Glossary

2PC (Two-Party Computation)

A cryptographic mechanism to prevent single points of failure by splitting a private key between two parties. In multi-party computation (MPC) collusion between nodes to steal a private key or otherwise act maliciously is a difficult threat to mitigate. However, in two-party computation, one party can always be assured there is no possibility of collusion as long as that party is honest. In Silk, 2PC is done between the user and the server. The user will not collude with the server to still their own funds, so collusion isn't a risk.

2PC enables custody models where a server can protect users if their device or dApp is compromised, yet the server still has no control or custody over the user funds.

2PC-MPC

A variant of 2PC, proposed in a paper by dWallet Labs, where the two parties are a user and a network rather than a user and a server.

Custodial Wallets

Wallets managed by centralized entities that retain control over users’ private keys. They lack the decentralization and security of self-custody solutions like Silk.

Gas Tank

A feature that eliminates the need for users to hold native tokens for transaction fees, streamlining interactions across blockchains.

Human Keys

An authentication method that replaces seed phrases with user-friendly credentials like passwords and biometrics, ensuring simplicity without sacrificing security.

Policy-Driven Security

A system that enforces customizable transaction rules, such as spend limits and multi-factor authentication, ensuring user and developer control over wallet operations.

Self-Custody

The ability for users to control their private keys and assets without reliance on a centralized entity. Enabled in Silk through 2PC and advanced cryptographic mechanisms.

Universal Composability

Silk’s capacity to integrate seamlessly across ecosystems, enabling developers to compose functionality with other dApps and protocols without fragmentation.

Wallet-as-a-Service (WaaS)

A SaaS model for wallets where services are managed by centralized entities. While easy to use, WaaS solutions often lack decentralization and are prone to ecosystem lock-in.

Zero-Knowledge Proofs (ZKPs)

Privacy-preserving cryptographic proofs that allow users to verify claims without revealing sensitive data. Used in Silk for identity verification and authentication.