What Is the Computational Overhead Associated with Using MPC for Transaction Signing?
MPC-based transaction signing generally involves a higher computational overhead compared to a single-signature scheme. The process requires multiple rounds of cryptographic communication and computation between the parties holding the key shares.
While this overhead is often negligible in modern computing environments, it can introduce a slight increase in latency compared to a single, direct signature, which is a consideration for high-speed trading applications.
Glossar
Mpc Transaction Signing
Function ⎊ Mpc Transaction Signing is the cryptographic Function of jointly generating a valid digital signature for a blockchain transaction, such as a collateral transfer or derivative settlement, using a Multi-Party Computation (MPC) protocol.
Transaction Signing
Authorization Mechanism ⎊ Transaction Signing is the cryptographic process where the holder of a private key applies it to the specific data payload of a transaction, generating a unique digital signature that proves authorization for the intended on-chain action.
Mpc
Architecture ⎊ This abbreviation typically refers to Multi-Party Computation, a cryptographic technique enabling multiple parties to jointly compute a function over their private inputs without revealing those inputs to each other.
Computational Overhead
Latency ⎊ Computational overhead within cryptocurrency, options trading, and financial derivatives primarily manifests as latency ⎊ the delay between initiating a transaction or calculation and its execution or confirmation.