DA-04 · LESSON 08

Guardian passphrases

KEY DEFINITIONS

Terms used in this lesson

Guardian: A Ducat policy-checking signer that can authorize or reject defined protocol transactions.
BIP39: A standard that converts entropy into mnemonic words and derives a seed using an optional passphrase.
DKG: Distributed key generation: participants create shares of a group key without one party learning the complete secret.
FROST: Flexible Round-Optimized Schnorr Threshold signing: a protocol in which a required subset produces one group signature.

Wallet passphrases protect encrypted local wallet files; production Guardian key packages have separate enclave and operator custody controls.

65 min Difficulty 4/5 Not started

VISUAL MODEL

See the whole mechanism before going step by step

Use the diagrams to orient yourself. Then the guided explanation below teaches every part in depth.

4 explanatory views

CONCEPT-SPECIFIC MAP · ducat vaultA Ducat action moves one Bitcoin-anchored vault state to a successorSelect any state to inspect its exact role.

RELATIONSHIP MAPInputs, rule, and outputs

01
PREDECESSORCurrent vault outpoint
The current Bitcoin output anchors collateral and identifies the state being spent.
02
REQUESTGuardian passphrases
The Guardian passphrases workflow proposes one exact action and successor state.
03
POLICYProfile, oracle, signatures
Applicable policy, price evidence, authorization, and transaction shape are checked.
04
BITCOIN SPENDScript-valid transaction
Bitcoin miners and nodes can include only a transaction that satisfies Bitcoin rules.
05
SUCCESSORNew outpoint and state
Ducat validators reconstruct debt, collateral, token, and account changes from the confirmed transaction.

Rule shown: Bitcoin checks the spend; Ducat components independently reconstruct and validate the additional protocol state.

STAGE 1 OF 5PREDECESSOR: Current vault outpoint

The current Bitcoin output anchors collateral and identifies the state being spent.

Governing relationship: Bitcoin checks the spend; Ducat components independently reconstruct and validate the additional protocol state. Complete path: 1. PREDECESSOR, Current vault outpoint. The current Bitcoin output anchors collateral and identifies the state being spent. 2. REQUEST, Guardian passphrases. The Guardian passphrases workflow proposes one exact action and successor state. 3. POLICY, Profile, oracle, signatures. Applicable policy, price evidence, authorization, and transaction shape are checked. 4. BITCOIN SPEND, Script-valid transaction. Bitcoin miners and nodes can include only a transaction that satisfies Bitcoin rules. 5. SUCCESSOR, New outpoint and state. Ducat validators reconstruct debt, collateral, token, and account changes from the confirmed transaction.

1. State transitionWhat exists, what changes, and what results

BEFORE

An operator needs to run one wallet command. Compare hidden prompt, protected file, shell argument, and threshold-share handling.

MECHANISM

The command reads the passphrase from a protected source or hidden prompt instead of a command-line argument that can leak.

AFTER

The wallet passphrase decrypts one local wallet file. It is not a BIP39 wallet passphrase, FROST share, group private key, or enclave sealing key.

Text equivalent: Starting from An operator needs to run one wallet command. Compare hidden prompt, protected file, shell argument, and threshold-share handling. The mechanism begins when The command reads the passphrase from a protected source or hidden prompt instead of a command-line argument that can leak. The resulting lesson is The wallet passphrase decrypts one local wallet file. It is not a BIP39 wallet passphrase, FROST share, group private key, or enclave sealing key.

2. Mechanism pathSelect a stage to inspect its job

STAGE 1 OF 4

Acquire without echo

The command reads the passphrase from a protected source or hidden prompt instead of a command-line argument that can leak.

Complete path: 1. Acquire without echo: The command reads the passphrase from a protected source or hidden prompt instead of a command-line argument that can leak. 2. Use only in memory: The secret decrypts the local wallet and is kept in memory designed to clear on drop. 3. Never write the passphrase: The wallet command does not persist the entered plaintext or create a recovery copy. 4. Keep custody domains separate: Production threshold key packages follow different enclave and operator controls from this local wallet-file passphrase.

3. Rule and failure boundaryWhat accepts the result and where it can stop

ACCEPTED PATH

The worked case executes the named inputs and checks in the displayed order. Production threshold key packages follow different enclave and operator controls from this local wallet-file passphrase.

CHANGED CONDITION

A missing, malformed, stale, unauthorized, or inconsistent required input stops at its first named boundary. It protects a local encrypted wallet file. Threshold shares and enclave-sealed key packages are different secrets with different custody paths.

Important distinction: The Guardian passphrase is the threshold private key. It protects a local encrypted wallet file. Threshold shares and enclave-sealed key packages are different secrets with different custody paths.

Text equivalent: The accepted path is enforced by The worked case executes the named inputs and checks in the displayed order. Production threshold key packages follow different enclave and operator controls from this local wallet-file passphrase. If the required condition changes, A missing, malformed, stale, unauthorized, or inconsistent required input stops at its first named boundary. It protects a local encrypted wallet file. Threshold shares and enclave-sealed key packages are different secrets with different custody paths.

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Learn the idea

The captured Guardian wallet passphrase protects an encrypted local wallet file. It is read from a protected file or hidden prompt and held in zeroizing memory, a buffer designed to clear its contents when released. A BIP39 passphrase is a separate optional user secret combined with seed words to derive a wallet. Neither passphrase is a FROST key share or an enclave sealing key.

GUIDED EXPLANATION1/4 ideas inspected

Acquire without echo

The command reads the passphrase from a protected source or hidden prompt instead of a command-line argument that can leak.

The worked example follows the explanation

Inspect every idea above to open it.

Important distinction“The Guardian passphrase is the threshold private key.”

It protects a local encrypted wallet file. Threshold shares and enclave-sealed key packages are different secrets with different custody paths.

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