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Algorand Announces Unique Key Management Approach

  • Posted on October 14th, 2020
  • in Blockchain
  • By Brandon Caruana

Presently, the majority of blockchains require a complete transfer of funds from one wallet to another in order to enable trustless transactions between two parties. This process creates unnecessary risks and substantial inefficiencies. Algorand has announced a New Rekeying feature, which allows users to change their Private Spending Key without having to change their Public Address.  
 
In most cases, a Public Address and Private Spending Key come in unique pairs and the combination cannot be broken. Each time a user changes one, the other one must also be changed. As the use of keys continues to increase, this practice has become less secure and an inefficient way to manage Private Spending Keys and Public Addresses. Prior to this approach, each time a Private Spending Key was compromised, an entirely new account inclusive of a Public Address and Private Spending Key would need to be opened.  
 
 
By offering rekeying, users are provided with the following: 
 
1. Flexibility in their ability to change the Private Spending Key as required without needing to change the public address. 
 
2. Operational efficiency to maintain existing Public Address identities for other people and custody providers that continuously transact with that Public Address. In turn, lowering any operational burden.  
 
3. Continuity with the ability to continue using the same Public Address and keeping the assets in the same location.  
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Brandon Caruana
Brandon Caruana

Recognized for building bridges between technology and business divisions, Brandon forges successful working relationships with all levels of team members, encouraging communication and cooperation to effectively provide easy to use systems which improve efficiency and increase profitability.

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