WHAT IS A MULTISIG WALLET? PROS AND CONS OF A MULTISIG WALLET
In the blockchain world, wallets are an extremely important tool for storing and managing assets. In which, Multisig wallets are used to improve and enhance the security of transactions.
Multisig wallet stands for "Multisignature wallet" - a type of wallet where transactions must be confirmed by many users. Instead of only requiring a single signature to make a transaction like single-signature wallets, Multisig wallets require multiple signatures from different people to make a transaction.
For example, a Multisig wallet can be configured to require two of the three signatures provided to execute a transaction. This means that at least two of the three owners of the wallet must confirm the transaction before it can go through.
With the development of blockchain technology and the rise of digital assets, it is extremely important to protect our assets. Multisig wallet is considered a more secure solution for storing and managing digital assets.
Pros of Multisig wallets
One of the biggest advantages of the Multisig wallet is the enhanced security. Because multisig wallets require multiple private keys to be activated and authorized to be able to access and use the wallet. So, if one of the wallet's private keys is lost or stolen, the wallet will still be safe.
Multisig wallets are often used by projects and funds of the DAO (decentralized autonomous organization) to manage, protect and control access to fund assets.
Cons of Multisig wallets
Although the Multisig wallet is a highly secure solution, for proper and effective use users need certain technical expertise if they do not want to rely on a third party. In addition, the Multisig wallet does not have the flexibility because the access structures are attached to the wallet address, so it will not be possible to change the Multisig wallet access policies without reaching the full consensus of the parties.
Because of the above disadvantages, Multisig wallets are often not preferred by individual investors. Because for individual investors, besides security, their own experience is also an important factor when choosing to use a wallet.
Multisig wallet is an important technology in protecting digital assets and improving security in blockchain transactions. However, the use of Multisig wallets also requires management and consensus among owners to ensure safety and efficiency. When using a Multisig wallet, users need to consider the pros and cons to decide if it is a suitable option for their needs.
Currently, many Blockchain wallets on the market such as Trust Wallet, SafePal, 3S Wallet, etc. have integrated many additional security features and tweaked the interface to give users a more convenient experience, thus they have become more popular than the Multisig wallets.
3S Wallet is a blockchain wallet developed by BHO Network, built on three main pillars of Simplicity, Security and Safety. 3S Wallet is refined to simplify the interface and gestures, giving users the smoothest and easiest experience. With 3S Wallet, users can connect to Dapps as well as derivatives decentralized exchanges to trade and seize opportunities while ensuring full control of their assets.
In addition, 3S Wallet is currently implementing a Rewards program with an attractive participation mechanism to help users earn more income. Anyone using 3S Wallet can participate by inviting friends to use 3S Wallet and get passive income with your own system up to $20 for each successful referral.
Detailed instructions for 3S Wallet's Rewards feature here!
Published on May 06, 2023
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