> For the complete documentation index, see [llms.txt](https://nativerse.gitbook.io/docs/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://nativerse.gitbook.io/docs/getting-started/our-approach-to-addressing-key-challenges.md).

# Our Approach to Addressing Key Challenges

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### ***Enhancing BTC Staking with 2PC-MPC Technology***

### **Challenge**

BTC liquid staking solutions often rely on custodial models or centralized intermediaries, compromising the decentralization and trustless nature that blockchain ecosystems strive to uphold. Ensuring **secure custody** and enabling **seamless interactions** in a decentralized manner is a significant challenge, especially when facilitating advanced functionalities like staking, unbonding, and instant liquidity. Additionally, centralized systems introduce risks such as single points of failure and potential collusion, undermining the security of user assets.

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### **Nativerse Solution**

To overcome these challenges, Nativerse uses a **cutting-edge 2PC-MPC (Two-Party Computation Multi-Party Computation) technology**, which establishes a **Zero Trust architecture** for BTC staking. This advanced cryptographic protocol ensures that all transactions and operations remain decentralized, secure, and verifiable.

* **Decentralized Collaboration**:\
  The 2PC-MPC protocol enables both the user and the decentralized 2PC-MPC network to collaboratively generate cryptographic signatures (e.g., ECDSA). This process requires simultaneous verification from multiple nodes, ensuring that no single party, including Nativerse, can independently control or manipulate the transaction.
* **Multi-Party Security**:\
  By leveraging thousands of decentralized nodes, 2PC-MPC eliminates single points of failure, significantly reducing the risk of collusion or centralized interference. Each transaction undergoes rigorous decentralized verification, adhering to the Zero Trust principle.
* **Zero Custody Liquid Staking**:\
  Users retain full control of their private keys, even during staking. The system generates a unique **2PC-MPC wallet** for each user, which requires both users partial signature and network validation for any transaction. This design ensures a **non-custodial staking experience** while maintaining the highest levels of security.

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**How It Works**

1. **Collaborative Signature Generation**:\
   For every transaction, both the user and the Ika's node validator network participate to generate cryptographic signatures. This process ensures:
   * Transactions are jointly validated, adhering to Zero Trust principles.
   * No single entity has unilateral control over the transaction.
2. **Decentralized Node Verification**:\
   The 2PC-MPC network independently verifies each transaction request through its nodes, creating a **multi-layered security system**. This decentralized model prevents manipulation and ensures transparency.
3. **Secure Staking and Unstaking**:
   * **Staking**: Users can securely stake BTC from their personal wallets, with the 2PC-MPC system enabling trustless signature participation.
   * **Unstaking**: The Instant Unstake feature allows users to transfer their **2PC-MPC wallet’s key share** to Nativerse. This delegation enables immediate access to liquidity from the Satoshi Reserve Pool while Nativerse manages the withdrawal process.
