Multi-party computation (MPC)

Multi-party computation (MPC) in the context of Palisade is a cryptographic protocol designed to secure sensitive transaction-related computations. It allows multiple parties to collaboratively compute a function over their inputs while keeping these inputs private. This means that even if one party is compromised, the integrity and privacy of the whole transaction are preserved unless all participating entities are compromised.

Operation within Palisade

In Palisade, MPC is utilized to facilitate secure transaction signing and key management operations. Sensitive data like private keys are "split" into multiple shares, each processed independently, eliminating the need for a single trusted entity to hold sensitive information.

1. Secure Key Management

   In the case of key management, MPC enables the generation and storage of private keys in a distributed manner. The keys are never in a singular, whole state, making them highly resistant to unauthorized access and theft.

2. Transaction Signing

   When signing transactions, MPC ensures that no single party has access to the complete private key. Each party computes a partial signature using their MPC share. The partial signatures are then combined to produce a valid signature for the transaction, which is then broadcast to the blockchain securely.

3. Enhanced Security Profile

   The integration of MPC within Palisade reinforces the platform's security profile. Even if an adversary can compromise one of the contributing entities, the protocol ensures that critical information and operations remain secure and confidential.

4. Operational Flexibility

   Palisade offers MPC as an alternative to FIPS-rated HSMs based on the client’s security requirements and operational needs, providing flexibility and tailored security solutions to the users.