Benefits & Use Cases

Benefits of THORSafe Multi-sig Wallets:

  • A multi-signature wallet removes the security concerns that come with traditional single private key wallets.
  • Multi-sig reduces dependency on one person.
  • Multi-sig increases the number of potential failure points for hackers, helping to lower risk of cyberattacks.
  • Multi-sig wallets reduces dependency on one device. For example, you can save one key store in your mobile and another on your computer.

Use cases of THORSafe Multi-sig Wallets:

Enhanced Security for Self-custody
THORSafe introduces an additional layer of security for your funds. If one of your keys is compromised, your funds remain safe.
Decision Making
THORSafe multi-sig wallet can be used by DAOs or a group of individuals to joint manage funds. i.e. by using a 2–3 wallet, no one person can misuse funds or gain access — decisions unanimously agreed upon majority will be made/ transactions approved.
Escrow Transactions By introducing a trusted third party (C) as a mutually trusted arbitrator, escrow transactions can also be conducted between two parties via the use of a 2-of-3 multi-sig wallet.
Running a THORNode as a Collective Running a THORChain node has a huge barrier to entry such as maintenance, hardware requirements, coding skills and of course: capital. As of writing this article, the bond amount is 500k $RUNE ≈ $1m to run a node!
THORSafe drastically reduces these barriers to entry especially on the capital front. You can pool together with multiple individuals to run a node. This is a step towards attracting nodes managed by DAO’s, Institutions, a group of THORChads and even CEXs.
Providing Liquidity as a Collective THORSafe also enable multiple users to LP together. Earn yield on L1 assets whilst managed by your personal selection of signers. This could be THORChads helping their friends to LP on THORSwap, protocols or lenders pooling to distribute yield to users or simply capturing more fees, as yield is distributed by ownership of pool.
Deadman’s Switch Assign trusted signers to pass on your assets to your loved ones in the event you are incapacitated.