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Security Architecture

Paratro is designed with security as a foundational principle. This document outlines the architectural decisions and controls that protect digital asset operations.

Design Principles

  1. No single point of compromise — Private keys are never assembled in one location
  2. Defense in depth — Multiple layers of security controls
  3. Least privilege — Users and systems have minimum necessary access
  4. Auditability — Every action is logged and traceable
  5. Zero trust — All requests are authenticated and authorized regardless of network origin

Architecture Layers

Application Layer

  • Role-based access control (RBAC) for all user actions
  • MFA/TOTP enforcement for sensitive operations
  • Session management with configurable timeouts
  • API key scoping with granular permissions

Transport Layer

  • TLS 1.3 for all communications
  • Certificate pinning for internal service communication
  • Encrypted WebSocket connections for real-time updates

Data Layer

  • AES-256 encryption at rest for all sensitive data
  • Key share encryption using HSM-backed keys
  • Database-level encryption with customer-managed keys (private deployment)
  • Secure key erasure from memory after use

Infrastructure Layer

  • Network isolation with VPC and security groups
  • No direct internet access for signing services
  • Regular security patching and vulnerability scanning
  • DDoS protection and rate limiting at the edge

Key Share Architecture

┌──────────────┐  ┌──────────────┐  ┌──────────────┐
│  Share 1     │  │  Share 2     │  │  Share 3     │
│  Paratro     │  │  Client      │  │  Backup      │
│  Cloud HSM   │  │  Device      │  │  Storage     │
└──────────────┘  └──────────────┘  └──────────────┘
       │                 │                 │
       └─────────┬───────┘                 │
                 │                         │
          ┌──────┴──────┐                  │
          │  Threshold  │    (offline)     │
          │  Signing    │                  │
          └─────────────┘
  • Key shares are generated and distributed without ever forming the complete key
  • Signing requires only the configured threshold of shares
  • Backup shares are encrypted and stored offline for disaster recovery

Incident Response

Paratro maintains a 24/7 security operations team with defined procedures for:
  • Unauthorized access attempts
  • Key share compromise scenarios
  • Service availability incidents
  • Vulnerability disclosure handling
For security concerns, contact security@paratro.com.