This system models security after what already works:
- Bank logins
- MMO account protection
- Corporate VPNs

It builds on user behavior they already understand — but applies it to the key itself, not just access control.

This is not just a proposal — it’s a working demo.  
It shows that better wallet security is possible, today, using nothing more than math and logic already trusted in billions of devices.

Anyone building the next blockchain system, the next smart contract wallet, or even rethinking Bitcoin’s future can implement this.

It is simple.  
It is functional.  
And it removes brute force as a viable threat — permanently.
 

Script #1 (Initial Wallet Generation)

This creates the base key (k1) and the shared secret used by both the wallet and the 2FA device (TOTP_SECRET).  

# wallet_setup.py
import os
import hashlib
import base64

# Step 1: Create a base private key from a user passphrase or entropy
user_input = b"MyUserPassphrase"
base_priv_key = int.from_bytes(hashlib.sha256(user_input).digest(), 'big')

# Step 2: Generate a TOTP shared secret (base32 encoded, as standard)
totp_secret = base64.b32encode(os.urandom(10))  # 80-bit secret

# Save both for the wallet side (base_priv_key stored encrypted or in HSM)
print(f"Base Private Key (int): {base_priv_key}")
print(f"TOTP Secret (base32): {totp_secret.decode()}")
 

This script outputs:

A static private key k1

A TOTP shared secret (base32), to be entered into any authenticator app

Script #2 (Simulate 2FA Device)

This script mimics the hardware/software 2FA device that outputs a TOTP scalar derived from the shared secret and current time.

# generate_k2_token.py
import time
import hmac
import hashlib
import base64

# Load the base32 secret (shared with wallet)
TOTP_SECRET = base64.b32decode("REPLACE_WITH_YOUR_SECRET")  # from wallet_setup

def get_k2_scalar(secret: bytes, time_step=30, curve_order=None):
   timestamp = int(time.time())
   counter = timestamp // time_step
   counter_bytes = counter.to_bytes(8, byteorder='big')
   hmac_hash = hmac.new(secret, counter_bytes, hashlib.sha1).digest()
   offset = hmac_hash[-1] & 0x0F
   truncated = hmac_hash[offset:offset+4]
   code = int.from_bytes(truncated, 'big') & 0x7FFFFFFF
   return code if not curve_order else code % curve_order

scalar = get_k2_scalar(TOTP_SECRET)
print(f"Dynamic Scalar from 2FA: {scalar}")
 

This simulates a TOTP generator giving you a temporary, repeatable k2.

Script #3 (Final Wallet Derivation + Public Key)

This combines the base private key (k1) with the current 2FA scalar (k2) to derive the live, active private key and public key.

# wallet_use.py
import base64
import time
import hmac
import hashlib
from coincurve import PrivateKey
from ecdsa import SECP256k1

# === Inputs (should come from secure source)
base_priv_key = int("REPLACE_WITH_K1", 10)
TOTP_SECRET = base64.b32decode("REPLACE_WITH_YOUR_SECRET")

# === Constants
curve_order = SECP256k1.order
TIME_STEP = 30

# === Functions
def generate_k2(secret):
   timestamp = int(time.time())
   counter = timestamp // TIME_STEP
   counter_bytes = counter.to_bytes(8, byteorder='big')
   hmac_hash = hmac.new(secret, counter_bytes, hashlib.sha1).digest()
   offset = hmac_hash[-1] & 0x0F
   truncated = hmac_hash[offset:offset+4]
   code = int.from_bytes(truncated, 'big') & 0x7FFFFFFF
   return code % curve_order

# === Derive dynamic private key
k2 = generate_k2(TOTP_SECRET)
k_final = (base_priv_key + k2) % curve_order

# === Output compressed public key
priv = PrivateKey.from_int(k_final)
compressed_pubkey = priv.public_key.format(compressed=True)

print(f"Derived Private Key: {k_final}")
print(f"Compressed Public Key: {compressed_pubkey.hex()}")
 

Smart Chain Key Integration (Blueprint) 

Blueprint for how to implement Smart Chain morphing key logic into any blockchain system with minimal code changes, using existing elliptic curve cryptography.

Smart Chain Key Integration (Blueprint)

Smart Chain introduces a new model for blockchain key generation and signing that ties private keys to real-world 2FA devices and morphs them over time. This system is designed to drop into any existing blockchain implementation that uses ECDSA or Schnorr signatures (e.g., Bitcoin, Ethereum, Litecoin) with minimal code changes.

Core Concept

Instead of using a static private key `k`, Smart Chain wallets use:

k_final = (k_base + k_2fa) % curve_order

Where:

- `k_base` = the user’s base private key (from seed, entropy, etc.)
- `k_2fa` = a time-based scalar derived from a TOTP secret (like Google Authenticator)
- `k_final` = the actual private key used to sign transactions

This final key exists only momentarily, on a specific device, and is never stored.

 How to Implement in Any Blockchain Client

1.  Modify Key Signing Logic

In your signing code (usually a wallet library or CLI module):

```diff
- k = load_private_key(seed)
+ k_base = load_private_key(seed)
+ k_2fa  = derive_totp_scalar(shared_secret, timestamp)
+ k     = (k_base + k_2fa) % curve_order

Then proceed with standard EC signing:

signature = sign(message, k)

2. Derive TOTP-Based Scalar (Universal)

def derive_totp_scalar(secret: bytes, timestamp: int, timestep=30, curve_order=None):
   counter = timestamp // timestep
   counter_bytes = counter.to_bytes(8, 'big')
   hmac_hash = hmac.new(secret, counter_bytes, hashlib.sha1).digest()
   offset = hmac_hash[-1] & 0x0F
   truncated = hmac_hash[offset:offset+4]
   code = int.from_bytes(truncated, 'big') & 0x7FFFFFFF
   return code % curve_order
This matches RFC 6238 (standard TOTP)

Any authenticator app can generate the same k_2fa

Use curve_order from secp256k1

3. Optional: Add On-Chain Anchor

To allow verifiers to check the derivation path, optionally store:

hash(base_key || totp_secret || timestamp_start)
...in:

OP_RETURN (Bitcoin-based chains)

Smart contract storage (EVM chains)

Wallet metadata

This allows recovery, validation, and multi-device coordination.

4. Update Signature Verifier (Optional, Advanced)

If you want the node or smart contract to verify the morphing path (not just the signature), add:

TOTP_step or counter as metadata with transaction

Verifier re-runs:

expected_k = (k_base + k_2fa(counter)) % n
And compares expected_pubkey to supplied signature pubkey