Testnet Launch for dWallet Network – Composable Modular Signature Network

[PRESS RELEASE – Tel Aviv, Israel, February 22nd, 2024]

dWallet Labs today announced the Testnet launch of dWallet Network – a first-of-its-kind composable modular signature network. The dWallet Network introduces a new primitive for multi-chain collaboration in web3 — dWallets — a noncollusive and massively decentralized signing mechanism that can be used as a building block on L1s and L2s to sign native transactions to all chains such as Bitcoin, Ethereum and Solana.

The vulnerabilities of cross-chain

With growing demand to operate across different blockchains, developers have been forced to sacrifice the fundamental principles of Web3 – user ownership and decentralization. Existing cross-chain solutions such as bridges and messaging protocols reduce the native security of on-chain assets by removing the need for user consent, opening up vulnerabilities for network participants to collude to steal user funds. dWallets are the first to ensure the security of native interoperability by introducing a noncollusive multi-chain solution, where user consent is required by default to execute actions across any network.

The dWallet Network is a composable modular network that enhances the capabilities of any blockchain by adding signatures. For example, using the dWallet Network, an Ethereum developer could generate Bitcoin signatures from their Ethereum smart contract. Builders on L1s and L2s, whether on monolithic or modular networks, can control a dWallet and natively manage assets and logic across all of web3. Whether building web3 solutions for custody, DeFi, DAOs, gaming, and more, builders on any protocol will be able to use dWallets to extend functionality and achieve secure interoperability.

Building with dWallets

A dWallet is a programmable and transferable signing mechanism that lives on the dWallet Network. The owner of a dWallet can have an address on any other blockchain and can sign transactions for those networks. dWallets are programmable and transferable, so builders can create logic that governs whether a signature will be generated. Because dWallets use signatures, assets always stay on their native chains, eliminating the cross-chain risks of wrapping, bridging or messaging.

Instead of private keys, dWallets create signatures using a field of cryptography called MPC – multi party computation – where a signature is generated by multiple parties. With dWallets, for a signature to be generated, both the user and the dWallet Network are required – the network can’t sign without the user, so the user’s assets are secure against collusion, and the user can’t sign without the network, which allows logic to be enforced in a decentralized way.

“There are so many exciting new use cases dWallets unlock – Imagine holding BTC on Bitcoin and ETH on Ethereum through a Solana smart contract wallet, or using BTC as collateral for a loan without bridging or wrapping, or even securing a protocol using BTC, similar to Ethereum Restaking” said David Lachmish, Co-Founder of dWallet Labs and dWallet Network. “The most exciting part however, is that dWallets are the first web3 primitive to enable all that, and more, in a natively multi-chain way, without the risks and compromises of cross-chain solutions”.

Built with breakthrough research

Existing MPC signature algorithms in web3 were designed for centralized use cases such as custody providers. As a result, existing MPC signature algorithms exhibit many limitations in their structure, their performance, and their scalability in terms of number of parties. web3 projects attempting to utilize MPC in a permissionless context (e.g. ICP, THORChain, Lit Protocol, Zetachain etc.), implement the MPC outside of the permissionless settings, in a very small subset of nodes that can collude and steal users’ assets, since the user is not required.

Last week, dWallet Labs released 2PC-MPC, the industry-first multiparty protocol that enables generating an ECDSA signature in a noncollusive way, requiring both the user and a threshold of hundreds or even thousands of nodes. The dWallet Network utilizes 2PC-MPC to introduce the dWallet primitive – the first noncollusive and massively decentralized signing mechanism in web3.

“Our vision for dWallets and the dWallet Network was to uphold the two most fundamental principles of web3 since the inception of Bitcoin – decentralization and user ownership – and we created the first MPC algorithm that enables a noncollusive and massively decentralized process.” said Omer Sadika, CEO of dWallet Labs and Co-Founder of dWallet Network. “Our cryptography innovations and breakthroughs set the stage for the dWallet Network as the first network empowering builders on L1s and L2s to move away from cross-chain risks, and manage assets & enforce logic across a multi-chain web3 world in a decentralized and noncollusive way.”

dWallet Labs was founded in early 2022, by cybersecurity and cryptography veterans. It has over 30 team members, and over a dozen cryptographers, among them world-renowned researchers. dWallet Labs focuses on research and development of the dWallet Network, which is backed by top VCs, strategic partners and investment DAOs including: Blockchange Ventures, Node Capital, DCG, Big Brain Holdings, Amplify Partners, Lightshift Capital, Rubik Ventures, Liquid2 Ventures, Collider Ventures, Heroic Ventures, Impatient Ventures, Zero Knowledge Ventures, No Limit Holdings, Insignius Capital, FalconX, SolrDAO, TPC, Dispersion Capital, Token Bay Capital, Tykhe Block Ventures, Cerulean Ventures and Earl Grey Capital alongside founders and angel investors from Coinbase, Ethereum, Celo, AngelList, Alt, Spearhead, and others.

The dWallet Network mainnet is anticipated to go live later this year. To learn more about dWallets and the dWallet Network users can visit dwallet.io.

About dWallet Labs

dWallet Labs Ltd., a Tel Aviv-based cybersecurity company specializing in blockchain technology, is heading the research and development efforts behind the dWallet Network, the first composable modular signature network. The team possesses deep knowledge and expertise in cybersecurity, cryptography and blockchain technology and includes world-renowned researchers and practitioners.

About dWallet Network & dWallets

The dWallet Network is a composable modular signature network, introducing the revolutionary dWallet primitive – the first noncollusive and massively decentralized signing mechanism. The dWallet Network empowers builders on L1s and L2s to manage assets & enforce logic across all of web3 in a decentralized and noncollusive way. The dWallet Network is a security-first network, with the ambitious vision of serving as a universal access control layer and securing all assets on web3. Users can learn more about the dWallet Network and dWallets at dwallet.io

Contact

PR Manager
Gilles Callewaert
gilles@serotonin.co

The post Testnet Launch for dWallet Network – Composable Modular Signature Network appeared first on CryptoPotato.