Hot wallet

A wallet whose keys are kept on a system that is online, so it can sign transfers automatically, at the cost of being more exposed than keys kept offline.

#How it works in CryptoLike

CryptoLike's hot wallet receives the funds consolidated from payment addresses and pays out merchant withdrawals. Its keys live only in a separate signing service, not in the API or the cabinet, and that service signs a payout only when the payout is in processing and matches a hold on the merchant's balance in the ledger.

For every asset the platform sets how much the hot wallet may hold. When the balance rises above that ceiling, the system proposes to move the surplus to the cold wallet; an operator approves the transfer with a fresh 2FA code, and a proposal that nobody approves expires without moving anything. Nothing moves to or from cold storage on its own.

Merchants never manage the hot wallet directly: they see a balance per asset and send payouts — with a 2FA code from the cabinet or the Telegram bot, or through an API key with the withdraw permission — with an optional payout whitelist and an optional second approval. All controls are listed on the security page.