nq/PROTOCOL.md

NIP-XX
======

FROST Multisig Quorum Protocol
-------------------------------

`draft` `optional`

## Abstract

This NIP defines a protocol for creating and operating FROST threshold signature quorums over Nostr keys. A quorum is a group of n participants who collectively control a shared Nostr keypair via a (t,n) threshold signing scheme, where any t members can produce a valid signature but no fewer. The quorum's private key is never known to any single party.

## Participant Indexing

Each member is assigned a positive integer index. Indices are derived deterministically by sorting member pubkeys lexicographically as lowercase hex strings and assigning 1-based positions. This ordering must be consistent across all participants and all rounds of a session.

When a new member set is established (rotation), indices are re-derived from the new member list.

## Event Kinds

All events in this protocol are sent as the `content` payload of a NIP-59 gift wrap (kind 1059). The `content` is encrypted to the recipient's pubkey and the wrap is sent to the recipients inbox relays (kind 10050) per NIP 17.

## Quorum Creation

Creates a new quorum and derives its shared Nostr keypair. The private key is never known to any party.

### Phase 0 — Invitation (kind 7050)

The initiator sends each proposed member a gift-wrapped event:

```json
{
  "kind": 7050,
  "content": "<optional human-readable message>",
  "tags": [
    ["session_id", "<32-byte random hex>"],
    ["threshold", "<signing threshold>"],
    ["member", "<pk_1>"],
    ["member", "<pk_n>"],
  ],
}
```

`session_id` is chosen by the initiator and identifies all subsequent events for this DKG session. The quorum's keypair does not yet exist; no key material is present in the invite.

Participation in Round 1 signals acceptance. A member may send a decline event, but is not required to.

### Round 1 — Commitments (kind 7051)

Each accepting participant Pᵢ:

1. Samples a random polynomial `fᵢ(x)` of degree `t−1` over the secp256k1 scalar field, with random coefficients `aᵢ₀, aᵢ₁, …, aᵢ,ₜ₋₁`
2. Computes Feldman commitments: `Cᵢ = [aᵢ₀·G, aᵢ₁·G, …, aᵢ,ₜ₋₁·G]` (compressed 33-byte EC points as hex)
3. Computes a Schnorr proof of knowledge of `aᵢ₀`:
   - Sample ephemeral scalar `k`; compute `R = k·G`
   - `c = H("frost/dkg/round1" || session_id || pkᵢ || Cᵢ[0])`
   - `s = k + aᵢ₀ · c  (mod q)`
4. Sends to all other members (n−1 gift wraps, identical payload):

```json
{
  "kind": 7051,
  "content": "",
  "tags": [
    ["session_id", "<32-byte hex>"],
    ["commit", "<aᵢ₀·G hex>"],
    ["commit", "<aᵢ₁·G hex>"],
    ["proof", "<R hex>", "<s hex>"]
  ]
}
```

### Round 2 — Share Distribution (kind 7052)

After receiving Round 1 from all other participants, Pᵢ:

1. Verifies each Pⱼ's PoK: `s·G == R + c·Cⱼ[0]` where `c` is recomputed from the proof
2. For each Pⱼ (j ≠ i), evaluates `sᵢⱼ = fᵢ(j)` (polynomial evaluated at Pⱼ's 1-based index)
3. Sends encrypted to Pⱼ only (one gift wrap per recipient):

```json
{
  "kind": 7052,
  "content": "",
  "tags": [
    ["session_id", "<32-byte hex>"],
    ["share", "<sᵢⱼ hex scalar>"]
  ]
}
```

### Finalization

Each Pⱼ, after receiving shares from all other participants:

1. Verifies each received share against Pᵢ's commitments:

   `sᵢⱼ·G == Σₖ₌₀ᵗ⁻¹ ( j^k · Cᵢₖ )`

   Abort if any check fails.

2. Computes secret shard: `xⱼ = Σᵢ sᵢⱼ  (mod q)`

3. Computes group public key: `Y = Σᵢ Cᵢ₀` (sum of all participants' first commitments)

4. Computes own verification share: `Yⱼ = Σᵢ Σₖ₌₀ᵗ⁻¹ ( j^k · Cᵢₖ )`; verify `xⱼ·G == Yⱼ`

5. **BIP-340 normalization**: if `Y` has odd y-coordinate, negate `xⱼ` and `Yⱼ` and use the even-y form of `Y` as the quorum pubkey. This negation must be applied consistently across all subsequent operations.

6. Stores `(xⱼ, Y, Yⱼ, members, threshold, session_id, Round-1 commitments)` durably in IndexedDB. The Round-1 commitments are retained because they are needed to verify resharing participants' shards in Protocol 2.

7. Publishes a DKG confirmation event (kind 7053).

### Confirmation (kind 7053)

```json
{
  "kind": 7053,
  "content": "",
  "tags": [
    ["session_id", "<32-byte hex>"],
    ["quorum", "<Y x-only hex>"],
    ["transcript", "<H(session_id || sorted Round-1 commitments)>"]
  ]
}
```

`transcript_hash` enables equivocation detection: a malicious participant may send different Round-1 commitments to different members. If any two confirmations carry the same `session_id` but different `transcript_hash` or `quorum_pubkey`, all participants must abort.

The quorum is considered live once `t` confirmations with matching `transcript_hash` and `quorum_pubkey` have been observed.

---

## Protocol 2: Key Redistribution (Rotation)

Redistributes the existing quorum key to a new member set and/or threshold without reconstructing the private key. The quorum's Nostr pubkey `Y` is preserved, so the quorum's identity, profile, and event history are unaffected.

**Prerequisite**: A contributing set `S` of at least `t` current members must participate.

### Phase 0 — Resharing Proposal (kind 7054)

The initiator (a current member) sends to all current and prospective new members:

```json
{
  "kind": 7054,
  "content": "<optional human-readable message>",
  "tags": [
    ["session_id", "<32-byte hex>"],
    ["quorum", "<Y x-only hex>"],
    ["threshold", "<t'>"],
    ["old_member", "<pk_1>"],
    ["old_member", "<pk_n>"],
    ["member", "<pk_1'>"],
    ["member", "<pk_n'>"]
  ]
}
```

New member indices are derived by sorting `new_members` lexicographically (1-based), independently of the old index assignment.

Old members signal participation by contributing in Round 1. The contributing set `S` **must be fixed before shares are combined**, because each old member's Lagrange coefficient depends on the full set `S`. Implementations should establish `S` via a timeout or an explicit "I'm participating" acknowledgment step before proceeding to Round 2.

### Round 1 — Old Member Commitments (kind 7055)

Each participating old member Pᵢ (with index `i` from the original DKG and shard `xᵢ`):

1. Computes Lagrange coefficient over contributing set `S` at point 0:

   `λᵢ = Πⱼ∈S, j≠i  (-j) / (i - j)  (mod q)`

2. Samples a new random polynomial `hᵢ(x)` of degree `t'−1` with constant term `hᵢ(0) = λᵢ · xᵢ`

3. Computes commitments: `Dᵢ = [λᵢ·xᵢ·G, …]` (same structure as Round-1 commitments in Protocol 1)

4. The first commitment `Dᵢ[0]` must equal `λᵢ · Yᵢ`, where `Yᵢ` is Pᵢ's verification share from the original DKG (publicly computable from stored Round-1 commitments). This proves Pᵢ is resharing their actual shard.

5. Computes Schnorr PoK of `λᵢ · xᵢ` (same construction as Protocol 1 Round 1, using `"frost/resharing/round1"` as domain tag)

6. Sends to all new members (m gift wraps, identical payload):

```json
{
  "kind": 7055,
  "content": "",
  "tags": [
    ["session_id", "<32-byte hex>"],
    ["quorum", "<Y x-only hex>"],
    ["commit", "<λᵢ·xᵢ·G hex>"],
    ["commit", "<bᵢ₁·G hex>"],
    ["proof", "<R hex>", "<s hex>"]
  ]
}
```

New members verify before proceeding: `Σᵢ∈S Dᵢ[0] == Y`. Abort if this check fails.

### Round 2 — Share Distribution (kind 7056)

Each participating old member Pᵢ evaluates `hᵢ(j)` at each new member Qⱼ's index `j` and sends encrypted to Qⱼ only:

```json
{
  "kind": 7056,
  "content": "",
  "tags": [
    ["session_id", "<32-byte hex>"],
    ["quorum", "<Y x-only hex>"],
    ["share", "<hᵢ(j) hex scalar>"]
  ]
}
```

### Finalization

Each new member Qⱼ, after receiving shares from all members of `S`:

1. Verifies each received share against Dᵢ commitments:

   `hᵢ(j)·G == Σₖ₌₀ᵗ'⁻¹ ( j^k · Dᵢₖ )`

   Abort if any check fails.

2. Computes new shard: `x'ⱼ = Σᵢ∈S hᵢ(j)  (mod q)`

3. Computes new verification share: `Y'ⱼ = Σᵢ∈S Σₖ ( j^k · Dᵢₖ )`; verify `x'ⱼ·G == Y'ⱼ`

4. BIP-340 normalization: `Y` is unchanged, so the same even-y convention applies. If `xᵢ` was negated during the original DKG finalization, `hᵢ(0) = λᵢ · xᵢ` already incorporates that negation. Qⱼ verifies against the same `Y` and does not re-negate.

5. Replaces stored quorum state with `(x'ⱼ, Y, Y'ⱼ, new_members, new_threshold, session_id, Round-1 commitments from this session)`.

6. Publishes resharing confirmation (kind 7057).

### Resharing Confirmation (kind 7057)

```json
{
  "kind": 7057,
  "content": "",
  "tags": [
    ["session_id", "<32-byte hex>"],
    ["quorum", "<Y x-only hex>"],
    ["transcript", "<H(session_id || sorted Round-1 commitments)>"]
  ]
}
```

Once `t'` new members have published matching confirmations, the rotation is considered complete. The quorum then publishes a signed `kind 0` metadata event under `Y` recording the new member list. This event is the on-chain rotation record and is used to gate NIP-17 chat display by membership at time of message.

---

## Protocol 3: Collaborative Signing (FROST)

Any quorum member may initiate a signing session. At least t members must participate to produce a valid signature.

### Sign Request (kind 7058)

The initiator sends to all members:

```json
{
  "kind": 7058,
  "content": "<JSON-stringified unsigned nostr event>",
  "tags": [
    ["session_id", "<32-byte hex>"],
    ["quorum", "<Y x-only hex>"]
  ]
}
```

### Round 1 — Nonce Commitments (kind 7059)

Each willing signer Pᵢ:

1. Samples ephemeral nonce pair `(dᵢ, eᵢ)` uniformly at random (must never be reused)
2. Computes commitments `Dᵢ = dᵢ·G`, `Eᵢ = eᵢ·G`
3. Sends to all other participating signers:

```json
{
  "kind": 7059,
  "content": "",
  "tags": [
    ["session_id", "<32-byte hex>"],
    ["quorum", "<Y x-only hex>"],
    ["D", "<dᵢ·G hex>"],
    ["E", "<eᵢ·G hex>"]
  ]
}
```

### Round 2 — Signature Shares (kind 7060)

After collecting Round 1 from at least `t` signers, each Pᵢ:

1. Finalizes the signing set `S` (the participants whose commitments were collected)
2. Computes binding factors: `ρᵢ = H("frost/sign/rho" || i || msg || {(Dⱼ, Eⱼ)}ⱼ∈S)` for each `i ∈ S`
3. Computes group nonce: `R = Σᵢ∈S (Dᵢ + ρᵢ·Eᵢ)`; if `R` has odd y-coordinate, negate `dᵢ, eᵢ` and use the even-y `R`
4. Computes BIP-340 challenge: `c = H_BIP340("BIP0340/challenge" || R.x || Y || msg)`
5. Computes Lagrange coefficient `λᵢ` over `S` at point 0 (same formula as Protocol 2)
6. Computes signature share: `zᵢ = dᵢ + eᵢ·ρᵢ + λᵢ·xᵢ·c  (mod q)` (using the BIP-340-normalized `xᵢ`)
7. Sends to coordinator:

```json
{
  "kind": 7060,
  "content": "",
  "tags": [
    ["session_id", "<32-byte hex>"],
    ["quorum", "<Y x-only hex>"],
    ["z", "<zᵢ hex scalar>"]
  ]
}
```

### Aggregation

The coordinator (any member) aggregates:

- `z = Σᵢ∈S zᵢ  (mod q)`
- Final signature: `(R.x, z)`

The coordinator verifies the signature against `Y` and `msg` using standard BIP-340 verification before publishing the event. The resulting signature is a valid BIP-340 Schnorr signature, indistinguishable from a single-key signature.

---

## Storage

Quorum state must be stored durably in IndexedDB per-quorum:

| Field | Description |
|-------|-------------|
| `quorum_pubkey` | `Y` as x-only hex — the quorum's Nostr pubkey |
| `shard` | `xⱼ` — this member's secret share (encrypted at rest) |
| `verification_share` | `Yⱼ` — public verification share for this member |
| `members` | Current member pubkeys and indices |
| `threshold` | Current signing threshold `t` |
| `dkg_commitments` | All participants' Round-1 commitments from the most recent DKG or resharing session |
| `rotation_records` | All signed rotation `kind 0` events in order |

`dkg_commitments` are retained permanently because they are required to verify shard authenticity during resharing (step 4 of Protocol 2 Round 1).

`rotation_records` are used to determine which members were active at a given time, which gates NIP-17 chat message display.

---

## Security Notes

**Equivocation**: A malicious participant can send different Round-1 commitments to different members, causing different members to derive different group keys. The `transcript_hash` in confirmation events provides detection. Implementations must abort if any two confirmations for the same session have different hashes.

**Abort and restart**: If any participant fails to complete their round within a timeout, the session must be fully aborted. Partial state (nonces, sub-shares) must be discarded. A new session with a new `session_id` must be started from Phase 0.

**Nonce reuse in signing**: Reusing `(dᵢ, eᵢ)` across two signing sessions leaks the shard `xᵢ`. Implementations must use fresh randomness for every session and must not persist signing nonces.

**Contributing set integrity**: In Protocol 2, the Lagrange coefficients and the integrity check `Σ Dᵢ[0] == Y` are only meaningful over the same set `S`. The set must be fixed and agreed upon before shares are combined. Any late-joining or aborting member after `S` is finalized requires a full session restart.

**BIP-340 y-coordinate normalization**: Nostr uses x-only public keys. Both the group key `Y` (finalized in DKG) and the signing nonce `R` (per signing session) require even-y normalization, which affects the sign of `xⱼ` and `(dᵢ, eᵢ)` respectively. These negations are independent and must both be applied correctly.