Earlier this week, Apple announced that it will offer end-to-end encryption for most material its users save on the iCloud storage service. The news means only an authorized device held by an authorized user will be able to access the content of the famous cloud storage
The new feature will protect photos, notes and other files for users who choose to activate it. The new development also outlines impressive high-security messaging features, Apple said encrypted iCloud storage will begin rolling out worldwide in early 2023.
Apple does emphasize the benefits of the new system for defending against hackers. Apple attempted to stand up to pressing security issues, but the new encrypted storage system means also that law enforcement will not be able to summon or compel Apple to hand over user data, because Apple will simply not have the technological ability to comply.
That is why governments and intelligence agencies have reportedly pressured Apple for years not to release the feature. The move towards end-to-end encryption should in turn help normalize online financial privacy, a major agenda item for the cryptocurrency industry. Crypto privacy has been under mounting attack in cases like the sanctioning of Tornado Cash.
The new Apple systems will benefit crypto more directly in two other ways. First, they will have some direct impact on the security of things like crypto keys and wallets. Whether through negligence or truly bad judgment, some crypto users have been known to store their security keys in iCloud backups. That makes them vulnerable to both hackers and, in one notorious instance, the FBI – but with Apple’s new encryption, that risk will be massively reduced.
The final notable upside for crypto is that Apple’s new system will introduce a huge new userbase to security practices and interface features also widespread in crypto. It will be the first time many users are asked to manage their own personal encryption keys, without a centralized recovery process. It’s not dissimilar to how non-custodial crypto apps and protocols require users to keep track of private keys to “be their own bank.”
Apple’s software chief Craig Federighi has called this a major responsibility, because, much as with blockchain systems, Apple won’t be able to simply reset and send a new password when a user loses theirs. Though technical details are scarce, this is likely impossible to do without effectively giving Apple a backdoor to user files.
To mitigate this downside, Apple will also introduce a process known as “social recovery” to a mass audience, according to the Washington Post. An encrypted iCloud user can name another person who will have to participate if they ever lose their encryption key. Social recovery or other “multi-signature” backup schemes are becoming more widespread in crypto as a solution to the risk of key loss.
We haven’t gotten a look at the interface or workflow yet, but you can bet Apple has designed something elegant and intuitive. Hundreds of thousands of users are about to be introduced to private key management by the most respected name in computing. From there, crypto is just a hop and a skip away.
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