Cryptocurrency storage and custody needs better solutions!

The model T (left) now supports Shamir Secret Sharing (Source: Trezor)

Quick explainer: Shamir Secret Sharing

The scheme let’s you ‘scramble’ a sensitive string of characters (e.g. a password) and then represent those by multiple long numbers. It has a nice property that it is a threshold scheme that let’s you define how many pieces long numbers you want and how many pieces are required to recalculate the original sensitive string of characters. Revealing one long number doesn’t break confidentiality. This makes each individual long number robust against being stolen. The scheme is also agnostic to the input you give it.

  • the master password of a password manager,
  • private keys,
  • the recovery phrases / mnemonics of private keys.
“SSSS” is a tool for creating splitting the secrets as described. (See: Link)

Practical Solutions

Let me outline some possible solutions. Each has their own drawbacks.

Y’know, this thing! ^ (Image credit: Ledger, Reddit user ‘moodyrocket’)
(Source: HOPR)
(Source: Parity)

Conclusion

  • Build us wallets that support verified secret sharing!

Next blog

Hopefully, I will be able to share some more of my thoughts on securing private keys. A process rather than yet another piece of technology. We need good apps (vis-a-vis this blog) but we also require good processes otherwise the good apps mean nothing.

About me

Currently, I work at the Web3 Foundation, covering numerous responsibilities (such as grants, communications, and collaboration). This blog is of a personal nature. It just so happens that my hobby aligns with work.

Questions / Comments?

You can create a reply to me here on Medium, or reach out to me on Twitter: @EAThomson.

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