Multisig vs. (SSS vs. TSS)

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Lately we have on #blockchain market a lot of projects (and noise) around semi-custodial wallets, below a short tips&tricks what is important during #dyor One liners to explain: 💡no Seed Phrases 💡no Private Keys Remember about RT and ❤️

First of all above magic sentences are implemented (and explained) by another magic words like: 💡Multisig 💡MPC 💡SSS 💡TSS Lets find out what is important here to chose the best solution for our needs: Multisig vs. (SSS vs. TSS)

Multisig stands for multi-signature, which is a specific type of digital signature that makes it possible for two or more users to sign documents as a group. ⛔BUT ⚠️multisig occurs on-chain ⚠️multisig is blockchain-specific ⚠️needs to be reimplemented for every #blockchain

MPC - multiparty computation is a cryptographic protocol that distributes a computation across multiple parties where no individual party can see the other parties’ data ⛔BUT ⚠️Computational overhead ⚠️High communication costs between players

SSS - Shamir Secret Sharing - provides a way to store the PK in a distributed manner such that while the private key is at rest, it is stored in multiple locations.

⛔BUT ⚠️"the dealer" that is in charge of generating the PK secret shares ⚠️the parties must reconstruct the full PK in order to sign

TSS - Threshold Signature Scheme - is a cryptographic primitive for distributed key generation and signing 🛡️BUT ✅cryptography off-chain, while multisig occurs on-chain ✅TSS relies on pure cryptography, so support is always possible

✅TSS, no dealer, as its role is distributed such that the full PK is never at a single location. ✅TSS, the signing is done in a distributed way without ever reconstructing the secret shares.

What is the conclusion? Stay focused on projects that offer semi-custodial solution which implements TSS because: 👑In TSS, the private key (which represents the security of the system) is never at a single location throughout its entire lifetime.