# Multisignature (multisig)

Multisignature (multisig) is an on-chain mechanism requiring several distinct private keys to sign before a transaction is valid, for example two of three. Unlike MPC, which produces one signature from key shares off-chain, multisig places the approval logic on the blockchain itself, visible to the network.

## Where multisig fits in institutional custody

Multisig is transparent and battle-tested but chain-specific, gas-heavier, and it publishes the governance structure on-chain. Institutions usually prefer policy engines and quorum approvals enforced off-chain in the custody platform, with HSM-held keys, which behave identically across all supported blockchains.

Taurus-PROTECT enforces rule-based governance with quorum approvals uniformly across 45+ blockchains, independent of any single chain's multisig support.

FAQ:

- Multisig, MPC, or HSM quorum: which is safest? Each distributes trust differently. Multisig is on-chain and transparent, MPC splits one key off-chain, HSM quorum keeps complete keys in certified hardware behind rule-based approvals. Banking-grade deployments favor HSM-held keys with platform-enforced quorum, portable across every chain.

Related: https://www.taurushq.com/glossary/quorum-approval/ https://www.taurushq.com/glossary/multi-party-computation-mpc/ https://www.taurushq.com/protect/

Learn more: https://www.taurushq.com/glossary/multisignature-multisig/