> For the complete documentation index, see [llms.txt](https://docs.zipper.trade/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.zipper.trade/core-concepts/what-are-on-chain-vaults-1/multi-signature-wallets-and-tee-protocol.md).

# Multi-Signature Wallets and TEE Protocol

**Multi-Signature Wallets**

* **Definition**: Multi-signature (multi-sig) wallets require multiple authorized signatories to approve any transaction or withdrawal. This ensures that no single entity has complete control over the vault.
* **Key Features**:
  1. **Decentralized Control**: Spreads control across multiple parties to minimize single points of failure.
  2. **Enhanced Security**: Even if one signatory’s keys are compromised, funds remain secure as additional approvals are required.

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**Trusted Execution Environment (TEE) Protocol**

* **Purpose**: Ensures private keys for multi-signature wallets are never fully assembled or accessible by a single party.
* **How It Works**:
  1. **Key Fragmentation**: Private keys are split into fragments and stored securely across multiple nodes.
  2. **Execution**: When a transaction is initiated, the TEE protocol facilitates the necessary signatures without exposing or combining the keys.
  3. **Bad Actor Assumption**: The system operates under the assumption that any party could be compromised, ensuring robust fail-safes.

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#### **Benefits of This Approach**

1. **Minimized Risk**:
   * Prevents unauthorized access, even in the case of partial system compromise.
2. **Transparency**:
   * All transactions requiring multi-signature approvals are recorded on-chain for verification.
3. **Trust**:
   * By decentralizing key control and securing them with TEE, Zipper ensures maximum reliability for users.
