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Gnosis Safe Spending Limits. A new way to access funds from your… | by Lukas Schor | Dec, 2020


Most accounts on Ethereum today are EOAs (short for Externally Owned Accounts). These accounts consist of a simple private-public key-pair, meaning whoever has access to the private key of the account has access to all digital assets associated with it. This also means those regular accounts are prone to hackers gaining access over single private keys or users losing their seed phrases, both resulting in permanent loss of all digital assets associated with them. Even more, there is a direct conflict between keeping a private key secure and having it easily accessible at any time.

Our mission is to establish a new account standard resolving the issues inherent to EOAs. This is why we’ve built Gnosis Safe.

Defining private key access rules means creating and enabling a personalized account security scheme that can involve multiple people, backup devices, or multi-factor authentication for individuals.

Safe Modules are written as an Ethereum smart contract, defining additional access-control logic. These modules can, in theory, be arbitrarily complex and range from features such as role-based access, account automation, and even recovery mechanisms.

As a first official implementation of a Safe Module into our solution, we now launch the Spending Limit feature. With Spending Limits, small transactions can be made without the overhead of getting approval from multiple signers of the Safe.

Setting Spending Limits facilitates expanded access while maintaining a secure setup, to avoid compromising on convenience when conducting smaller, less critical transactions.



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