In a major step for decentralized digital asset recovery, Input Output, the developer behind Cardano, and Hedera have officially joined the DeRec Alliance. They enter as the final founding members, alongside blockchain industry leaders Ripple, Algorand, HashGraph, and XRPL Labs. This collaboration aims to make digital asset recovery both secure and user-friendly.
The Core Problem: Risk of Permanent Asset Loss
In the world of cryptocurrency and blockchain, users are often faced with the challenge of securely managing their private keys. The loss of these keys can lead to permanent loss of access to their digital assets, with no centralized entity available to help recover them. The DeRec protocol is designed to solve this problem by decentralizing the recovery process through a “secret-sharing” system.
As an industry seeking to drive wider adoption, we should all be committed to the relentless pursuit of security, accessibility, and improving the user experience.
Charles Hoskinson, Cardano founder and Input | Output CEO
This system divides a user’s private information into encrypted fragments, which are distributed among trusted helpers. No single helper has access to the full secret, and the user can recover their information by reassembling a majority of these fragments. This method greatly reduces the risks associated with traditional recovery methods and provides a more user-friendly experience.
Expanding the DeRec Alliance with Key Innovators
Input Output and Hedera are significant additions to the DeRec Alliance, both bringing years of experience in blockchain development and innovation. Charles Hoskinson, CEO of Input Output, emphasized that open-source collaboration and cross-industry cooperation are essential for the industry’s growth. As more organizations join the alliance, the goal of creating a universal recovery standard becomes more achievable.
Hedera, known for its enterprise-level distributed ledger technology (DLT), joins with a focus on enhancing security and usability. Charles Adkins, President of Hedera, highlighted the importance of simplifying asset recovery processes for the average user. The complexity of managing private keys and the risk of permanent loss deter many potential users from fully embracing blockchain technology. The DeRec Alliance’s solution aims to remove these barriers, making Web3 technologies more accessible to the masses.
From the very beginning, Hedera has been at the forefront of digital asset security. The DeRec Alliance takes this one step further by introducing an open-source protocol that simplifies asset recovery, aligning closely with our mission to enable a new era of trust and transparency. We are proud to join this alliance and make asset protection more accessible and user-friendly.
Charles Adkins, President of Hedera
New Alliance Members Enhance the Mission
The DeRec Alliance continues to expand with the addition of several new members, including the DLT Science Foundation, HashPack, Oasis Protocol Foundation, and Palisade. These organizations bring their expertise from various sectors, further enhancing the alliance’s mission to build a secure, decentralized recovery protocol.
They now join prominent blockchain leaders such as Constellation Network, The Hashgraph Association, Casper Association, and the HBAR Foundation. Together, these organizations strengthen the alliance’s capacity to address key challenges in digital asset recovery.
Dr. Paolo Tasca, Founder of the DLT Science Foundation, praised the DeRec protocol’s innovative approach. He emphasized its ability to eliminate single points of failure, providing a secure and reliable solution for managing and recovering private keys.
Similarly, HashPack, a leading non-custodial wallet on the Hedera network, views DeRec as a critical innovation. May Chan, HashPack’s CEO, expressed excitement about integrating DeRec’s recovery features into their platform, which will offer significant benefits to their users. The contributions of these members, alongside established organizations like Constellation Network and The Hashgraph Association, position the DeRec Alliance as a leader in developing secure, accessible solutions for digital asset management.
DeRec has the potential to solve many of the issues users face around managing and recovering their accounts, and we’re excited to one day be able to bring these features to our users.
May Chan, HashPack CEO
Governance and Leadership Roles
As founding members, Input Output and Hedera will serve two-year terms on the alliance’s Technical Oversight Committee (TOC). This group oversees the governance of the DeRec protocol, ensuring that it remains focused on industry needs. Input Output and Hedera’s leadership roles will allow them to help shape the direction of the alliance’s policies. Their guidance will contribute to refining asset recovery processes that meet the demands of a growing Web3 user base.
The Future of Web3 Security
The DeRec Alliance represents a major step forward in creating a unified and interoperable approach to digital asset recovery. This alliance makes it possible to recover assets and manage secrets across blockchain platforms, fostering a seamless user experience. The involvement of industry veterans like Input Output, Hedera, Ripple, Algorand, and XRPL Labs ensures the protocol will meet high standards of security and usability.
By creating a simple, secure solution for recovering lost assets, the DeRec Alliance is making blockchain more accessible. This could help drive greater adoption of decentralized technologies.
To learn more about the DeRec Alliance and its mission, visit their official website.
