Threshold signing
Threshold signing is the mechanism that enforces multi-party control over vault operations. It works the same way for every type of movement and for token deployments.
When a movement is initiated from a vault, SQRL creates a signing request. Each authorised signer reviews the request and signs it using their private key in their own wallet software or hardware device. They then submit the signed result to SQRL.
SQRL stores only public keys and never has access to your private keys. Signing happens outside the platform, in each signer's own wallet software or hardware device. If a private key is lost, neither Orobit nor SQRL can recover it. Each signer is solely responsible for the security and backup of their private keys.
SQRL tracks how many valid signatures have been collected. When the number of signatures reaches the vault's threshold, the M in M-of-N, the movement is automatically finalised and broadcast to the Bitcoin network.
There is no separate confirmation step after the final signature. The moment the threshold is met, the operation proceeds and cannot be undone.
When the required number of signatures is reached, the movement is finalised and broadcast automatically. There is no confirmation prompt after the final signature. Verify all movement details before you sign.
Once a movement has been broadcast to the Bitcoin network, it cannot be reversed or cancelled.
If a vault is configured as 2-of-3, only two signatures are needed. Once the threshold is met, the movement finalises. A third signature is not required.
The threshold is enforced cryptographically, not just by policy. No single signer can move value alone, and the platform cannot move it for them. Multi-party control is built into how every movement is signed.