Multi-signature

Multi-signature contracts are smart contracts that require multiple parties to sign and approve a transaction before it can be executed on the blockchain. This is a security feature that helps prevent unauthorized transactions and reduces the risk of funds being stolen or lost.
In a multi-signature contract, a group of individuals or entities are designated as signatories, and a transaction can only be executed if a certain number of them approve it by signing it with their private keys. This can be useful in situations where there is a need for increased security, such as in corporate finance, or when handling large sums of money.

Flowchart

Multi-Signature Contract
+---------+ +---------+
| | | |
| Sender +------------------------> Owner 1 |
| | | |
+----+----+ +----+----+
| |
| |
| |
+----v----+ +----v----+
| | | |
| Sender +------------------------> Owner 2 |
| | | |
+----+----+ +----+----+
| |
| |
| |
+----v----+ +----v----+
| | | |
| Sender +------------------------> Owner 3 |
| | | |
+----+----+ +----+----+
| |
| |
| |
+----v----+ +----v----+
| | | |
| Sender +------------------------> Owner 4 |
| | | |
+---------+ +---------+
| |
| Transactions |
+----------------------------------->
In this flowchart, there are multiple owners who each have control over the contract. Transactions can only be initiated if a certain number of owners sign off on the transaction, typically through a voting process. Once enough owners sign off, the transaction is approved and can be executed on the blockchain.
Last modified 10mo ago