GLOSSARY · INVESTING
Multi-signature wallet
A cryptocurrency wallet that needs more than one key to approve a transaction, for example any two of three keys held by different people or in different places. It removes the single point of failure of an ordinary wallet: one lost key does not lose the funds and one stolen key cannot move them. The cost is complexity, and heirs must understand how to use it.
Also called: multisig, multi-sig wallet, 2-of-3 wallet, collaborative custody
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CHAPTER · DIGITAL ESTATE PLANNING · DEEP DIVEPassing On Cryptocurrency and NFTsRELATED TERMS
SOURCES
- Digital assets. Internal Revenue Service.