Unlocking the Myth of Chain Signatures
Chain Signatures allow NEAR accounts, to sign and perform multiple transactions within multiple blockchain protocols, including smart contracts. This increases the interoperability of blockchain, providing ownership of multiple assets, cross-chain accounts and data to every NEAR account owner.
How Chain Signatures Work
Controlling accounts and assets on other blockchain platforms can be done through the interaction of three major components including:
By using the Additive Key Derivation Chain Signatures connect NEAR accounts to addresses available on other blockchains. The Additive Key Derivation is used to generate multiple subkeys from a single master key. These keys are generated through specific paths (strings like Ethereum-1, Ethereum-2, etc.) to create unique addresses on targeted blockchains.
For example, a user can request a signature to send 0.1 ETH to 0x060f1... (transaction) using the Ethereum-1 account (path).
Multichain Smart ContractsThe main objective of a multichain smart contract on NEAR is to manage signatures requested on other blockchains. The multichain smart contract considers two parameters to sign a contract:
A user can request a signature to send 0.1 ETH to a specific address using the Ethereum-1 account path. After the request, the smart contract waits till the required signature is generated by the MPC. Once the signature is generated it is available for submission to the target blockchain.
Multi-Party Computation (MPC) ServiceThe MPC aims to allow independent users to perform provided on shared computations without disclosing secrets to others. Initiating MPC with a blockchain platform ensures the safe signing of transactions on behalf of a user without revealing a private key.
Key Steps:Conclusion: Chain Signatures are a robust tool which authenticates NEAR accounts to manage accounts on other blockchains. This is a revolutionary step allowing the actual ownership of cross-chain data and assets. To let the user implement chain signatures, the whole process is provided on the chain, allowing them to call a smart contract and wait for the response from their side.
All this is possible through derivation paths, a single account which can control various accounts on multiple blockchains. This offers peace of mind to users that only they can request signatures from the accounts of their choice.