Protecting Your Digital Treasury: A Guide to Setting Up a Gnosis Safe
As the CEO of a web3 startup, you understand the importance of securing your company’s funds. After a painful experience with a rogue Solidity engineer, you’ve learned that every sensitive transaction in a smart contract requires approval from multiple people. That’s where Gnosis Safe comes in – a project from Gnosis that allows you to set up a treasury wallet with multisignature authorization.
What is Gnosis Safe?
Gnosis Safe is a multisig wallet smart contract on Ethereum that enables you to secure funds for multiple participants. It’s the most popular multisig wallet smart contract on Ethereum, and for good reason. With Gnosis Safe, you can require a certain number of signatures to approve transactions, ensuring that no single person can drain your treasury.
Setting Up a Gnosis Safe Treasury
To set up a Gnosis Safe treasury, you’ll need to deploy the Gnosis Safe smart contracts to the Hardhat development network. First, clone the Gnosis Safe smart contract from their GitHub repo and install Hardhat inside the safe-contracts directory. Then, run the Hardhat development network and deploy the Gnosis Safe smart contracts.
Understanding the Gnosis Safe Smart Contracts
The Gnosis Safe smart contracts consist of three core contracts: MultiSend, GnosisSafe, and GnosisSafeProxyFactory. MultiSend is a helper contract that batches multiple transactions into one, while GnosisSafe is the core safe smart contract. GnosisSafeProxyFactory creates a proxy for each user, allowing you to interact with the GnosisSafe contract.
Installing the Gnosis Safe SDK Libraries
To interact with the Gnosis Safe smart contracts, you’ll need to install the Gnosis Safe SDK libraries. Create a Node project, install the ethers.js library, and then install the Gnosis Safe SDK libraries.
Setting Up the.env File
Instead of hard-coding the Ethereum addresses, create a.env file to store them as environment variables. This will make it easier to switch between different networks and addresses.
Creating the Treasury
Create an index.js file and import the Gnosis Safe SDK library. Then, set up multisignature authorization by loading the addresses from the.env file and creating a provider from the ethers.js library.
Approving Transactions
To approve a transaction, you’ll need to create a safe transaction object, get its hash, and then approve it using the approveTransactionHash method. You can also execute the transaction using the executeTransaction method, which will approve and execute the transaction in one step.
Conclusion
In this article, you learned how to set up a Gnosis Safe treasury wallet with multisignature authorization. By requiring multiple signatures to approve transactions, you can protect your company’s funds from rogue agents and ensure that your digital treasury is secure.