks our first non- Ethereum Virtual Machine (EVM) blockchain integration, SKT is committed to delivering a seamless and secure Web3 experience for our users.”
In an official tweet, SKT committed to delivering a seamless and secure Web3 experience for users.
SK telecom signed a tripartite agreement with #Aptos, a rapidly-emerging and scaling layer 1 mainnet, and Atomrigs Lab, SK telecom’s technology partner. Through the collaboration with Aptos, SK telecom is committed to delivering a seamless and secure Web3 experience for users. pic.twitter.com/Ga9qoZz84W
— SK telecom (@SKtelecom) November 7, 2023
The partnership will also see T wallet’s integration into Aptos’ decentralized application (dApp) ecosystem and adoption of its MoveVM blockchain technology.
Related: South Korea passes bill to make officials disclose Bitcoin holdings
South Korea’s National Tax Service (NTS) recently revealed that residents hold more than 70% of their overseas assets in cryptocurrency.
According to the official data, 5,419 entities reported their overseas financial accounts, holding a total of 186.4 trillion won ($140 million) in assets like cryptocurrencies and stocks, as well as deposits and savings.
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Rain Lõhmus, the founder of LHV Bank told Estonian media last month he’s not made much effort to recover the funds, but is willing to pay someone who can.
The founder of Estonia-based LHV Bank, Rain Lõhmus, has been revealed as the owner of a massive 250,000 Ether (ETH) stash bought during the Ethereum ICO, which is now worth an eye-watering $470 million.
There's only one problem. He no longer has the keys.
In February, Coinbase director Conor Grogan highlighted a Ethereum whale wallet containing some $470 million worth of ETH, untouched since the blockchain’s genesis.
In an Nov. 6 update on X (Twitter), Conor highlighted Lõhmus’ comments in a recent interview that now tie him to the $470 million worth of trapped ETH.
“One mystery solved,” wrote Grogan who shared an excerpt of an Oct. 31 ERR News report on an earlier Vikerraadio interview with Lõhmus.
One mystery solved: This address (which now holds $450M of crypto) belongs to Rain Lohmus, founder of LHV Bank
— Conor (@jconorgrogan) November 6, 2023
Unfortunately he lost his keys and can't access these 100s of millions. If you can help him recover them somehow, he's willing to split them with you https://t.co/wYLAU9gKzb pic.twitter.com/0A1nIjFSyn
“Unfortunately he lost his keys and can't access these 100s of millions. If you can help him recover them somehow, he's willing to split them with you,” Grogan added.
According to ERR’s report, Lõhmus said it was “no secret” he owned a wallet with 250,000 ETH which he lost the password to and hasn’t made much effort to recover.
“I can't solve this alone; if someone thinks they can, I'll take all offers,” Lõhmus said.
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“It's very common for me to lose passwords,” he said, adding that losing access to funds was a “weak point” of blockchain systems.
In total, Lõhmus’ Ether purchase was $75,000 as ETH’s price at launch was around 30 cents.
At Ether’s Nov. 10, 2021, price peak of nearly $4,900 — Lõhmus stuck stash was worth $1.22 billion.
Lõhmus’ wallet today still has an impressive 628,757% gain and according to Grogan’s February X post had $6.5 million worth of airdrops to boot.
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As Telegram prepares to roll out Telegram Wallet as a native setting on the messenger in November, it’s important to understand why Wallet opted for custody over self-custody.
Telegram Wallet, a major Telegram bot allowing users to buy and sell cryptocurrencies like Bitcoin (BTC), has chosen custody over self-custody to chase easier onboarding goals, according to a senior executive.
In July 2023, crypto-friendly Telegram messenger officially announced the integration of the custodial crypto wallet, Telegram Wallet, to allow users to access the wallet directly from the messenger’s settings.
Though Telegram has enabled existing Wallet users to see the wallet bot directly in the messenger, those who have never used the bot are still not seeing the crypto wallet in their settings section of the messenger.
According to Telegram Wallet chief operating officer Halil Mirakhmed, the full Wallet rollout is expected to begin sometime in November 2023, starting with “several African and Latin American countries.” With the rollout, Telegram users in select countries can access the Wallet and start buying, selling and transacting cryptocurrencies like Bitcoin (BTC).
“The rollout will continue throughout MENA, South East Asia, Central Asia, and Eastern Europe,” Mirakhmed told Cointelegraph, adding:
“Once the global rollout has concluded, Wallet will become available in the Telegram settings menu throughout the world, with the exception of the jurisdictions in which Wallet does not operate.”
As Telegram Wallet anticipates the soon-to-come rollout of its crypto wallet to millions of Telegram users, it's important to note that the wallet bot is not self-custodial.
Unlike major self-custodial wallets, like MetaMask, the Telegram Wallet bot operates a custodial wallet currently, meaning that users entrust their coins to a third party and do not own their assets directly. For example, to withdraw Bitcoin from the Telegram Wallet, users must have enough BTC to cover Telegram Wallet’s fees, which may sometimes be more expensive than the native fees on the Bitcoin network.
According to Telegram Wallet’s chief operating officer, the wallet bot platform opted for a custodial solution instead of a self-custodial one for several reasons, including easy onboarding of new users.
“If you want to introduce as many people as possible to crypto, self-custody becomes exceedingly difficult,” Mirakhmed said in an interview with Cointelegraph.
“Imagine if you’ve never used crypto before and your go-to solution for now, let’s say, is a non-custodial wallet on Ether,” the chief operating officer said. The exec stressed that before using a self-custodial wallet, one has to sort out how to store the seed phrase and figure out how to deal with the wallet, whether it’s a Chrome extension or an app.
Related: Fake Ledger Live app sneaks into Microsoft’s app store, $588K stolen
One should also be ready to pay gas fees to transact Ether (ETH), which adds too much complexity to a non-crypto native user, Telegram Wallet COO believes.
In contrast to self-custodial wallets, Telegram Wallet aims to help users start using crypto the exact moment they click on Wallet on their Telegram settings, Mirakhmed said:
“First of all, the onboarding is very simple. Secondly, you already have a few chains on there. And thirdly, when you want to send someone any assets, you just use a telephone contact. So I can send money to you on Telegram rather than having to know what your address is. It all happens within Telegram.”
Cointelegraph previously reported on the issue of understanding cryptocurrency custody and choosing between custodial wallet solutions and self-custodial ones. Long story short, custodial wallets are more convenient but significantly less safe, while self-custodial, or non-custodial wallets, are less convenient but more secure. The biggest issue of using a self-custodial solution is the user's sole responsibility to keep the private key, or the seed phrase, safe, in order to keep owning a crypto asset.
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Nocturne, Untangled Finance, Account Labs, Rymedi, and Waterfall network secure venture capital funding in the latest funding blitz.
Blockchain-based startups continue to gather funding during the current bear market, with MetaMask partner Blockaid raising $33 million in October. However, the overall funding in the crypto industry has dropped to levels last seen in 2020, amassing $2.1 billion over 297 deals in the third quarter of 2023, as reported by Messari. As is often the case during bear markets, investors are taking a closer look at projects before investing and apparently seeking tangible real-world applications.
As part of October’s highlights, the Nature Science Journal discussed applications of blockchain technology, praising decentralized autonomous organizations (DAOs) for their potential to support underfunded scientific research. Cointelegraph’s venture capital (VC) roundup features projects that raised capital in October.
London-based fintech Untangled Finance has raised $13.5 million to accelerate efforts to bring institutional-grade credit with a built-in liquidation mechanism on-chain. Fasanara Capital was the lead investor in the round. The platform’s protocol focuses on tokenizing real-world private credit assets, such as invoices and SME loans, into on-chain structured credit pools. These pools, in turn, facilitate the issuance of collateralized debt notes to both DeFi and TradFi investors, Untangled noted in a statement. The protocol concentrates on private credit markets, where it sees the most utility for DeFi. Through the funds, Untangled plans to access more than 130 verified asset originators spanning 60 countries.
Nocturne, a protocol enabling on-chain private accounts, announced a $6 million seed funding round co-led by Bain Capital Crypto and Polychain Capital with participation from Vitalik Buterin and other members of the Ethereum community. Other investors include Bankless Ventures, HackVC and Robot Ventures. The company plans to launch on mainnet in the coming weeks, according to a statement. Nocturne offers a solution that combines stealth addresses, zero-knowledge proofs, and account abstraction to enable private accounts on public blockchains. The seed round will accelerate the production and deployment of Nocturne’s protocol across various ecosystems. A portion of the round will also go to legal work as the team continues to adapt to changing regulatory requirements.
1/ We're excited to announce our $6M seed round co-led by @BainCapCrypto & @polychain with participation from @VitalikButerin and other members of the Ethereum community.
— Nocturne (@nocturne_xyz) October 25, 2023
This round will fund the deployment and continued development of private accounts on Ethereum. pic.twitter.com/ve25yJp6iI
Web3 wallet provider Account Labs announced raising US$7.7 million from lead investors Amber Group, MixMarvel DAO Ventures, and Qiming Ventures, among other participants. This announcement coincides with the launch of the company's first consumer-facing app, UniPass Wallet, on Polygon. According to Account Labs, its UniPass Wallet app leverages account abstraction to allow users to create and access a self-custody Web3 wallet with only a Google account and top up with any Mastercard or Visa card. Account Labs was formed from the merger of hardware wallet developer Keystone and software wallet developer UniPass in May 2023. The company hopes to address the demand for stablecoin transactions in the Southeast Asia region.
Rymedi, a blockchain-based healthcare data exchange platform, announced a Series A round of $9 million to expand its reach. The round was co-led by RW3 Ventures and White Star Capital with participation from Blockchange Ventures, Avalanche’s Blizzard Fund, and strategic angel investors from the healthcare industry. Rymedi claims to serve over 1 million patients in over 1,200 locations across the United States, Africa, and Australia. The funds will be used to increase data security and healthcare record accessibility for patients. “We are always searching for great teams that are using blockchain technology to solve real-world problems with the potential to address global markets,” said in a statement Pete Najarian, managing partner of RW3 Ventures.
Layer-1 protocol Waterfall Network has raised $2M ahead of its mainnet launch, which is expected to take place during the first quarter of 2024. Infrastructure provider Bytrade Lab led the funding. Bytrade Lab has become a key investor and user of Waterfall Network following a six-month trial of its tech infrastructure, according to a statement. The protocol is Ethereum Virtual Machine (EVM) compatible and employs a technology called Directed AcyclicGraph or “DAG,” which allegedly allows for unlimited scalability. Waterfall is also collaborating with BlueWave Corporation to develop its smart contract platform.
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The Backpack crypto wallet has bagged operational licenses across several jurisdictions worldwide over the past five months, according to the company announcement.
The Dubai Virtual Assets Regulatory Authority (VARA) has issued a Virtual Asset Service Provider (VASP) license to the crypto wallet Backpack, resulting in the launch of Backpack Exchange.
Backpack’s VARA license is limited to crypto exchange services in Dubai and does not allow the company to offer any other of its virtual asset products and services. According to the announcement, Backpack Exchange incorporates zero-knowledge (ZK) proof-of-reserves, multi-party computation (MPC) for custody and low-latency order execution, among other features.
The announcement also revealed that Backpack Exchange had bagged operational licenses across several jurisdictions worldwide over the past five months.
Sign up for the waitlist https://t.co/44tITBLJSA https://t.co/Wy5zQQLLum pic.twitter.com/aTE9FqmyJ3
— Backpack (@xNFT_Backpack) October 31, 2023
The flagship Backpack Wallet currently stands as an unregulated product; however, it is designed to help users transition from fiat to on-chain applications in the future. Backpack CEO and co-founder Armani Ferrante shared his intent to “put an end” to the opacity of crypto exchanges.
Speaking against the norm of running full-fledged crypto exchanges with a single point of failure and without proof-of-reserves or auditability, Ferrante stated:
“Using cryptographic techniques like zk-proofs, MPC, and state machine replication, Backpack Exchange hopes to raise the bar for transparency and compliance to demonstrate the best this technology has to offer. Don’t trust, verify.”
Existing Backpack and Mad Lads users will gain initial access to Backpack Exchange from November 2023 and will be made public in Q1 2024. During this time, Backpack plans to add various trading functionalities, such as derivatives, margin and cross-collateral into its offerings.
Backpack has not yet responded to Cointelegraph’s request for comment.
Related: Nomura’s crypto arm Laser Digital bags Dubai VARA license
Dubai VARA regulator issued various degrees of operational licenses to numerous crypto exchanges over the past year, further strengthening its position as a crypto-friendly jurisdiction.
⚠️Dubai News
— Irina ₿. Heaver (@IrinaHeaver) February 7, 2023
Dubai's Vurtual Assets and Regulatory Authority issued the long-awaited Full Market Regulations for Vurtual Assets Services Providers (VASPs).
In February 2023, the regulator issued new guidelines for VASPs operating within the emirate. All crypto exchanges must adhere to marketing, advertising and promotion regulations. Violators will be fined between 20,000 UAE dirhams ($5,500) and 200,000 dirhams ($55,000), and repeat offenders could see fines as high as 500,000 dirhams ($135,000).
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This week’s Crypto Biz looks at BlockFi’s emergence from bankruptcy, BlackRock’s spot Bitcoin ETF developments, Worldcoin’s operator payment scheme upgrades and more.
Crypto lender BlockFi announced its emergence from insolvency this week, just a few days after FTX announced that it successfully reclaimed approximately $7 billion in assets. FTX debtors, comprising FTX and affiliates, estimate that $8.7 billion has been misappropriated from customers. BlockFi has lent FTX more than $650 million, making it one of the exchange’s largest creditors, which means its customers’ repayment success is tied to FTX’s ability to recover its assets.
FTX’s new management is also carefully considering its future options, including selling the entire exchange — which includes its extensive customer base of over nine million — or partnering with another entity to revive the exchange. The possibility of an independent comeback is also on the table.
BlockFi, on the other hand, has no option but to wind down operations, according to its court filings.
This week’s Crypto Biz looks at BlockFi’s emergence from bankruptcy, BlackRock’s spot Bitcoin exchange-traded fund (ETF) developments, and changes in Worldcoin’s payment scheme.
There’s finally a light at the end of the tunnel for creditors of some of the bankrupted companies from 2022’s crypto bear market. Roughly a year after filing for bankruptcy, companies such as FTX and BlockFi have started to return their customers’ funds.
The iShares spot Bitcoin ETF proposed by investment firm BlackRock has been listed on the Depository Trust & Clearing Corporation (DTCC), suggesting potential approval by the United States Securities and Exchange Commission. In an Oct. 23 X (formerly Twitter) thread, Bloomberg ETF analyst Eric Balchunas said the DTCC listing was “all part of the process” of bringing a crypto ETF to market. “This is [the] first spot ETF listed on DTCC, none of the others on there (yet),” said Balchunas. Balchunas speculated that BlackRock may have already received the green light for listing the ETF from the SEC or was “prepping everything assuming so.” Based on the date of BlackRock’s application, the SEC has until Jan. 10, 2024, to reach a final decision on approval or denial of the ETF.
The iShares Bitcoin Trust has been listed on the DTCC (Depository Trust & Clearing Corporation, which clears NASDAQ trades). And the ticker will be $IBTC. Again all part of the process of bringing ETF to market.. h/t @martypartymusic pic.twitter.com/8PQP3h2yW0
— Eric Balchunas (@EricBalchunas) October 23, 2023
Crypto lending platform BlockFi has emerged from bankruptcy and is ready to pay back some of its creditors, according to a blog post on Oct. 24. Withdrawals “are currently available to nearly all Wallet customers,” the post stated, adding that BlockFi Interest Account and Loan customers will be able to withdraw some assets in early 2024. BlockFi’s emergence from bankruptcy means it can now attempt to recover assets from other firms it believes owe it money. This includes bankrupt crypto platforms such as Three Arrows Capital and FTX. The total amount of distributed funds will depend on BlockFi’s success in FTX bankruptcy litigation, among other factors.
Hardware wallet firm Ledger is rolling out its cloud-based private key recovery solution despite facing significant criticism from the crypto community. Provided by blockchain protection platform Coincover, the solution is a paid subscription service allowing users to back up their secret recovery phrase. The rollout comes months after Ledger paused the recovery service in May 2023 in response to community backlash. Ledger CEO Pascal Gauthier subsequently said that the firm would launch the product only after its open-source code was released. The code for the Ledger Recover is now available on GitHub.
Worldcoin is set to begin paying its Orb Operators — those rewarded for scanning people’s eyes — with its native Worldcoin (WLD) token, phasing out USD Coin (USDC) as early as next month. The change will affect most jurisdictions. Worldcoin said the move to pay orb operators entirely in WLD was part of a “transitional phase” following the official launch of the project on July 24. Data from Worldcoin’s official Dune Analytics dashboard shows that the supply of the WLD token has grown from approximately 100 million at the time of launch to around 134 million as of this week.
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Cryptocurrency exchange Bitget has released a MPC wallet to improve asset security and user experience.
Cryptocurrency exchange and derivatives platform Bitget has launched a new wallet service using multi-party computation (MPC) to improve security and key management for users.
Following the launch of its account abstraction wallet service powered by Ethereum scaling protocol Starknet in July 2023, Bitget has employed MPC to overhaul private key and asset management.
MPC technology uses a distributed key generation mechanism that distributes multiple key shares to different locations that are controlled by multiple parties. This enables a process that requires the owners of distributed private key shares to sign and authorize the transaction.
The MPC wallet features a "mnemonic-free" user experience, removing a long-time industry standard that relied on users storing or memorizing mnemonic phrases and private keys. Assets are instead managed using password-based authentication, which Bitget touts to eliminate the risk of a single-point private key exposure.
The exchange notes that the development is aimed to mirror the user experience typically found in traditional Web2 products and services. At a more technical level, Bitget’s MPC wallet relies on a threshold signature scheme, uses secure “large prime numbers” and features a 2/3 threshold setup.
The latter feature is designed for consumer-grade users, introducing a minimum number for signature authorization requiring just two-thirds of the total key shares to complete a signature to authorize a transaction.
Related: Trezor releases new hardware wallet and metal private key backup
The last key share is securely stored on a backup cloud server, ensuring an elevated level of decentralization and security.
The MPC wallet also introduces a reshare mechanism that invalidates key shares on old devices when newer devices are connected. This is aimed at removing the risk of key shares potentially being compromised on outdated or forgotten devices.
Users can also configure standalone transaction passwords which ensure that key shares that are held by Bitget’s server can only be used to complete signatures with the users' active consent.
Cryptocurrency self-storage has become an increasingly important part of the wider ecosystem in the wake of major failures of centralized players like FTX. In March 2023, hardware wallet manufacturer Ledger raised $109 million to increase its hardware production and explore the creation of new products.
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