feat(sdk-lib-mpc): bump @bitgo/wasm-mps to 1.10.0 and use Eddsa.deriveUnhardened

- Bump @bitgo/wasm-mps from 1.8.1 to 1.10.0 in @bitgo/sdk-lib-mpc
- wasm-mps 1.10.0 uses BIP32-Ed25519 dual-HMAC (Eddsa.deriveUnhardened)
  for DSG path derivation, replacing the Silence Labs single-HMAC formula
- Fix express externalSign test: replace deriveUnhardenedMps with
  MPC.deriveUnhardened for DSG signature verification
- Mark deriveUnhardenedMps @deprecated in sdk-lib-mpc

Ticket: WCI-793

Co-Authored-By: Claude Sonnet 4.6 <noreply@anthropic.com>

Author: Marzooqa

modules/express/test/unit/clientRoutes/externalSign.ts

@@ -33,7 +33,6 @@ import {
   MPSUtil,
   MPSComms,
   MPSTypes,
-  deriveUnhardenedMps,
 } from '@bitgo/sdk-lib-mpc';
 import {
   MPCv2PartyFromStringOrNumber,
@@ -1224,7 +1223,7 @@ describe('External signer', () => {
     // legacy EdDSA v1 test (MPC.verify) and ECDSA MPCv2 test (DklsUtils.verifyAndConvert...).
     // Uses Node.js built-in crypto — no extra npm dependency needed.
     const signature = bitgoDsg.getSignature();
-    const derivedKeychainHex = deriveUnhardenedMps(userDkg.getCommonKeychain(), derivationPath);
+    const derivedKeychainHex = MPC.deriveUnhardened(userDkg.getCommonKeychain(), derivationPath);
     const derivedPubKeyBytes = Buffer.from(derivedKeychainHex.slice(0, 64), 'hex');
     // Ed25519 SubjectPublicKeyInfo DER header: SEQUENCE { SEQUENCE { OID 1.3.101.112 } BIT STRING }
     const spkiDer = Buffer.concat([Buffer.from('302a300506032b6570032100', 'hex'), derivedPubKeyBytes]);

modules/sdk-core/src/bitgo/utils/tss/eddsa/eddsaMPCv2.ts

@@ -13,7 +13,7 @@ import {
   MPCv2PartyFromStringOrNumber,
 } from '@bitgo/public-types';
 import { ed25519 } from '@noble/curves/ed25519';
-import { deriveUnhardenedMps, EddsaMPSDkg, EddsaMPSDsg, MPSComms, MPSTypes, MPSUtil } from '@bitgo/sdk-lib-mpc';
+import { EddsaMPSDkg, EddsaMPSDsg, MPSComms, MPSTypes, MPSUtil } from '@bitgo/sdk-lib-mpc';
 import { KeychainsTriplet } from '../../../baseCoin';
 import { AddKeychainOptions, Keychain, KeyType, WebauthnKeyEncryptionInfo } from '../../../keychain';
 import { envRequiresBitgoPubGpgKeyConfig, isBitgoEddsaMpcv2PubKey } from '../../../tss/bitgoPubKeys';
@@ -26,6 +26,7 @@ import {
   verifyPeerMessageRoundOne,
   verifyPeerMessageRoundTwo,
 } from '../../../tss/eddsa/eddsaMPCv2';
+import { getInitializedMpcInstance } from '../../../tss/eddsa/eddsa';
 import { generateGPGKeyPair } from '../../opengpgUtils';
 import { MPCv2PartiesEnum } from '../ecdsa/typesMPCv2';
 import {
@@ -1015,7 +1016,7 @@ export async function getEddsaMpcV2RecoveryKeySharesFromReducedKey(
  * Ed25519 signature against the public key derived from the common keychain.
  *
  * @param message raw bytes to sign
- * @param derivationPath BIP-32-style derivation path, e.g. `"m/0/0"`
+ * @param derivationPath BIP-32-style derivation path, e.g. `"m/0"`
  * @param userKeyShare opaque MPS signing key-share bytes for the user party
  * @param backupKeyShare opaque MPS signing key-share bytes for the backup party
  * @param commonKeyChain 128-hex-char string: 32-byte pub + 32-byte rootChainCode
@@ -1041,8 +1042,10 @@ export async function signRecoveryEddsaMPCv2(
     derivationPath
   )) as Buffer;
 
-  // deriveUnhardenedMps returns 128 hex chars: first 64 are the 32-byte public key
-  const derivedKeychain = deriveUnhardenedMps(commonKeyChain, derivationPath);
+  // Use Eddsa.deriveUnhardened (BIP32-Ed25519), which matches what DSG uses
+  // internally for path derivation since wasm-mps 1.9.0.
+  const mpc = await getInitializedMpcInstance();
+  const derivedKeychain = mpc.deriveUnhardened(commonKeyChain, derivationPath);
   const publicKeyBytes = Buffer.from(derivedKeychain.slice(0, 64), 'hex');
 
   const verified = ed25519.verify(new Uint8Array(signature), new Uint8Array(message), new Uint8Array(publicKeyBytes));

modules/sdk-core/test/unit/bitgo/utils/tss/eddsa/eddsaMPCv2.ts

@@ -2,7 +2,7 @@ import * as assert from 'assert';
 import * as sinon from 'sinon';
 import * as pgp from 'openpgp';
 import { randomBytes } from 'crypto';
-import { deriveUnhardenedMps, EddsaMPSDsg, MPSComms, MPSTypes, MPSUtil } from '@bitgo/sdk-lib-mpc';
+import { EddsaMPSDsg, MPSComms, MPSTypes, MPSUtil } from '@bitgo/sdk-lib-mpc';
 import { ed25519 } from '@noble/curves/ed25519';
 import * as sjcl from '@bitgo/sjcl';
 import {
@@ -34,6 +34,7 @@ import {
   verifyPeerMessageRoundOne,
   verifyPeerMessageRoundTwo,
 } from '../../../../../../src/bitgo/tss/eddsa/eddsaMPCv2';
+import { getInitializedMpcInstance } from '../../../../../../src/bitgo/tss/eddsa/eddsa';
 import { getBitgoSignatureShare } from '../../../../../../src/bitgo/tss/common';
 import { decodeWithCodec } from '../../../../../../src/bitgo/utils/codecs';
 import { generateGPGKeyPair } from '../../../../../../src/bitgo/utils/opengpgUtils';
@@ -1792,13 +1793,14 @@ describe('signRecoveryEddsaMPCv2', () => {
 
     assert.strictEqual(signature.length, 64);
 
-    const derivedKeychain = deriveUnhardenedMps(commonKeyChain, derivationPath);
+    const mpc = await getInitializedMpcInstance();
+    const derivedKeychain = mpc.deriveUnhardened(commonKeyChain, derivationPath);
     const publicKeyBytes = Buffer.from(derivedKeychain.slice(0, 64), 'hex');
     const ok = ed25519.verify(new Uint8Array(signature), new Uint8Array(message), new Uint8Array(publicKeyBytes));
     assert.strictEqual(ok, true);
   });
 
-  it('should throw when the signed message is different from the verified message', async () => {
+  it('should return false when verifying the signature against a different message', async () => {
     const [userDkg, backupDkg] = await MPSUtil.generateEdDsaDKGKeyShares();
     const message = Buffer.from('deadbeef', 'hex');
     const commonKeyChain = userDkg.getCommonKeychain();
@@ -1812,7 +1814,8 @@ describe('signRecoveryEddsaMPCv2', () => {
     );
 
     const differentMessage = Buffer.from('cafebabe', 'hex');
-    const derivedKeychain = deriveUnhardenedMps(commonKeyChain, derivationPath);
+    const mpc = await getInitializedMpcInstance();
+    const derivedKeychain = mpc.deriveUnhardened(commonKeyChain, derivationPath);
     const publicKeyBytes = Buffer.from(derivedKeychain.slice(0, 64), 'hex');
     const ok = ed25519.verify(
       new Uint8Array(signature),
@@ -1828,13 +1831,14 @@ describe('signRecoveryEddsaMPCv2', () => {
     const message = Buffer.from('deadbeef', 'hex');
 
     await assert.rejects(
-      EDDSAUtils.signRecoveryEddsaMPCv2(
-        message,
-        derivationPath,
-        userDkg.getKeyShare(),
-        backupDkg.getKeyShare(),
-        wrongDkg.getCommonKeychain() // key chain from a different wallet
-      ),
+      () =>
+        EDDSAUtils.signRecoveryEddsaMPCv2(
+          message,
+          derivationPath,
+          userDkg.getKeyShare(),
+          backupDkg.getKeyShare(),
+          wrongDkg.getCommonKeychain() // key chain from a different wallet
+        ),
       /EdDSA MPCv2 recovery signature verification failed/
     );
   });

modules/sdk-lib-mpc/package.json

@@ -36,7 +36,7 @@
     ]
   },
   "dependencies": {
-    "@bitgo/wasm-mps": "1.8.1",
+    "@bitgo/wasm-mps": "1.10.0",
     "@noble/curves": "1.8.1",
     "@silencelaboratories/dkls-wasm-ll-node": "1.2.0-pre.4",
     "@silencelaboratories/dkls-wasm-ll-web": "1.2.0-pre.4",

modules/sdk-lib-mpc/src/tss/eddsa-mps/derive.ts

@@ -3,20 +3,8 @@ import { ed25519 } from '@noble/curves/ed25519';
 import { pathToIndices } from '../../curves/util';
 
 /**
- * Derives a child public key from a common keychain using the Silence Labs
- * BIP32-Ed25519 non-hardened derivation formula:
- *
- *   HMAC = HMAC-SHA512(key=chaincode, data=pk_bytes || index_BE_4)
- *   child_pk = parent_pk + 8 * LE(trunc28(HMAC_left)) * G
- *   child_chaincode = HMAC_right (right 32 bytes)
- *
- * This differs from the Cardano BIP32-Ed25519 formula used by
- * `Eddsa.deriveUnhardened` in three ways: no 0x02 prefix byte, big-endian
- * index, and a single HMAC instead of two. The formulas produce completely
- * different child keys at every derived level.
- *
- * Returns the same on-the-wire format as `Eddsa.deriveUnhardened`:
- *   128-char hex = 64-char derived pk + 64-char derived chaincode
+ * @deprecated Use `Eddsa.deriveUnhardened` instead. wasm-mps >=1.9.0 uses
+ * standard BIP32-Ed25519 (the Cardano formula) for DSG path derivation.
  */
 export function deriveUnhardenedMps(commonKeychainHex: string, path: string): string {
   if (commonKeychainHex.length !== 128) {

modules/sdk-lib-mpc/test/unit/tss/eddsa/derive.ts

@@ -2,6 +2,8 @@ import assert from 'assert';
 import { ed25519 } from '@noble/curves/ed25519';
 import { EddsaMPSDsg, MPSUtil } from '../../../../src/tss/eddsa-mps';
 import { deriveUnhardenedMps } from '../../../../src/tss/eddsa-mps/derive';
+import { Ed25519Bip32HdTree } from '../../../../src/curves/ed25519Bip32HdTree';
+import { bigIntFromBufferBE, bigIntFromBufferLE, bigIntToBufferLE } from '../../../../src/util';
 import { generateEdDsaDKGKeyShares } from './util';
 
 const MESSAGE = Buffer.from('The Times 03/Jan/2009 Chancellor on brink of second bailout for banks');
@@ -14,15 +16,28 @@ describe('deriveUnhardenedMps', function () {
   let rootPubKey: Buffer;
   let userKeyShare: Buffer;
   let bitgoKeyShare: Buffer;
+  let hdTree: Ed25519Bip32HdTree;
 
   before(async function () {
     const [userDkg, , bitgoDkg] = await generateEdDsaDKGKeyShares();
     commonKeychain = userDkg.getCommonKeychain();
     rootPubKey = userDkg.getSharePublicKey();
     userKeyShare = userDkg.getKeyShare();
     bitgoKeyShare = bitgoDkg.getKeyShare();
+    hdTree = await Ed25519Bip32HdTree.initialize();
   });
 
+  // Derives a public key from commonKeychain using the standard Ed25519 BIP32
+  // formula (same as Eddsa.deriveUnhardened). Returns the 32-byte public key.
+  function derivePublicKeyBip32(keychain: string, path: string): Buffer {
+    const buf = Buffer.from(keychain, 'hex');
+    const derived = hdTree.publicDerive(
+      { pk: bigIntFromBufferLE(buf.slice(0, 32)), chaincode: bigIntFromBufferBE(buf.slice(32, 64)) },
+      path
+    );
+    return bigIntToBufferLE(derived.pk, 32);
+  }
+
   describe('input validation', function () {
     it('throws when commonKeychainHex is shorter than 128 chars', function () {
       assert.throws(() => deriveUnhardenedMps('deadbeef', 'm'), /expected 128 hex chars/);
@@ -63,7 +78,7 @@ describe('deriveUnhardenedMps', function () {
     });
   });
 
-  describe('DSG signature cross-check against the public key derived by deriveUnhardenedMps', function () {
+  describe('DSG signature cross-check against Ed25519Bip32HdTree (deriveUnhardened)', function () {
     let sigAtRoot: Buffer;
     let sigAtM0: Buffer;
     let sigAtM01: Buffer;
@@ -86,19 +101,19 @@ describe('deriveUnhardenedMps', function () {
       assert(ed25519.verify(sigAtRoot, MESSAGE, rootPubKey), 'DSG at "m" should verify against the raw DKG public key');
     });
 
-    it('signature from DSG at "m/0" verifies against deriveUnhardenedMps(commonKeychain, "m/0")', function () {
-      const derivedPk = Buffer.from(deriveUnhardenedMps(commonKeychain, 'm/0').slice(0, 64), 'hex');
+    it('signature from DSG at "m/0" verifies against Eddsa.deriveUnhardened key at "m/0"', function () {
+      const derivedPk = derivePublicKeyBip32(commonKeychain, 'm/0');
       assert(
         ed25519.verify(sigAtM0, MESSAGE, derivedPk),
-        'DSG at "m/0" should verify against deriveUnhardenedMps result at "m/0"'
+        'DSG at "m/0" should verify against Eddsa.deriveUnhardened result at "m/0"'
       );
     });
 
-    it('signature from DSG at "m/0/1" verifies against deriveUnhardenedMps(commonKeychain, "m/0/1")', function () {
-      const derivedPk = Buffer.from(deriveUnhardenedMps(commonKeychain, 'm/0/1').slice(0, 64), 'hex');
+    it('signature from DSG at "m/0/1" verifies against Eddsa.deriveUnhardened key at "m/0/1"', function () {
+      const derivedPk = derivePublicKeyBip32(commonKeychain, 'm/0/1');
       assert(
         ed25519.verify(sigAtM01, MESSAGE, derivedPk),
-        'DSG at "m/0/1" should verify against deriveUnhardenedMps result at "m/0/1"'
+        'DSG at "m/0/1" should verify against Eddsa.deriveUnhardened result at "m/0/1"'
       );
     });
   });

yarn.lock

@@ -1013,10 +1013,10 @@
   resolved "https://registry.npmjs.org/@bitgo/wasm-dot/-/wasm-dot-1.7.0.tgz"
   integrity sha512-KoXavJvyDHlEN+sWcigbgxYJtdFaU7gS0EkYQbNH4npVjNlzo6rL6gwjyWbyOy7oEs65DhpJ9vY5kRbE/bKiTQ==
 
-"@bitgo/wasm-mps@1.8.1":
-  version "1.8.1"
-  resolved "https://registry.npmjs.org/@bitgo/wasm-mps/-/wasm-mps-1.8.1.tgz#946673f5845696cdcf744f8122fd1fc2be3edce1"
-  integrity sha512-CV8EXYc1BGYtXdCRDxJ5h04nj/LpMgu3VlkfowlodI6UKcj1zotAvk4OMIdgiPPbKVr1l+xibHDXZYx/uf3rnw==
+"@bitgo/wasm-mps@1.10.0":
+  version "1.10.0"
+  resolved "https://registry.npmjs.org/@bitgo/wasm-mps/-/wasm-mps-1.10.0.tgz#df6a056247ce04c7d92369d257b659876e03261d"
+  integrity sha512-f42sMCyqqlaId3AtcvdpOfR+mOjAyVopCxCCAqW7wcTAQ8ZBS9rMGQIzTMiqFmZDBMWsAe+QHWA6XseIuzTVdQ==
 
 "@bitgo/wasm-solana@^2.6.0":
   version "2.6.0"