It is a fascinating, simple and effective mechanism with ironclad security.
With multisig, multiple keys are required to authorize a Bitcoin transaction. It allows for the division of responsibility for the possession of bitcoins among multiple parties or points of use.
Satori Coin Gi is a 2-of-2 multisig address product. The first key, generated by us, is inside the physical token under the hologram sticker. Our record of this key is destroyed upon successful delivery. The second key is generated by you and inside your downloaded Redeem Kit, and it is never known to us.
Benefits of using multisig in Satori Coin Gi:
Towards a trustless model
The architecture of our service offers a 0.01 BTC embedded physical token, while minimizing the risk of you getting Goxed! During the ordering process, when you generate your client-side keys, only you will have access to your sensitive information. This data is not transmitted to us or any third parties. There is no way for us to steal your internally loaded funds.Your 0.01 BTC deposit is always destined to arrive at the address that belongs to the Satori Coin Gi that you have purchased.
Of course, we can be nefarious and simply not ship you the product. But we have no incentive to do so, since not having access to your key means that we cannot steal your deposit. Some may say that we can just run off with the amount you paid for the physical token fee, and that is indeed technically possible. But in reality, our team is based on a business foundation of close to 30 years, in successfully selling various consumer products to clients all over the world. Our business model has always been to manufacture decent, reliable products and sell to consumers and make them happy so that we can sustain our business. We are determined to continue this cycle.
Clearing regulations
In the past, the Japanese financial service agency implied to us that any transactions resulting in an exchange of bitcoin private keys (even if that is a buy and sell of equal value) would require a notoriously expensive cryptocurrency exchange license. This is the reason we had to shut down the original Satori Coin operations in 2017. Anyway, in the previous case of the original Satori Coin with 0.001 BTC embedded, we accepted BTC as the only payment and no fiat money. However, from the standpoint of KYC (Know Your Customer) guidelines, not implementing strict customer screening meant an infringement of money laundering regulation.
Safety in shipment
In the past, except for a single piece, every original Satori Coin that we sold safely passed through customs of numerous countries around the globe. But it is no brainer that shipping across borders, a private key worth today’s BTC value, is no longer a good idea. The good news is that the token embedded with our private key is of no value without the key that only you are in possession of. So, the invoice needed to submit the customs clearing process, the amount only needs to reflect on the cost of the physical token.
At the worst case scenario, where the token is confirmed to be confiscated or lost, the internal value can be recovered via our refund process. The physical token's value, may be able recovered through shipping insurance if selected during checkout. See What is your refund policy? for more information.