Arming digital asset custodians with a faster, safer way to transact
Fireblocks, announced it has developed a new MPC (secure multi-party computation) algorithm that pushes digital asset transaction speeds up to 8X faster than what’s currently possible. Fireblocks’ new protocol, called “MPC-CMP,” is based on and surpasses the speed of Gennaro and Goldfeder’s protocol, a current industry standard for MPC, and Lindell et al.’s protocol. Starting , all digital asset custodians and MPC vendors can access Fireblocks’ MPC-CMP protocol and use it for free as Fireblocks will not be applying for patents on this technology.
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MPC technology is allowing advanced fintech platforms to flourish because it removes the single point of compromise by transforming private keys into liquid form through securely distributed transaction signing. In an academic paper released this week by the Fireblocks Research Team, Prof. Ran Canetti, Dr. Nikolaos Makriyannis, and Udi Peled, revealed the new cryptographic security protocol. In the paper, Canetti, Makriyannis, and Peled (CMP) outline how to securely cut the number of rounds needed to sign an MPC transaction by 10-fold. While Gennaro and Goldfeder’s algorithm requires 9 rounds to sign a transaction, MPC-CMP only requires 1.
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Designed to support institutions with large retail customer bases, such as the biggest exchanges, lending providers, and banks. MPC-CMP enables them to execute high-volume withdrawal requests. Additionally, it allows institutions located in areas with strong regulations around cold storage to utilize MPC in an offline wallet.
By slicing the number of interactive rounds in half and combining the method of pre-processing with non-interactive signing, MPC-CMP accomplishes 8X faster transaction speed. “The MPC-CMP algorithm developed by our cryptography team is ushering in the next generation of threshold cryptography,” said Ran Canetti, Professor of Computer Science at Boston University and Tel Aviv University. “It demonstrates that strong security need not compromise on efficiency.”
