Cryptocurrency Wallet with Multi-Signature (Multi-Sig) Support

Objective:

To develop a secure and user-friendly cryptocurrency wallet that utilizes multi-signature technology to enhance transaction security, access control, and protect against unauthorized transfers.

Key Features:

Multi-Signature Wallets – Transactions require approval from multiple private keys (e.g., 2-of-3 signatures).

Supports Multiple Cryptocurrencies – BTC, ETH, USDT, and more.

User Roles & Permissions – Wallets for individuals, businesses, or joint accounts.

Secure Key Management – Integration with hardware wallets or cold storage.

Backup & Recovery Options – Seed phrases, encrypted backups, and recovery protocols.

Real-Time Notifications – Alerts for transaction requests, approvals, and completions.

Web & Mobile Interface – Accessible via desktop and mobile with responsive UI.

Open-Source and Auditable Code – Community-driven transparency and trust.

Technologies Used:

Blockchain Integration: Bitcoin Core, Ethereum Web3

Smart Contracts (for Ethereum-based tokens): Solidity

Wallet Libraries: BitcoinJS, web3.js, ethers.js

Frontend: React.js / Flutter (for mobile)

Backend: Node.js / Express.js

Security Tools: Hardware wallet APIs (Ledger, Trezor), Shamir's Secret Sharing

Database: MongoDB / IndexedDB (for user session/local storage)

Encryption: AES for local data, SSL for communication

How It Works:

Wallet Creation:

Users create a wallet and set the multi-signature rule (e.g., 2-of-3 signers).

Transaction Initiation:

One user initiates a transaction, which enters a pending state.

Signature Collection:

Other participants receive a request and approve it via their private keys.

Transaction Execution:

Once the required number of approvals is reached, the transaction is broadcasted to the network.

Security Measures:

Wallet data is encrypted, and backup/recovery options are available to prevent loss.

Benefits:

Enhanced Security: Prevents unauthorized or accidental fund transfers.

Shared Control: Perfect for teams, families, or organizations managing joint funds.

Reduces Single Point of Failure: One compromised key doesn’t risk all funds.

Transparent Workflow: All signers see transaction history and approval statuses.

Customizability: Flexible multi-signature configurations (e.g., 2-of-3, 3-of-5, etc.).

Trustless Collaboration: Enables secure fund management without needing mutual trust.