Over $4 billion dollars worth of crypto assets have been stolen or hacked in 2019 alone. And this has happened despite the current generation of hardware wallets. On one hand we use hardware wallets to store private keys securely offline in tamper resistant hardware, but on the other hand, we expose the same set of private keys through seed phrase which we have to write down on a piece of paper. It opens up to problems such as trust issues, single point of failure, hacks, thefts, environmental damages like fire, earthquake, eternal fear of loss, and so on.
Introducing Cypherock X1 WalletCypherock X1 brings in a first of its kind solution where a single point of failure with seed phrase storage is avoided by decoupling the storage and computation aspect of a hardware wallet into two parts -
X1 Wallet
cyCards.
The Cypherock X1 uses 2 of 4 Shamir Secret Sharing (with the option to change the threshold in future) along with tamper-resistant hardware to secure the users private keys. Simply put, it is like Multi-sig but for the wallet recovery phrase.The seed phrase gets divided into 4 shards using the 2 of 4 SSS scheme and each of those shards gets stored in a unique cyCards. The cyCards can store upto 3 Wallets (read: Seed Phrase), each of which will be able to support multiple coins.
More on Cypherock X1:- The code for the X1 wallet will be open source
- Each shard will be stored in a EAL6+ tamper resistant secure element chips. As comparison, an iPhone has the same level of security chip for securing fingerprints.
- Nothing will be stored in the X1 Wallet on which the computation will be done.
- Keys can be recovered by tapping any 2 out of the 4 cyCards on the X1 Wallet. Each cyCard can also be protected by a PIN just like any other hardware wallet. The recovered keys are stored in a volatile memory on the X1 Wallet which gets wiped out as soon as the operation is done.
- The user can store 3 wallet recovery phrases in a single product.
- The cyCards can be distributed around different places to increase security of the funds and protect against $5 wrench attacks.
An example on how it works?
1) The user enters/generates the mnemonic phrase on the device or adds any other sensitive information like passwords.
2) The user then, taps four cyCards on the device to make 4 shards of the seed phrase.Any 2 of 4 will be needed to recover keys or perform a transaction.
3) The cyCards can be stored at different locations or kept with different people for security.
4) It can solve the issue with inheritance too with proper management of keys. (Comment to know more on this).
5) To conduct a transaction, tap 2 cards on the device. The keys will be generated on the X1 Wallet for the transaction in a volatile memory which will be wiped off once the transaction is done (no current generation wallet has this). This allows for the hardware to have similar security as of multi-sig with the possible support of every asset.
Device Videos
Securing Seed Phrases with Cypherock X1:
https://youtu.be/eD3CZMPumCkTrezor Hack and Transaction Using Cypherock X1:
https://youtu.be/19u2mKaHRoMSpecifications:
X1 Wallet:Dimensions: 52mm * 26mm *12mm
Weight: 50g
0.96-inch OLED screen
Core wallet chip: Nordic nRF52840
NFC chip: PN5321
cyCards:EAL 6+ Secure Element
Supported blockchain assets:1)Bitcoin (BTC)
2)Ethereum (ETH)
3)Bitcoin SV (BSV)
4)Bitcoin Cash (BCH)
5)Vechain (VET)
6)Cardano (ADA)
7)XRP
8)Tron (TRX)
9)EOS
10)Dash (DASH)
11)Stellar (XLM)
12)Litecoin (LTC)
13)Ethereum Classic (ETC)
14)Dogecoin (DOGE)
15)Tether (ERC20)
16)Chainlink (LINK)
17)0X (ZRX)
18)Maker (MKR)
19)Basic Attention Token (BAT)
20)ERC20 Tokens
Important LinksWebsite:
https://cypherock.comPre-Order:
https://shop.cypherock.comTelegram:
https://t.me/cypherockTwitter:
https://twitter.com/cypherockwalletFacebook:
https://www.facebook.com/cypherockYouTube:
https://www.youtube.com/channel/UCw9Z7JbcoJKZ4GYf82QWRIwWe are confident that the user will be satisfied with the product and thats why we are offering a full refund, no questions asked, if you Pre-order the device at more than 50% off.TLDRProblems
1. Every wallet is physically hackable. The hack by Kraken on both the Trezor hardware
wallets is a recent example. And hence it is not advisable to store the private keys in a
single place.
2. Seed phrases or crypto wallet backups are written on a piece of paper which are prone
to loss and theft. Your seed phrases on the paper expose your crypto to trust issues,
hacks, thefts, fire, earthquake, eternal fear of loss and others.
3. Crypto inherently has an inheritance problem. You have to safeguard your keys while
you are alive and only transfer them after you are dead which is impossible if you are the
only one knowing your keys.
Solution
1. A first of its kind hardware wallet that never stores your private keys in a single place and
has similar security to that of a multisig wallets for all Cryptocurrencies.
2. A first of its kind seed phrase backup solution that allows you to store your seed phrases
offline in tamper-resistant hardware without a single point of failure.
3. The users should have a way to transfer their crypto assets to their loved ones without having to trust a single entity to avoid any single point of failure. The method should be safe and easy enough as the beneficiary might not understand the basics of using Bitcoin and other cryptocurrencies.
