![cover sapwood.jpg](https://cdn.steemitimages.com/DQmThre6pcZoaqnxkPiwfTuJi6HGAG6vDyctq1WxH8NDmYR/cover%20sapwood.jpg) ^{IMAGE FROM CANVA} ![steemit crypto academy line.png](https://cdn.steemitimages.com/DQmQbPG1eewEEMGwcRaep9jNLjqJUrVAB85FtmPhychnp4i/steemit%20crypto%20academy%20line.png) # (1) What is a Multi-sig wallet? How is it different from a Single key wallet? What are the different uses of a Multisig wallet? ![steemit crypto academy line.png](https://cdn.steemitimages.com/DQmQbPG1eewEEMGwcRaep9jNLjqJUrVAB85FtmPhychnp4i/steemit%20crypto%20academy%20line.png) The traditional wallet is used for storing tokens and sending and receiving tokens and it just needed one individual which is the wallet owner to validate transactions using a single private key This type of wallet has lots of monotony and you can’t expect a company wallet to be left in the hands of one person what if he died or something happened to him and this led to the creation of another type of wallet that required more than one person to verify a transaction and this is the multi-sig Wallet. This type of Wallet is created by a group of people known as co-signers(n)with different private keys and a certain number of these groups of people(m) is enough to verify or validate a transaction. We can say a multi-sig wallet is an m of n-type of wallet where m is the number of signatures needed to validate transaction and n is the number of people that came together to create the wallet M of n combinations varies a lot in wallets eg: 2 of 3,7 of 7,15 of 15,2 of 2, etc. So when the amount of signatures needed from the co-signers is gotten a transaction can go through Example: using a bit pay wallet, three friends A, B, C open a multi-sig Wallet with a 2 of 3 combinations and let us say they deposited 1bf and then something happens between them maybe A duped B and C and they want to pull out investment, B and C can authorize the transactions but had it been only B he can’t do anything and if all three want to pull out they can sign it but the third person is not necessary ![line 2.jpg](https://cdn.steemitimages.com/DQmNn5GUZJbwBWcCSsC6L2ZTN3DmPAqHthWPwZoS6Kc8y5G/line%202.jpg) ### Examples or multi-dog wallets and the maximum combinations they can allow 1.Armory(desktop wallet)-7 of 7 2.Electrum(desktop and mobile )-15 of 15 3.bitpay- 2 of 3 4.Bitgo-3 of 3 5.btc.com wallet (mobile and web wallet )-2 of 3 ![line 2.jpg](https://cdn.steemitimages.com/DQmNn5GUZJbwBWcCSsC6L2ZTN3DmPAqHthWPwZoS6Kc8y5G/line%202.jpg) ## How is it different from a single key wallet ![line 2.jpg](https://cdn.steemitimages.com/DQmNn5GUZJbwBWcCSsC6L2ZTN3DmPAqHthWPwZoS6Kc8y5G/line%202.jpg) # DIFFERENCE BETWEEN MULTI SIG AND SINGLE SIG WALLET MULTI-SIG | SINGLE SIG ----|---- There is no monopoly of asset |There is a monopoly of asset .It is the best for company accounts |it is best for individual usage More than one private key is needed |Only one private key is needed .less risk of being scammed cause one would need more than one key to access an account and before that the accounts must have been pulled out already | Risk to hack is high since only one key is needed to perform transactions on the wallet ![line 2.jpg](https://cdn.steemitimages.com/DQmNn5GUZJbwBWcCSsC6L2ZTN3DmPAqHthWPwZoS6Kc8y5G/line%202.jpg) ## Uses of multi sig wallet ![line 2.jpg](https://cdn.steemitimages.com/DQmNn5GUZJbwBWcCSsC6L2ZTN3DmPAqHthWPwZoS6Kc8y5G/line%202.jpg) 1.it helps in running of company funds: setting up a multiethnic wallet for company funds is a very good thing cause it serves as the traditional joint account in banks and like the join account where more than one person is needed to send money out of the account a multi-sig wallet always requires more than one signatures for a transaction to go through 2.increasing layer of security for assets: not only do companies use multi-sig wallets even individuals do and the main purpose is for security reasons. One can create a multi-sig wallet having two private keys which he or she keeps far apart from each other to prevent robbery 3.Escrow transactions: An escrow is someone who acts as an intermediary during transactions. So let’s say two individuals wish to do a transaction but don’t really know each other then they involved a well-known escrow and create a 2 of 3 multi-sig wallets together and then in a situation where one party tries to dupe the other the escrow can always come in and settle the difference by authorizing a return of the asset to the victim ![steemit crypto academy line.png](https://cdn.steemitimages.com/DQmQbPG1eewEEMGwcRaep9jNLjqJUrVAB85FtmPhychnp4i/steemit%20crypto%20academy%20line.png) # (2) Download, install & set up a 2-of-3 BTC Multisig wallet(Electrum)? What is the difference between Seed key and MPK? Would you share the seed key or MPK with your co-signer and Why? (Screenshots Needed) ![steemit crypto academy line.png](https://cdn.steemitimages.com/DQmQbPG1eewEEMGwcRaep9jNLjqJUrVAB85FtmPhychnp4i/steemit%20crypto%20academy%20line.png) 1.For the download of the app, I went to [source](https://electrum.org/#download) to download the app ![download site.png](https://cdn.steemitimages.com/DQmaHfoqVFR7RZjX4Drij1WQNcXrGh8YPeWDxQV4F7BDxPs/download%20site.png) 2.I ran the installation and it was successful as you can see below. now let's create a wallet ![install 101.png](https://cdn.steemitimages.com/DQmRhS3wWZkqebaeeNz6T6mshfborqBPLzYz1nX8qKPkuKg/install%20101.png) ---------------------------------------------- ![install 102.png](https://cdn.steemitimages.com/DQmXz4WTKmf3rDQBzNortxK9XviKFtmF8FJ4Y9N2YBozyse/install%20102.png) 3.I opened the app, I am creating a default wallet so I clicked next ![create new wallet 101.png](https://cdn.steemitimages.com/DQmNn4ydStRNwW876hyrvET29KupipaSWFgdq6AgHxTwMNs/create%20new%20wallet%20101.png) 4.clicked on the multi-sig wallet ![multi sig name.jpg](https://cdn.steemitimages.com/DQmeF9F6jjVSWd9E64NPftgXEPtS2uepnDsz2u6GEv2bn2Z/multi%20sig%20name.jpg) 5.As I said I am opening a 2 of 3 multi-sig wallets so I identified that too ![3-2 mult name.jpg](https://cdn.steemitimages.com/DQmNXLM2N5joQg3BbX4XkoF5D1UMwNfhpnU1JCsMQXgPoD3/3-0mult%20name.jpg) ----------------------------------- 6.Then I clicked on create a new seed ![seed nm.jpg](https://cdn.steemitimages.com/DQmXFpYaiaKNKBpBqV7UtDr1bmSWZb1HxArxrcYMHwd8yjb/seed%20nm.jpg) 7.A seed came up which I copied out and kept somewhere, please note that you should never share this key with anybody ![copy seed nm.jpg](https://cdn.steemitimages.com/DQmazByHy6Rch8jG95SaGQvgzNrLs5i3XK8kaWRBcpS1hvi/copy%20seed%20nm.jpg) 8.I now verified the seed and was given a master key ' ![verify seed.jpg](https://cdn.steemitimages.com/DQmZrzxcjto7couqhw2Andgh4xgc1171ac3ANR9KX4wqWBE/verify%20seed.jpg) 9.The next process was adding the cosigners 1 and cosigner 2 which required them to send me their MPKs which I added up and then I had to create a strong password for the account afterward

![cosigner 1 nm.jpg](https://cdn.steemitimages.com/DQmSi5ys2VajSaWmFsV1wnspj4RRJXHELXNED9ys4cijQGQ/cosigner%201%20nm.jpg)

![cosigner 2 nm.jpg](https://cdn.steemitimages.com/DQmbSZUf51Njt8Q9rQAqHvsRmLML7Y6gMAqSHZiKtP6ZaJn/cosigner%202%20nm.jpg)

![line 2.jpg](https://cdn.steemitimages.com/DQmNn5GUZJbwBWcCSsC6L2ZTN3DmPAqHthWPwZoS6Kc8y5G/line%202.jpg) ## What is the difference between Seed key and MPK? ![line 2.jpg](https://cdn.steemitimages.com/DQmNn5GUZJbwBWcCSsC6L2ZTN3DmPAqHthWPwZoS6Kc8y5G/line%202.jpg) The seed key is the most important key in a wallet that can be used to generate the master keys and can be used to recover wallets. it is also important to know that for a transaction to through, it is the seed key that is used Master public key- like the name implies, it can be shared with others who will form part of the wallet's cosigners, it cant be used to validate transactions and cannot be used to generate other keys. its main function is to be used to add up cosigners I will not share my seed key with anyone cause it's just like me offering my wallet account to the person to do whatever he or she wills ![steemit crypto academy line.png](https://cdn.steemitimages.com/DQmQbPG1eewEEMGwcRaep9jNLjqJUrVAB85FtmPhychnp4i/steemit%20crypto%20academy%20line.png) # (3) How many different "m of n combinations" Multisig wallets you can construct in Electrum? How do you Export your Seed & Private Key(Electrum) in a Multi-sig wallet? (Screenshots needed) ![steemit crypto academy line.png](https://cdn.steemitimages.com/DQmQbPG1eewEEMGwcRaep9jNLjqJUrVAB85FtmPhychnp4i/steemit%20crypto%20academy%20line.png) in setting up my wallet I decided to check the maximum amount of cosigners and signatures that the wallet allowed and I discovered it had a maximum of 15 of 15 combination ![15 of 15.png](https://cdn.steemitimages.com/DQmSXUvfTmDMvCvJQkLTmncfAGzU3AXciWV4JZrZwoptYQQ/15%20of%2015.png) ![line 2.jpg](https://cdn.steemitimages.com/DQmNn5GUZJbwBWcCSsC6L2ZTN3DmPAqHthWPwZoS6Kc8y5G/line%202.jpg) ## How do you Export your Seed & Private Key(Electrum) in a Multi-sig wallet? (Screenshots needed) ![line 2.jpg](https://cdn.steemitimages.com/DQmNn5GUZJbwBWcCSsC6L2ZTN3DmPAqHthWPwZoS6Kc8y5G/line%202.jpg) We are going to start 1.I opened my wallet and then clicked on the wallet ![wallet open.jpg](https://cdn.steemitimages.com/DQmXX6LF9tPN9buutztADKjvGz1suWFxcvVqfCFoNhuq1ay/wallet%20open.jpg) 2.Dropdown box appears and we click on private keys and then export ![export pkye 1.png](https://cdn.steemitimages.com/DQmTqwrUtSBLT8dHMnPCaDbfBsGzdXgaTMF1mMTJjBV9UCz/export%20pkye%201.png) 3.You are expected to put in your password and the keys will be exported to your internal storage

![ACA87F90-FE71-44E0-8DF1-F84EB91F6DB4.jpeg](https://cdn.steemitimages.com/DQmW5BpmqbRGJALRrabdwJefeNxWUhDymarehbZQnXJo2YT/ACA87F90-FE71-44E0-8DF1-F84EB91F6DB4.jpeg)

![exported.png](https://cdn.steemitimages.com/DQmV9BWtWfnXXVz8xJkxrDAn9aKkbB93e4Y9NewbxBewgoc/exported.png)

![line 2.jpg](https://cdn.steemitimages.com/DQmNn5GUZJbwBWcCSsC6L2ZTN3DmPAqHthWPwZoS6Kc8y5G/line%202.jpg) ## How to export seed keys ![line 2.jpg](https://cdn.steemitimages.com/DQmNn5GUZJbwBWcCSsC6L2ZTN3DmPAqHthWPwZoS6Kc8y5G/line%202.jpg) 1.I opened my wallet and then clicked on the wallet ![wallet open.jpg](https://cdn.steemitimages.com/DQmXX6LF9tPN9buutztADKjvGz1suWFxcvVqfCFoNhuq1ay/wallet%20open.jpg) 2.A dropdown box appeared and I clicked on seed ![seed 101.png](https://cdn.steemitimages.com/DQmdxiuqYvH1SY8DdN3AzhdNBxG4aWxzBbBEYvCpddui1CR/seed%20101.png) 3.You are expected to put in your password and you will see the seed note that the seed is only visible for you copy it out and store anyplace of your choice unlike the private keys that are exported to internal storage

![ACA87F90-FE71-44E0-8DF1-F84EB91F6DB4.jpeg](https://cdn.steemitimages.com/DQmW5BpmqbRGJALRrabdwJefeNxWUhDymarehbZQnXJo2YT/ACA87F90-FE71-44E0-8DF1-F84EB91F6DB4.jpeg)

![seed show.jpg](https://cdn.steemitimages.com/DQmXyxvFc8TemtToYRu9j4NVNygp5qRNYm7WyGvWaei7mQX/seed%20show.jpg)

![steemit crypto academy line.png](https://cdn.steemitimages.com/DQmQbPG1eewEEMGwcRaep9jNLjqJUrVAB85FtmPhychnp4i/steemit%20crypto%20academy%20line.png) # (4) Perform a real transaction(Send BTC) to another Address using 2 of 3 Multisig wallets? (You can perform a micro-transaction for this Task, also send a partial amount to demonstrate your experience with Change Address, screenshots needed). ![steemit crypto academy line.png](https://cdn.steemitimages.com/DQmQbPG1eewEEMGwcRaep9jNLjqJUrVAB85FtmPhychnp4i/steemit%20crypto%20academy%20line.png) In this example, I would first need to get BTC but I have trx so I will be converting my trx to mbtc using [changenow.io](changenow.io) to perform this task. 1.I went to the site and then type in the amount of trx I wish to convert ![changenow 1.png](https://cdn.steemitimages.com/DQmStQszBckxDAmJD5KDhG5wuh5AEDuXKvEiX2aRrkicNJr/changenow%201.png) ^{image from changenow.io} -------------------------------------------------------- 2.I was asked to transfer and then went through a confirmation stage ![confrimationm.jpg](https://cdn.steemitimages.com/DQmPM83bn6N8zzpTjKymbfvFE4vc6CvKWJ4E7KiromWEdQX/confrimationm.jpg) ^{image from changenow.io} --------------------------------------------------------------------- 3.After I converted my trx to BTC and transferred it to my standard wallet cause changenow.io doesn't work with a multi-sig-wallet ![confirmed.jpg](https://cdn.steemitimages.com/DQmdh75ZqZrnRLLcfb6asCRzeZ2YZjgQEGzGFercbj6m6Km/confirmed.jpg) ^{image from changenow.io} --------------------------------------------------------------------- New balance : ![balance std.jpg](https://cdn.steemitimages.com/DQmf3C84FhWCXkzVJUdqh4XWVVQ5t738y35sffGzb36Kpb5/balance%20std.jpg) ---------------------------------------------------------- 4.Now we send the BTC from standard wallet to multi-sig wallet ![std to multisig.png](https://cdn.steemitimages.com/DQmfBD6SawhDmYGdF1U1r9r2rU6hh4WLV73XhsU1yAffizA/std%20to%20multisig.png) 5.We are now asked for our password which we put ![std to multisig pwd.png](https://cdn.steemitimages.com/DQmNcuwoZzWKNF3iwEoy3GDAmLjXhTERGBpiVSLpbS8s6HT/std%20to%20multisig%20pwd.png) 6.The transaction was confirmed and my multi-sig wallet balance changed ![std to multisig conf.png](https://cdn.steemitimages.com/DQmZtPjxfF9tgHCoh9FzrFebebGF31wge2ZshDt8uZ1zVCh/std%20to%20multisig%20conf.png) ---------------------------------------------------------------------- ![multi sig bal.jpg](https://cdn.steemitimages.com/DQmP3Vs9WhgVPEAs73uytX9ExXzApWR3WxDvQbNZsfBPMpr/multi%20sig%20bal.jpg) ## TRANSFER PROCESS FROM MULTISIG WALLET 1.I would open my multi-sig wallet and then click on send section. I am moving my BTC from the multi-sig wallet to my standard wallet so when we click send option, we fill in details by pasting the address of my standard wallet ![multisig send 1.png](https://cdn.steemitimages.com/DQmQKeK1wMX1wtNsmCFpyd5B2D6BsWCUpa8hNhPhDqxC56r/multisig%20send%201.png) --------------------------------- 2.Next we can see the transaction details, I am sending out which include0.21mBTC which is the amount I am sending out, in the transaction box below we see the RECIEVER'S ADDRESS which is green in color getting the total mBTC in my account but look below we see a yellow address below known as CHANGE ADDRESS which we see a value 0.1676mBTC. This is the difference between the amount I am actually transferring and the amount I have in my account and change address is where the amount difference is transferred to. ![transaction.jpg](https://cdn.steemitimages.com/DQma92NfJg7Q2qMCaDjyyekqHGWurqydXZN1FTCWDewfvhV/transaction.jpg) -------------------------------------------------- 3.We now have to export transactions and get our second signature from one of the other cosigners. Firstly we export transactions first ![ihudsersyghoijoigfiuknm.jpg](https://cdn.steemitimages.com/DQmef4NPU8yaCEhEhgtgeaUje1D6sQH3AYZkBiDGgpTutE1/ihudsersyghoijoigfiuknm.jpg) --------------------------------------------------- 4.Unfortunately I lost my keys to my other cosigners and could not complete the transaction ![steemit crypto academy line.png](https://cdn.steemitimages.com/DQmQbPG1eewEEMGwcRaep9jNLjqJUrVAB85FtmPhychnp4i/steemit%20crypto%20academy%20line.png) # (5) What is the difference between Receiving Address & Change Address? Demonstrate your experience with a Change Address? ![steemit crypto academy line.png](https://cdn.steemitimages.com/DQmQbPG1eewEEMGwcRaep9jNLjqJUrVAB85FtmPhychnp4i/steemit%20crypto%20academy%20line.png) The change address: This is an address created automatically by the wallet to store the remaining fund from a transaction, the fund got when we subtract the initial amount from the amount we are sending. The address is often represented with a yellow color in the transaction details. The UTXO from a transaction is sent here RECIEVING ADDRESS: This is the address that receives the funds you are sending and is often depicted with a green color on the transaction area ![RECIEVING ADDRESS.png](https://cdn.steemitimages.com/DQmP7trb4varNYiUPVZsyhxGB2NKXCUo5fSwWVxPc9d7pdq/RECIEVING%20ADDRESS.png) ^{IMAGE FROM CANVA} ![crypto academy.png](https://cdn.steemitimages.com/DQmdrhaqUzyFuppcpZucfNfKPfMaFe2cHHGjvhyj931q9oM/crypto%20academy.png) CONCLUSION ![crypto academy.png](https://cdn.steemitimages.com/DQmdrhaqUzyFuppcpZucfNfKPfMaFe2cHHGjvhyj931q9oM/crypto%20academy.png) The multi-sig wallet is actually a new thing to me and something very good for maintaining transparency in business while allowing more than one person to co-own assets and it offers higher security too. It was also important to know that what is shared to cosigners was the master public key and not one's seed key I am really disappointed I couldn't finish the transaction honestly but I did my best and I actually learned a lot from the class ALL SCREENSHOTS WERE TAKEN FROM THE ELECTRUM APP ON MY LAPTOP USING SNIP AND SKETCH APP