Coinbase Institutional Opens Up Its MPC Library to Strengthen Security in the Crypto Sector
Date: 2025-03-28 Author: Gabriel Deangelo Categories: BUSINESS
In response to the growing threats of cybercrime in the cryptocurrency industry, Coinbase Institutional announced the open access of its multi-party computation (MPC) cryptography library. This technology allows multiple parties to jointly sign transactions without revealing private keys, thereby significantly reducing the risk of hacks and unauthorized access.
On March 27, Coinbase posted the source code for secure transaction signing and key management tools on GitHub, as well as detailed technical documentation so that developers can easily integrate MPC solutions into their systems. At the same time, the company launched a bug bounty program to attract cybersecurity researchers to find possible bugs in the code.
Coinbase hopes that this move will encourage the wider adoption of modern security measures in the industry. This has become especially relevant against the backdrop of a surge in attacks: according to the Immunefi report for the first quarter of 2025, $1.64 billion was stolen - an anti-record in the history of the cryptosphere.
Centralized platforms accounted for 94% of all losses. The Bybit hack was the largest incident, causing damage of $1.53 billion. Ethereum and BNB Chain were the most frequently targeted by hackers, with 15 and 19 attacks, respectively. However, only $6.5 million was recovered, which is only 0.4% of the amount stolen.
The initiative to open the MPC library is not the first attempt by Coinbase Institutional to strengthen trust and security in the industry. Since the launch of the Coinbase Prime platform in 2021, the company has seen rapid growth, with assets under management reaching $404 billion and quarterly institutional trading volume of $364 billion. The platform supports more than 430 assets for custody and 250 for trading.
As digital assets become increasingly attractive to institutional investors, ensuring the security of transactions remains a priority. The publication of the MPC library is a step towards a more transparent and resilient crypto infrastructure that can withstand new challenges.
