What is Multi-Signature (Multisig)?
A multi-signature wallet requires M-of-N independent signatures to authorize a transaction, e.g. 2-of-3. Multisig is the standard pattern for treasury security, custody services and high-value cold storage because no single key compromise loses funds.
Why Multi-Signature (Multisig) matters
Understanding Multi-Signature (Multisig) is part of building a solid mental model of how Bitcoin, blockchain and Web3 systems actually work. Concepts in the Security category sit at the foundation of the broader stack — get them right and the rest is far easier.
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Related terms
- Wallet — Software or hardware that manages your private keys.
- Custody — Who controls the private keys.
- Cold Storage — Keeping private keys offline for security.
More security terms
- Seed Phrase — A human-readable backup of a wallet's private keys.
- 51% Attack — An attack where one party controls majority hash power.
- Slashing — Destroying part of a validator's stake as punishment.
- Hardware Wallet — A dedicated device that signs transactions offline.
- Hot Wallet — A wallet whose keys live on an internet-connected device.
- HD Wallet (BIP-32) — A wallet that derives many keys from one seed.
- Address Reuse — Receiving multiple payments to the same address.
- Rug Pull — A scam where developers abandon a project and run with funds.
Keep exploring
Continue with the full blockchain glossary — 136 terms in total — or read the developer blog and FAQ for deeper context.