Summary of March 29th — How does TenX safely store hundreds of millions of dollars in crypto?https://blog.tenx.tech/en-summary-of-march-29th-how-does-tenx-safely-store-hundreds-of-millions-of-dollars-in-crypto-ba8a3cdeb6a3Below is a Summary of the above YouTube demonstration with Julian & Jonathan
When managing such huge amounts of money, how does TenX ensure that the co-founders cannot escape with the funds but still have control over them? Who creates these private keys and how are they created to ensure that nobody knows what they are?
Today, our Senior Manager in Financial Risk, Jonathan, is going to give us a simple demonstration.
Everything related to the funds is printed on secure, sealed paper, similar to bank PINs.
Using a hardware random number generator, the private key is generated automatically.
It is then automatically sent to the printer, then the sealer. All of this is done using an airgapped computer with a secure operating system to ensure that we are not vulnerable to network attacks.
The cool thing is that the keys are actually split. Each envelope shows the public QR code, reference number and wallet ID. Each envelope also only contains part of the key. Each envelope also states how many parts of the private key you need to have to access the funds. In this case, you need 4 out of 7.
To run away with the funds, you need to pool the envelopes with someone else. To prevent this, we store these envelopes in different secure locations with different parties such as law firms. The funds are also stored in multiple different wallets to further reduce risk.
Compared to companies who store all of their funds on a single ledger, which is vulnerable to just one person running away with the funds or getting kidnapped, this is as safe as it gets at the moment.
We are not vulnerable to any wireless attack, no single individual has access to the private keys, we have multiple law firms who hold these envelopes for us, and the funds are split across multiple wallets.
I hope that you now have a better understanding on what we have been working on, in particular the Treasury and the security aspects on the back-end.
