Multi-signature wallet concept
Multi-Sig stands for multi-signature, which is a specific type of digital signature that allows more than two users to sign as a group. Therefore, multi-signatures are generated by combining multiple single signatures.
For example, imagine a safe with two locks and two keys, one key held by A and the other by B. The only way to open this safe is for two people, A and B, to provide the keys to unlock the lock at the same time. If you only have one of the keys, you cannot open the safe.
Generally speaking, it means assigning the asset control rights of the wallet address to more than two people, which can help users better protect their wallet assets.
Applicable scene
1. Multiple people are required to manage assets to prevent assets from being misappropriated by individuals;
2. Multi-signature asset management to enhance asset security;
3. Other security application scenarios.
Multi-signature wallet creation
1. Open TokenPocket, click [I don’t have a wallet] for the first time, and select [Multi-signature wallet] to create it.
Users who have used TokenPocket to create or import a wallet can open the wallet and click the first icon in the upper right corner to add a multi-signature wallet.
2. Select the network where multi-signature needs to be created in the multi-signature network. For example, if you choose Binance Smart Chain here, please carefully read the prompts in [Multi-signature Creation Process] and click Next after reading.
3. The steps to create a multi-signature wallet are the core content. Each type of content is displayed in the figure below. The content is as follows:
[Multi-signature wallet name] is the same as creating a daily wallet name. It can be customized and will not be uploaded to the chain.
[Set management wallet] Set up the management wallet of the multi-signature wallet. The multi-signature wallet is jointly managed and controlled by the management wallet. It supports up to 30 management wallet settings. The management wallet can be flexibly set up and is suitable for corporate or team asset management or diversified personal use.
[Minimum number of confirmed signatures] Set the minimum number of signatures in the wallet. When the minimum number of signatures is met, on-chain operations such as transfers and contract interactions can be initiated. It is recommended that the minimum number of confirmation signatures be set to a value greater than 2, which can take into account both security and convenience.
[Fees Information] This fee is a network fee for executing multi-signature wallet creation on the chain, and TokenPocket will not charge any fees.
[Payment Wallet] Here you can click to select the wallet address imported into the wallet to create a Gas (miner fee) payment.
When everything is set up, click [Confirm] to see the prompts for creating a multi-signature wallet. In the interface, you can click to jump to the BSC blockchain browser to view relevant creation information.
4. Wait patiently for the successful deployment of the contract to complete the creation of the multi-signature wallet. Click the menu in the upper left corner of the wallet, and you can intuitively distinguish the difference between multi-signature wallets and single-signature wallets in the wallet list, which will be more convenient when switching wallets.
5. After the multi-signature wallet is successfully created, click [Details] in the upper right corner of the blue area to view detailed information. There are two main categories: [Multi-signature Queue] and [Multi-signature Management].
6. The generated multi-sign order will be displayed in the multi-sign queue, and you can click and execute the order; in multi-sign management, you can view information such as [Minimum number of confirmed signatures], [Latest Nonce on the chain] and [Associated wallet], among which the associated wallet It is the management address. If there is an address that has not been imported, you can click [Import this wallet] to import it using the private key or mnemonic phrase.
To sum up, the multi-signature wallet on the EVM chain is a smart contract. Creating a multi-signature wallet does not require backing up mnemonic words or private keys, setting passwords, or complex codes. The key point in creating a multi-signature wallet is the reasonable settings of [Manage Wallet] and [Minimum Number of Confirmed Signatures]. Only through reasonable settings can the multi-signature wallet be maximized in security and convenience. Commonly used multi-signature methods include 2/3, 3/5, etc., which need to be selected according to personal circumstances.
Multi-signature wallet advantages
1. Improve wallet security
In a single-signature wallet, the private key that determines asset ownership and management rights is only in the hands of the individual. Once the private key is lost or the holder forgets the wallet private key or mnemonic phrase, it means that the holder loses access to the wallet. control, the assets associated with it will be lost. The existence of multi-signature wallets minimizes the risk of asset loss when a single private key is lost.
Multi-signature wallets greatly help users reduce security incidents caused by private keys being lost or stolen. Since the multi-signature wallet is controlled by two or more management wallet addresses, even if the private key of one of the wallets is leaked, the wallet assets of the multi-signature address cannot be transferred, which greatly reduces the risk of asset theft.
Taking the "2/3" multi-signature wallet model as an example, among all three management addresses, as long as two management addresses complete the signature operation, the relevant assets can be transferred. Even if one private key is lost, the assets can be controlled through the remaining two management addresses to avoid asset losses.
2. Multiple verification to avoid incorrect interactions.
Multi-signature wallets are also used for multi-verification to avoid incorrect interactions. During bank remittance, if bank staff or users make mistakes when entering their account numbers, the interaction will fail and the money will be returned to the original account; the completed interaction on the blockchain is irreversible. Once the assets are transferred to If the payment address is incorrect, the asset will not be returned. Using a multi-signature wallet, when a management address initiates an erroneous interaction, other multi-signature managers can prevent the erroneous interaction by refusing to sign when they discover the error. The more people involved in signature verification, the lower the chance of erroneous interactions.
