Thanks for this extensive review. We acknowledge indeed ZenGo can in theory refuse to sign a transaction and while this has never happened once in over hundreds of thousands of transactions i would ask only one question: the weight of risk. What is most likely to happen? Losing a password or something that in theory could affect a user who may in theory be in the spot of the law to be point this may be necessary by court order for example? What we observe is that while this question does matter it is not as critical as people in crypto think. This is why most people are ok with exchanges in the first place (which are way worse from a custody risk point of view). Finally MPC servers over time will be also distributed and users will have a choice to chose their operator (but this is not for now).
Thanks for this extensive review. We acknowledge indeed ZenGo can in theory refuse to sign a transaction and while this has never happened once in over hundreds of thousands of transactions i would ask only one question: the weight of risk. What is most likely to happen? Losing a password or something that in theory could affect a user who may in theory be in the spot of the law to be point this may be necessary by court order for example? What we observe is that while this question does matter it is not as critical as people in crypto think. This is why most people are ok with exchanges in the first place (which are way worse from a custody risk point of view). Finally MPC servers over time will be also distributed and users will have a choice to chose their operator (but this is not for now).