Losing a wallet’s private key today can lock a user out permanently, and upgrading to stronger security usually means abandoning the address entirely. Monad has proposed a change that would break that link, CoinDesk reported, letting accounts change the keys that control them while keeping the same address.
What the proposal changes
The draft, titled Flexible and Upgradeable Account Authentication, separates a wallet’s permanent address from the credential used to authorize transactions. Users could add, replace or retire credentials, from traditional crypto keys and phone passkeys to multiple signers or cryptography designed to resist quantum computers, without moving assets to a new account.
The design would also let a user recover an account after losing a key, for example by arranging for two trusted parties to jointly install a replacement, or turn an existing account into a multisignature wallet. The proposal’s author pitched it as a path to “post-quantum accounts, social recovery and user-friendly schemes such as passkeys natively.”
An early draft
Authors Kushal Babel and Jan Camenisch said the current version covers the broad design, while a detailed implementation specification still has to be written. Existing accounts would keep working normally if the changes were eventually adopted, since the proposal changes how accounts authenticate rather than how the network reaches consensus. That distinction matters because the upgrade could be shipped without a coordinated, network-wide migration.
The question of quantum resistance has been creeping up the industry’s agenda: Bitcoin developers are debating how to protect older coins whose public keys are already exposed, while Ethereum has made post-quantum security a formal research priority across wallets, staking and smart contracts.
Where Monad sits
Monad was among 2025’s most hyped launches after raising $19 million in 2023 and another $225 million in a Paradigm-led round in 2024, and its DeFi ecosystem now holds roughly $939 million in locked value, including about $732 million in stablecoins. The proposal is part of the wider effort to make blockchains post-quantum, offering an account-level answer rather than a network-wide upgrade. Because the change is optional, individual users could adopt the new authentication scheme on their own schedule rather than waiting for a consensus-level shift.