Bitcoin wallet provider Coinbase presented its Multisig Vault, a new product that will allow users to gain full control of their private keys.
The Vault feature was first launched in July and enabled users to store large amount of digital currency in a more secure way.
Given the increased number of hacking attacks in the bitcoin sector, the cryptocurrency users want to be sure their digital money is properly secured.
In order to boost adoption of bitcoin, Coinbase decided to provide high level of security for its users. The demand for the security turned to be higher than Coinbase expected. The company is currently working on to improve the service.
The Multisig Vault provides its users with total control of their private keys. Coinbase is not able to transfer money, so consumers could be sure their funds will not be stolen. The users are also safe from the company being hacked or going bankrupt. This means better security for users.
According to Coinbase, the Multisig Vault is better to be used by advanced users, as the company will not be able to help those who lost their backup key or forgot the password.
There are three keys available at the Multisig Vault. One key is controlled by Coinbase, the second one is controlled by the user and the third is controlled by both Coinbase and the user. Notably, only the user has an access to the third key password.
It is also possible for families or institutions to create group vaults with multiple key owners, thus every family member can have an access to your funds if something happened.
While creating multisig, Coinbase tried to eliminate the need for future users to understand technical details. In general, the use of the Multisig Vault is similar to the process you utilize Coinbase Wallet or Coinbase Vault.
The Multisig Vault is available for free to all Coinbase users. With the new product, the company expects to expand bitcoin adoption amongst those who store large amounts of bitcoin. Coinbase has also produced an open source tool for users to retrieve their funds should the site go offline or become unavailable.
Managed by Coinbase, Multisig Vault includes additional features which simplify the process of bitcoin spending. Besides faster process of money sending, such options as debit payments and subscriptions are also available.
Coinbase wallet, together with Multisig Vault provides consumers with a convenient way to spend bitcoin day-to-day, while securing total control of bitcoin funds.