How Does a Multisig Wallet Increase the Governance Overhead?
A multisig wallet increases governance overhead by requiring multiple key holders to be available and agree to sign every single transaction, even routine ones. This introduces latency, as the process is no longer instantaneous.
For critical actions, coordinating multiple geographically dispersed individuals to sign a transaction can be slow and cumbersome. This overhead is a necessary trade-off for the increased security, as it forces deliberation and prevents hasty, unilateral decisions.