Using a multisig to secure your personal assets

Written by Gentian Edwards • Aug 4, 2022

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As an average Web3 user, I use Phantom as my wallet and interact with a few dapps; Magic Eden for buying and selling NFTs, Matrica for connecting with Discord communities or Orca for token purchases. I nervously connect to new dapps and worry about clicking the spam NFTs that have started to invade my wallet. With the recent Slope wallet breach and seeing many people's wallets get emptied across my Twitter feed, I’ve realised it's time to add another level of security. 

 

Prerequisite 

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What is multisig?

A multi-sig is a type of wallet that requires a group of approvers (multiple signatures) to complete transactions. Teams can rest assured that their funds are safe by requiring approval from multiple members to perform actions like sending tokens. . As an individual managing personal assets, I can create multiple wallets and confirm the transaction with an additional approval step similar to 2FA. 

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Isn't a hardware wallet better?

A hardware wallet is a small device (Ledger) that stores keys or seed phrases to access your assets. Many people use hardware wallets for the convenience of creating multiple accounts and generating new public wallet addresses for each transaction. Hardware wallets never connect to the internet and cannot be hacked remotely. An attacker would have to be physically present with the device to attempt a breach, which makes them highly secure. But at the same time, the tradeoff here is convenience. Having a device on hand when on the go lacks the seamless integration of a software wallet that can be quickly connected via a computer or a mobile device. Additionally, if you lose things easily (i.e Airpods, keys) it’s another small thing to keep track of!

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Creating a personal multisig on Cashmere

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  1. You'll need more than one wallet address. If you're using Phantom and only have one, go to the menu button, select “+ Add / Connect Wallet”, and generate another wallet address.
  2. Go to app.cashmere.finance
  3. Click “Create Wallet” and give your multi-sig a name
  4. The first owner will be auto filled with your current Phantom wallet. Give this wallet a name, and then add the label “Primary” as an identifier for this Phantom wallet.
  5. Now add a secondary wallet address. I'd recommend giving this the name “Secondary” and then add the address of the wallet you created in Step 1
  6. Repeat with more wallets if you want additional security
  7. Set the number of signers to at least 2
  8. Click “Create Wallet”
  9. Confirm the transaction on your Phantom setup your Cashmere wallet
  10. That's it; you're set up with a Cashmere multi-sig! Your multi-sig address can be found in the top navigation bar. 

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Moving assets from Phantom

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  1. Go to your Phantom wallet
  2. Click the asset
  3. Click send
  4. Copy your wallet address from Cashmere
  5. Send (this might take a few moments)

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Listing NFTs on Magic Eden

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Today, you'll need to send that NFT back to your Phantom wallet to list them on Magic Eden.

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  1. In your Cashmere Wallet, click “Send” under the asset you want to transfer
  2. Put “1” for the Quantity
  3. Add your Phantom address as the Receiver Address
  4. Click “Send”, approve the transaction with your multi-sig signers, and execute
  5. Then connect to Magic Eden and complete the listing from your Phantom

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Connecting to Discord

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Again, you’ll need to send the verifiable asset to your Phantom wallet to verify your membership. 

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  1. In your Cashmere Wallet, click “Send” under the asset you want to transfer
  2. Put “1” for the Quantity
  3. Add your Phantom address as the Receiver Address
  4. Click “Send”, approve the transaction with your multi-sig signers, and execute
  5. Verify in Discord with your Phantom, usually with Matrica or Grape

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Earn yield on your Funds

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Any USDC or Solana held in your Cashmere wallet can earn yield directly from the wallet with partners like Castle and Marinade. Check out this article to learn more.

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Swapping Tokens

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This is going to be added to Cashmere soon!

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Sending funds / NFTs out of your Cashmere Vault.

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  1. NFT’s: Click “Send” and select the address you want to send to.
  2. Tokens: Click “Transfer” and add the address of the recipient. You can check Solscan that the transaction went through after executing.

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Need help? Chat with us

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