Search arXivSearch

arXiv · 2608.07104

SoK: Cryptographic Key Recovery for Cryptoasset Custody and Financial Technologies

Abstract

Cryptoasset systems often bind cryptographic key control to financial control: losing a wallet seed, custody share, hardware device, or smart-account credential can remove spend authority, while compromised recovery can enable theft. Existing work treats recovery through separate vocabularies--key backup, secret sharing, account recovery, credential re-issuance, social recovery, and asset migration--making mechanisms and tradeoffs difficult to compare. This paper presents a Systematization of Knowledge (SoK) on cryptographic key recovery for cryptoasset custody and financial technologies. Starting from a 118-paper systematic-review discovery corpus, we derive a 77-paper synthesis corpus and code each retained system in a master matrix covering recovered objects, recovery semantics, mechanisms, enrollment and storage, authorization, trust placement, failure events, post-recovery state, validation evidence, deployment status, privacy, usability, and limitations. The matrix supports an axis-first taxonomy that separates secret-restoring, hybrid, control-restoring, forensic/extractive, and framework-oriented recovery. Our central observation is that recovery is not a single operation: systems may reconstruct an original secret, regenerate a seed, restore a share, reissue a credential, migrate signing authority, restore account control, move assets, or extract forensic artifacts. We derive a generalized construction model, check it against production-facing designs, and identify six findings: recovery semantics are heterogeneous; recovery shifts trust; liveness improvements create abuse paths; post-recovery lifecycle management is uneven; protocol evidence outpaces user evidence; and recovery metadata remains underprotected. These gaps motivate a research agenda for recovery-aware financial technologies.

Explore related subjects

Keep this discovery

Explore connections, maps & timelines

BibTeXRIS

Francisco Javier Becerra Sanchez, Antonio Ken Iannillo, Radu State. 2026-08-07. SoK: Cryptographic Key Recovery for Cryptoasset Custody and Financial Technologies. https://arxiv.org/abs/2608.07104

Cite the original work for its findings. Save a collection to share your selection of sources.

KEEP EXPLORING

Related papers

Starfish: Rebalancing Multi-Party Off-Chain Payment Channels

Blockchain technology has revolutionized the way transactions are executed, but scalability remains a major challenge. Payment Channel Network (PCN), as a Layer-2 scaling solution, has been proposed to address this issue. However, skewed payments can deplete the balance of one party within a channel, restricting the ability of PCNs to transact through a path and subsequently reducing the transaction success rate. To address this issue, the technology of rebalancing has been proposed. However, existing rebalancing strategies in PCNs are limited in their efficiency and applicability under realistic network topologies. Cycle-based approaches only enable rebalancing among nodes that form cycles, while non-cycle-based approaches incur high on-chain operation costs. In this study, we propose Starfish, a rebalancing approach designed for the locally star-like structures formed by high-degree routing hubs and their incident channels in real-world PCNs. By leveraging a hub-centric structure, Starfish reduces the on-chain overhead of rebalancing from quadratic to linear in the number of channels, achieving high rebalancing efficiency. We formally prove the security of Starfish and conduct comparative experiments against existing rebalancing techniques to demonstrate its effectiveness.

cs.CR

Proof-of-Authorship for Diffusion-based AI Generated Content

Recent advancements in AI-generated content (AIGC) have introduced new challenges in intellectual property protection and the authentication of generated objects. We focus on scenarios in which an author seeks to assert authorship of an object generated using latent diffusion models (LDMs), in the presence of adversaries who attempt to falsely claim authorship of objects they did not create. While proof-of-ownership has been studied in the context of multimedia content through techniques such as time-stamping and watermarking, these approaches face notable limitations. In contrast to traditional content creation sources (e.g., cameras), the LDM generation process offers greater control to the author. Specifically, the random seed used during generation can be deliberately chosen. By binding the seed to the author's identity using cryptographic functions, the author can assert to be the creator of the object. We refer to this stronger guarantee as proof-of-authorship, since only the creator of the object can legitimately claim the object. This contrasts with proof-of-ownership via time-stamping or watermarking, where any entity could potentially claim ownership of an object by being the first to timestamp or embed the watermark. We propose a proof-of-authorship framework involving a probabilistic adjudicator who quantifies the probability that a claim is false. Furthermore, unlike prior approaches, the proposed framework does not involve any secret. We explore various attack scenarios and analyze design choices using Stable Diffusion 2.1 and XL as representative case studies.

cs.CR

Impact Analysis of Speech Representation Learning Models for Acoustic Side-Channel Attack

Acoustic side-channel attacks (ASCA) on keyboards have gained increasing attention, yet impact of speech representation learning models in ASCA remains unexplored. Addressing this, we introduce KEYAC, a dataset designed to analyze representation generalization for ASCA under both standard and VoIP codec settings. On KEYAC, we evaluate six representation learning models under zero-shot and partial fine-tuning settings using fully connected and convolutional networks. Results show that while partial fine-tuning improves performance, models struggle to generalize across VoIP codecs. We hypothesize this limitation stems from inadequate modeling of nonlinear feature interactions in conventional fine-tuning architectures. To address this, we employ Kolmogorov-Arnold Networks (KAN) for fine-tuning. Empirical results show that KAN-based fine-tuning consistently outperforms the baselines and establishes a new state-of-the-art on KEYAC.

cs.CR