Abstract

If tokenized assets are to be a reality in the future decentralized Web3 then transaction keys need to be distributed and under the control of the asset-owners. This requires a careful design of wallet systems based on trusted hardware. A core feature needed for wallet systems is the attestation of the state of the transaction keys in the wallet without disclosure of the keys. This feature is relevant for relying parties such as insurance providers who need to perform risk assessment based on the security quality of the environment inside the wallet system that is protecting the transaction keys. In the longer term, all key-bearing devices that participate in a decentralized tokenized asset network will need to be hardened using trusted hardware, with attestation capabilities for detecting and countering cyberattacks.