Secure Multi-Party Computation (SMPC)
Web3 / privacy technology
Secure multi-party computation is a cryptographic protocol that allows multiple independent parties to jointly compute a function using their private inputs while ensuring no party learns anything about other parties' inputs except what the final output necessarily reveals. Each participant only ever sees the encrypted shares of the computation, never the actual input data from others. When properly implemented, SMPC guarantees that participants cannot deduce other parties' information even if they attempt to collude or cheat, making it possible for untrusting parties to collaborate on calculations while preserving input confidentiality. Example: MPC wallets like Fireblocks and Coincover use secure multi-party computation to split private keys across multiple parties or nodes. No single entity holds the complete key, and transaction signing requires multiple parties to jointly compute the signature without any party ever reconstructing the full private key, preventing single points of failure and insider theft. Why it matters for privacy technology: SMPC enables trustless collaboration and threshold security models essential for DeFi protocols and custodial services. It allows cryptocurrency systems to eliminate single-party custody risks while maintaining transaction privacy and data confidentiality across distributed infrastructure.
Explore the full Web3 Glossary — 2,062+ expert-curated definitions. Need guidance? Talk to our consultants.