In response to a recent security breach involving $10 million in user funds, XLink, the Bitcoin bridge operated by Alex Lab, has forged strategic partnerships with Fireblocks and Ancilia. These collaborations aim to bolster security measures significantly by integrating multiparty computation (MPC) technology into XLink’s wallet and smart contract management systems.

Fireblocks will implement two-of-three MPC wallets to secure user assets, distributing keys among the validator network of Bitcoin Oracle, Fireblocks, and Coincover for disaster recovery. This approach enhances security compared to traditional multisig solutions or single private key systems.

Ancilia, a Web3 security firm, will provide continuous monitoring and real-time threat detection services. This partnership aims to offer instant alerts and proactive measures to prevent breaches, ensuring robust security protocols are in place at all times.

Chiente Hsu, CEO and co-founder of Alex, emphasized the urgency of these partnerships following the recent hack incident, which exploited a private key leak with administrative access to smart contracts holding user assets. The accelerated deployment of Fireblocks’ MPC solution was initially slated for late June but has been expedited in response to the breach.

The security update released on June 17 revealed that the attacker executed over 9,700 transactions, dispersing stolen Stacks (STX) funds across thousands of new wallet addresses. This incident underscored the critical need for enhanced security measures across XLink’s operations.

In addition to Fireblocks and Ancilia, XLink has collaborated with Cobo, a digital asset custody provider, to integrate MPC technology and set new security standards in the blockchain industry. These initiatives are part of XLink’s broader strategy to ensure the safe and efficient utility of Bitcoin across multiple blockchains through its omnichain liquidity network.

As XLink continues to fortify its security posture, these partnerships are expected to mitigate risks and safeguard user assets, reinforcing trust and reliability in decentralized financial ecosystems.