Multi-Signature (Multisig)
Quick Answer
Multi-signature requires multiple private keys to authorise a transaction (e.g., 2-of-3 signers), used by businesses to protect treasury and settlement wallets.
Full Definition
Multi-signature is a security mechanism requiring multiple private keys to authorise a transaction. A common setup is 2-of-3 — where any two of three designated signers must approve. Multisig wallets are used by businesses and DAOs to protect treasury funds, prevent single points of failure, and enforce operational controls. Payment providers often use multisig for securing merchant settlement wallets.
Related Terms
Mainnet
Mainnet is the production blockchain where real transactions occur, as opposed to testnets used for development. Going live on mainnet means processing real customer payments.
Mempool
The mempool is a holding area for unconfirmed transactions waiting to be included in the next block. Payment providers monitor it to set gas prices and estimate confirmation times.
Merchant
In crypto payments, a merchant is any business accepting cryptocurrency for goods or services, integrating via API, SDK, or hosted checkout to receive and settle payments.
Multi-Chain
Multi-chain means supporting multiple blockchain networks simultaneously, allowing customers to pay from whichever chain their funds are on without bridging first.