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Executive summary

Vaults connect Ripple Custody to the key material used for blockchain transaction signing.

  • A vault is an external signing component that securely manages blockchain transaction signing.
  • The vault uses a KMS, HSM, or MPC backend for blockchain key operations. Other protected components, such as the notary and configured system-signing path, can also use KMS-backed keys.
  • Vaults are trusted entities and must be registered before accounts can use them.
  • Accounts in different domains can use the same vault because a vault is not tied to a domain.
  • Hot vaults sign automatically. Cold vaults are air-gapped and require an export/import workflow.
Why this matters

Vault design affects security, transaction processing, account recovery, and day-to-day operations. A vault links governance-approved activity to protected signing keys: policies decide whether a transaction can proceed, and the vault verifies the notary attestation before building and signing the blockchain transaction.

For architects and operators: Choose the KMS model, key derivation strategy, and hot/cold vault pattern before creating accounts. These choices determine which keys must be backed up, which operational procedures are required, and how quickly transactions can move from approval to broadcast.

Prerequisites

Before reading this page, you should understand:

  • Security model - The zero-trust security model and the role of trusted components.
  • Key management - How user, notary, vault, and blockchain keys are protected.
  • Accounts - How accounts relate to vaults and ledgers.

What is a vault?

A vault is the signing component that connects Ripple Custody to a KMS, HSM, or MPC backend for blockchain key operations. It is responsible for transaction signing and for interacting with the protected key material behind the vault.

The KMS may be based on:

KMS modelHow keys are protectedSee
HSMA hardware security module generates, stores, and uses private keys internally. Only cryptographic outputs, such as signatures, are exported.Key management planning
MPCKey material is distributed as shards. A threshold of MPC nodes collaborates to produce a signature without reconstructing the complete private key.Key management planning

Each time you initialize and register a new vault, specify whether it uses HSM or MPC. When the vault is registered, Ripple Custody stores the vault entity, including its public key, so the system can verify information returned by the vault.

Vaults in the trust model

From a data-integrity perspective, the notary and vault are trusted components. The notary signs trusted state, and the vault signs blockchain transactions. The database, API gateway, and other application components are treated as untrusted because trusted data must be verified cryptographically.

Policy workflow

Signed attestation

Sign request

Signature only

Signed transaction

Approved transaction intent

Notary / policy evaluation

Vault

KMS
HSM or MPC

Blockchain network

Policy workflow

Signed attestation

Sign request

Signature only

Signed transaction

Approved transaction intent

Notary / policy evaluation

Vault

KMS
HSM or MPC

Blockchain network

The vault verifies the notary attestation before building and signing a transaction. This keeps signing tied to the approved operation rather than to an unaudited request.

How vaults relate to domains, accounts, and ledgers

A vault is not tied to a domain. Accounts in different domains can use the same vault, and each account stores its vault relationship in providerDetails.vaultId.

During account creation, choose:

Account settingWhy it matters
Vault IDIdentifies the vault that stores or derives the account's signing keys.
Key strategyDetermines how account keys are created and what must be backed up.
Ledger IDsDefines the ledgers associated with the account.

After a vault creation intent is approved and executed, the vault details include supportedDerivations. Use this list when choosing the key strategy for new accounts.

Domain B

Domain A

Root domain

Used by

Used by

Ledger IDs

Ledger IDs

Registered vault entity

Account
providerDetails.vaultId

Account
providerDetails.vaultId

Blockchain ledgers

Blockchain ledgers

Domain B

Domain A

Root domain

Used by

Used by

Ledger IDs

Ledger IDs

Registered vault entity

Account
providerDetails.vaultId

Account
providerDetails.vaultId

Blockchain ledgers

Blockchain ledgers

Key strategies and backup implications

Each vault uses a key strategy that determines how account keys are created and what must be backed up for recovery.

StrategyHow keys are createdBackup implication
Deterministic derivationAccount keys are derived from a master seed using the configured derivation strategy.The master seed or wrapped seed material is critical to account recovery.
MPCKey material is split into MPC shares and protected by the MPC deployment.If customer-held MPC backups are required, follow the MPC backup workflow through the operations backup guidance.
Random key strategyAccount keys are generated without a deterministic relationship to a master seed.The database becomes critical for recovery because accounts cannot be regenerated from a seed backup.

For most new vaults, VaultHard is the default key derivation strategy. VaultSoft and Random require explicit enablement and have additional backup implications.

For the full derivation model, see Key derivation.

Hot and cold vaults

Ripple Custody supports hot and cold vault transaction-signing flows.

Vault typeHow signing worksUse case
Hot vaultThe vault is network-connected and polls for operation queries. After approval, it verifies the notary attestation, builds the transaction, signs it, and submits the signed transaction for broadcast.Frequent transactions, trading, payments, and operational liquidity.
Cold vaultThe vault is air-gapped. Operators export pending operations, move them to the cold vault, sign them, and import the signed operations back into Ripple Custody.Large treasury reserves and cold storage.

Both hot and cold vaults follow the same governance and approval process. They differ in how the vault receives the operation query and returns the signed transaction.

Approved transaction intent

Notary-attested operation query

Vault type

Hot vault
polls API and signs

Export pending operations

Cold vault signs offline

Import signed operations

Ledger service broadcasts

Approved transaction intent

Notary-attested operation query

Vault type

Hot vault
polls API and signs

Export pending operations

Cold vault signs offline

Import signed operations

Ledger service broadcasts

Vault lifecycle

Deploy vault component

v0_CreateVault

Create accounts with vaultId

Approved transactions

v0_LockVault

v0_UnlockVault

v0_UpdateVault

Deployed

Registered

UsedByAccounts

Signing

Locked

Updated

Deploy vault component

v0_CreateVault

Create accounts with vaultId

Approved transactions

v0_LockVault

v0_UnlockVault

v0_UpdateVault

Deployed

Registered

UsedByAccounts

Signing

Locked

Updated

Lifecycle stageWhat happens
DeployThe vault component is deployed with its KMS backend.
RegisterA v0_CreateVault intent creates the vault entity in Ripple Custody. Vaults are registered from the root domain.
UseAccounts reference the vault through providerDetails.vaultId; approved transactions can be prepared for vault signing.
UpdateA v0_UpdateVault intent changes mutable vault details such as alias, description, custom properties, or parameters.
Lock or unlockv0_LockVault prevents transaction orders related to the vault from executing. v0_UnlockVault re-enables the vault.

Backup, recovery, and key rotation

Vault strategy affects what operators must preserve for recovery. Platform backup and restore procedures live with operations guidance; vault recovery and wrapping-key rotation procedures live in this section.

NeedStart with
Determine backup scopeBack up, restore, and recover
Route operators to the correct backup procedureBackup procedures
Rotate a vault wrapping key for an IBM HSM-backed vaultIBM HSM wrapping key rotation
Rotate a vault wrapping key for an MPC-backed vaultMPC wrapping key rotation
Plan platform-level restore validationRestore procedures and Backup validation
Recover cold-vault operations after a workstation or environment failureCold vault recovery

Next steps

TaskPage
Register, view, update, lock, or unlock vaultsManage vaults
Understand cold vault operationsCold vaults
Process air-gapped vault operationsProcess cold vault operations with the API or Process cold vault operations in the UI
Determine backup, recovery, or key-rotation scopeBackup, recovery, and key rotation
Plan KMS selectionKey management planning
Create accounts that use a vaultManage accounts in the UI or with the API