Adam Back makes case for simpler security as Blockstream launches Bitcoin custody system
Summary
Blockstream has introduced an institutional Bitcoin custody system with French technology group Thales, combining Thales hardware security modules with Blockstream’s Secure-MPC. The company says the design carries out the full transaction-signing protocol inside protected hardware, enabling offline cold storage. CEO Adam Back argued that conventional MPC can be too complex and interactive for cold storage, and said offline devices reduce exposure to network intrusions. He warned AI could help attackers identify implementation flaws in complex custody systems, while citing Binance’s reported $6.3 billion hack as an example of risks to connected signing infrastructure. Back urged institutions to favor simpler, offline security models.
