Ethereum

What counts as self-custody?

I've seen orgs ship what's effectively a 2-of-3 multisig or MPC where they keep 2 of the 3 shares. While arguing that this is still noncustodial for legal purposes!

This allows nice UX like phone or email recovery.

No judgement, just curiosity: does that work?

Real World Ethereum 🌎 
building /daimo ✳️ 

I get the point, on some legal technical level the semantics protect them from some issues, but in practice it’s horrible to use words that have security implications that normies won’t understand the nuance of.. so it’s very frustrating when legalese muddies things like this

Intuitively I agree, but Privy and Coinbase (in their MPC) product both do it. And at least one of those has great lawyers. Trying to understand.