A New Choice for On-Chain Asset Management: Balancing Security and Convenience

Introduction

Recently, the cryptocurrency market has been hit by a cold winter, with hacker attacks shifting from on-chain protocols to personal wallets, while centralized institutions frequently collapse, severely damaging user assets. These events highlight the importance of controlling one's own assets and have drawn significant attention to decentralized secure asset management solutions.

Challenges of Private Key Management

Although "Not your keys, not your coins" is a famous saying in the blockchain world, managing private keys is not easy. From Wintermute losing $160 million due to issues with their private key generation tool, to Distributed Capital Partners losing $42 million due to mnemonic phrase leaks, these cases illustrate the complexity of private key management. In the face of the trust crisis surrounding centralized institutions, how to securely manage assets while avoiding the total loss caused by the leakage of a single private key has become an urgent issue to address.

Gnosis Safe: A Mature Multi-Signature Solution

Gnosis Safe, as a smart contract multi-signature wallet on Ethereum, effectively reduces the risk of single private key leakage through multi-party signatures and threshold value settings. However, there are also some shortcomings in its usage:

1. Low transaction execution efficiency, requiring multiple confirmations.
2. Unable to perform specific decentralization processing
3. Lack of risk control strategy configuration for interactive contracts

Cobo Safe: Flexible On-Chain Decentralization and Risk Control Solutions

Cobo Safe is optimized based on Gnosis Safe, achieving a more flexible multi-signature wallet and project contract interaction through module extensions. Its main features include:

single signature rights

Supports function-level decentralized management, allowing for different function interaction permissions to be configured for specific user roles. For example, a certain role can be set to only execute specific functions of a specific contract, such as the Uniswap V3 LP trading fee reward extraction.

ACL Risk Control

Provide a more granular Access Control List contract risk control mechanism, allowing users to customize decentralization and risk control rules based on business needs, such as:

• Restrict the parameter range for contract calls
• Limit the number of function calls
• Perform risk checks on contract interactions

It is worth noting that Cobo Safe, as an important component of the decentralized custody solution Argus, has its on-chain contract source code open-sourced, allowing users to audit it and ensure there is no risk of centralized malfeasance.

Conclusion

Recent security incidents remind us that there are certain risks involved, whether relying on centralized institutions or managing private keys independently. Cobo Safe, as part of a decentralized custody solution, expands Gnosis Safe to provide more flexible decentralization and risk control features, effectively balancing asset security and usability. In this challenging environment of the cryptocurrency market, Cobo Safe offers institutions and individuals a new option for fund management, helping to safely navigate through the market winter and embrace the next wave of prosperity.