The article discusses the limitations and risks associated with traditional software-as-a-service (SaaS) based multi-party computation (MPC) custodians in the crypto industry. While these custodians are often seen as convenient solutions for managing decentralized assets, they introduce centralization and potential vulnerabilities. SaaS-based MPC wallet providers require users to trust a centralized party for signing and key generation, which goes against the decentralized ethos of the crypto industry. This centralization not only increases security risks but also limits the autonomy of crypto businesses. Furthermore, the heavy reliance on third-party vendors for day-to-day operations introduces significant risks and operational inefficiencies. The article suggests that institutions should transition to a "trust but verify" or a "never trust, always verify" approach by owning and controlling critical parts of their digital asset infrastructure. This paradigm shift is essential for safeguarding crypto's core values and fostering trust and security in the industry.



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