Multisig Verification and Audit Delegation

Distributing Responsibility and Verifiability Across Governance Layers Without Centralized Trust

6.6.1 The Role of Multisig and Delegation in Risk Governance

NSF clauses execute decisions that:

• Allocate capital

• Mobilize emergency response

• Trigger treaty enforcement

• Grant or revoke machine authority

To prevent unilateral control or malicious use, NSF enforces Multisignature Verification (Multisig) and Delegated Audit Workflows as part of every high-risk or governance-affecting execution.

This ensures distributed institutional review, cryptographic co-validation, and machine-verifiable provenance of every decision path.

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6.6.2 Multisig Structures in NSF Governance

Multisig schemes are used for:

• Clause activation

• Credential issuance

• DAO quorum proofing

• Simulation validation

• Revocation and override enforcement

Each multisig process requires N of M credentialed signers (from approved DAO roles), defined in the clause metadata or DAO policy.

Example configuration:

"multisig_policy": {
  "required_signers": 3,
  "signer_roles": ["DAOAuditor", "SimulationVerifier", "LegalObserver"],
  "timeout": "48h"
}

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6.6.3 Signing Credentials and Role Proofs

Every signer must present a verifiable credential (VC), valid for:

• The execution scope

• The role class (e.g., AuditorVC, DelegateVC)

• The DAO in question

• The jurisdiction (if applicable)

Credential oracles verify signer eligibility before a signature is accepted. This is enforced at:

• DAO layer

• Clause execution engine

• Audit Layer and CAC rollups

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6.6.4 Signatures in Clause Workflows

Multisig checkpoints may be placed at:

Workflow Stage	Verification Type
Proposal Submission	1-of-DAO root signer
Clause Upgrade	3-of-5 Simulation + Governance signers
Emergency Override	2-of-3 regional DAO + 1-of-1 AppealsDAO signer
Credential Revocation	2-of-4 CredentialDAO reviewers
Audit Dispute	1-of-DAOAuditor + 1-of-PublicWitnessVC (optional trigger)

Signatures are aggregated as BLS, EdDSA, or threshold Schnorr depending on deployment.

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6.6.5 Delegated Audit Structures

Audit functions can be:

• Delegated across credentialed observers

• Triggered asynchronously (e.g., after clause execution)

• Verified via zero-trust attestations in CAC logs

• Disputed through an AppealsDAO

Example:

A simulation forecast is used in a clause execution. Post-event, 3 DAOAuditors and 1 SimulationExpert review execution correctness and log AuditVCs.

These audit records are:

• Cryptographically signed

• Anchored to the original CAC hash

• Trigger future execution eligibility (or freeze/revocation if misaligned)

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6.6.6 Emergency and Exception Protocols via Threshold Signing

In critical domains (e.g., health outbreaks, cyber disruption):

• Clauses may be authorized via emergency threshold multisig

• Exception policies are pre-approved via governance vote

• All signers must still use valid and timely VCs

• AuditLayer flags such actions for rapid review

Example:

"exception_trigger": {
  "threshold": "3-of-5",
  "condition": "pandemic_index > 0.95",
  "timeout": "12h",
  "clause_binding": "[email protected]"
}

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6.6.7 Multisig Anchoring in CAC and Execution Layers

CAC bundles (Clause-Attested Compute) include:

• Signer credential hashes

• Clause ID and simulation context

• Proof of signature validity

• Oracle-verified eligibility reports

These are logged in:

• The Audit Layer

• Multichain execution registries

• Global Clause Registry (if permanent)

All downstream actions (e.g., credential issuance, DAO voting power changes) check CAC multisig validity before proceeding.

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6.6.8 Delegation Limits and Expiration

Delegated audit or signature rights:

• May expire after a defined window

• Can be scoped to a clause family (e.g., FloodRelief@*)

• Must be traceable via DelegationVC

• Are revocable by parent DAO or overridden via clause logic

Credential structure:

{
  "type": "DelegationCredential",
  "delegator": "UNDRR-DAO",
  "delegatee": "did:nsf:org:DAOAuditor#0x9a2...",
  "scope": ["ClauseAudit", "SimulationReview"],
  "expires": "2026-01-01T00:00Z"
}

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6.6.9 Visualizing Signature Paths and Delegate Graphs

DAO dashboards and forensic tools provide:

• Graphs of signature relationships per clause

• Signature timing and order

• Credential roles and jurisdictions

• Signer overlap across multiple executions

• Multisig participation rates

Example query:

show all clause executions in Q2-2025 signed by less than 3 distinct DAOs

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6.6.10 Trust Without Centralization: The Power of Distributed Signature Logic

In NSF:

• No clause is trusted without multiparty verification

• No credential is issued without audit visibility

• No simulation is accepted without multisig proof from domain experts

• No governance override is valid without threshold consensus

Multisignature verification and delegated audit transforms governance from a series of commands into a verifiable, distributed consensus engine—one bound to zero-trust logic and global institutional standards.