Author: Michael Flaxman 2021-07-20 19:44:19
Published on: 2021-07-20T19:44:19+00:00
A new method has been devised to prevent privacy leaks in multisig quorums using BIP32 paths. The working code with broadcasted transactions for this can be found on GitHub. This scheme offers some new features such as preventing unauthorized parties from accessing the BIP39 seed phrase and learning about transactions in any multisig quorum that seed participates in. It also allows trusted-minimized third parties to hold an emergency recovery key in a multisig quorum without any knowledge of what that key protects. This scheme has been active on mainnet for some time and is supported by several Coordinators and Signers. Large sums of bitcoin are currently being held with it. The hope behind publishing this method is to encourage more interoperable hardware wallet/coordinator software support for enhanced privacy along with improving user experience. Feedback is welcome.
Updated on: 2023-05-21T03:19:55.932490+00:00