Author: Matt Whitlock 2014-03-29 14:10:38
Published on: 2014-03-29T14:10:38+00:00
In a conversation dated March 29, 2014, Mike Hearn expressed concerns regarding the splitting of a private key among directors of an organization. He argued that at some point, someone would have to retrieve the full private key and could easily undo the system by remembering the private key. Hearn suggested that CHECKMULTISIG could prevent this problem in corporate accounts. However, he acknowledged that there may be occasional uses for splitting a wallet seed, such as higher security cold wallets. Hearn pointed out that multisig does not allow for the topology he described. For example, a board with seven directors would require the consent of six individuals to sign a transaction. A 6-of-9 multisig would not work since any six board members could sign a transaction without the president or CFO's consent. Hearn suggested that Shamir's Secret Sharing could be used to distribute keys at the second level if hierarchical threshold topologies were desired.
Updated on: 2023-06-08T17:03:06.438597+00:00