OnrampMENA Partner Warns of Institutional Risks in Centralized Crypto Custody

Ralph Gebran highlights that most institutions use MPC systems, which reassemble private keys centrally, while Bitcoin’s native multisig offers greater security.

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Terms & Concepts
  • MPC (multi-party computation): A cryptographic method where multiple parties jointly compute a function without revealing their individual inputs, often used in key management.
  • Multisig (multi-signature): A Bitcoin transaction method requiring multiple private keys to authorize a transaction, enhancing security against single point failures.
  • Centralized custody: A system where a trusted third party holds and manages digital assets on behalf of the owner, creating potential single points of failure.