What is a multisig wallet

A multisig wallet is a crypto wallet that needs approval from more than one private key before it can send funds, spreading control across multiple people or devices. This matters because it removes the single point of failure you get with a normal wallet: if one key is lost or stolen, the funds stay safe as long as the others are secure. Setups are often described as "M-of-N," meaning M signatures are required out of N total keyholders. For example, a 2-of-3 multisig might split keys between a founder, a co-founder, and a lawyer, so any two must agree before a transaction goes through. Companies use multisig to manage treasuries, and individuals use it to guard against a single lost hardware wallet wiping out their savings. Gnosis Safe is a common tool for setting one up on Ethereum.