Coinbase Shares Secure MPC Code for Wider Industry Protection

To enhance security in the cryptocurrency industry, Coinbase Institutional has made its multi-party computation (MPC) cryptography library accessible to the public.

MPC technology minimizes the risk of theft or unauthorized access by enabling multiple parties to sign transactions without revealing their private keys. On March 27, Coinbase announced that they have open-sourced tools for transaction signing and secure key protection techniques, along with technical documentation to assist developers in integrating MPC into their systems.

We’re setting a new standard for cryptographic transparency by open-sourcing our multiparty computation (MPC) cryptography library.

This technology already protects Coinbase's assets, but we're raising the bar for security across the industry by making it…

With the code now hosted on GitHub, developers and organizations can seamlessly incorporate MPC into their security systems. Coinbase aims to encourage the industry's broader adoption of advanced security features by open-sourcing these tools. The company has also initiated a bug bounty program for security researchers to help identify and rectify any errors in the code.

Since its launch in 2021, Coinbase Prime, the company's institutional platform, has experienced significant growth, safeguarding $404 billion in assets and facilitating $364 billion in quarterly institutional trading volume. It currently supports more than 430 assets for custody and over 250 for trading. Enhancing security continues to be a top priority as more institutions adopt Coinbase Prime for secure transactions and custody.

Coinbase Institutional's recent move aligns with the increasing number of cyberattacks targeting the crypto industry. In the first quarter alone, hackers stole a record-breaking $1.64 billion, making it the worst quarter for security breaches in history, according to Immunefi's Q1 2025 report.

94% of all losses occurred on centralized platforms. The Bybit hack alone accounted for $1.53 billion, making it the largest exploit in crypto history. Ethereum (ETH) and BNB Chain (BNB) were the primary targets for on-chain exploits, with 15 and 19 attacks, respectively.

So far, only $6.5 million, or 0.4% of the total funds stolen in Q1, has been recovered. Coinbase's decision to make its MPC library open-source may contribute to improved security measures for the sector as hackers become more sophisticated.