Ethereum co-founder Vitalik Buterin has publicly preferred multisig over Shamir backups, saying the latter is “a recipe for ruin” for regular users.
Concerns over the security risks associated with cold wallets were sparked by X discussions among cryptocurrency enthusiasts, with Ethereum co-founder Vitalik Buterin raising concerns about potential pitfalls.
Peter Watts, founder of NFT marketplace Reservoir, cautioned against the risks of using hardware wallets, citing the risk of losing seed phrases or hastily moving assets stored in bank safe deposit boxes, especially during unforeseen circumstances such as COVID-19. 19 Plague.
The conversation took a new turn when Vitalik Buterin advocated the use of multi-signature (also known as multi-signature) solutions to protect personal funds. Buterin did not reject the idea of cold wallets, but emphasized the importance of cryptocurrency security, emphasizing decentralized security and favoring multi-signature setups that require multiple keys for transactions.
He emphasized the need for an “M-of-N” configuration, where some keys are held by users and other keys are held by trusted individuals, without revealing their identities to each other.
In response to Buterin’s proposal, Ethereum investor Tobby Kitty proposed Shamir, a backup method for splitting encryption keys or passwords into multiple parts called “shares.” Buterin acknowledged Shamir’s benefits, but warned that it was “much easier to mess up” than multisig, because so much of the secret had to be handled and stored carefully. If any of these pieces are lost or mishandled, it may be impossible to put your secret back together.