There are a number of optional steps we recommend that you take when setting up a new multisig, before depositing a significant amount of funds or using it in earnest:
1. Ensure signers can actually sign transactions
2. Enter addresses into the address book
2. Deposit funds into signer accounts so that each signer can propose transactions
Ensure signers can sign transactions
Warning - It's possible to create a multisig with an incorrect address! This might happen if a user supplied an address they don't have access to, or if the person setting up the multisig accidentally used the wrong address.
Here are some ways to double check that signers have access to their private key and can sign messages:
- If the user has an identity attached to the address, then they would have had to sign a message in the past
- The user can sign into Polkadot Multisig. In order to sign in, they need to sign a message to gain access
- Execute a test transaction, i.e. sending a nominal amount of funds. If the user can sign the transaction, then that shows they have access to the private key.
It's better safe than sorry! In summary, it's recommended to verify that the multisig can sign a transaction before moving significant funds into it.
Enter the addresses into the address book
Polkadot Multisig has an address book which is shared and synchronized between signers. It can be a convenience to enter the addresses of each signer, along with a human-readable name to the address book. This name will then be pre-filled in the UI.
Deposit funds into signer accounts
With the multisig pallet, there is the concept of "reserved" funds that are needed to propose multisig transactions. When a multisig transaction is started, this amount of funds is locked temporarily, until the transaction is either cancelled or released. The purpose is to reduce spam transactions being submitted to the network.
The amount reserved differs from network to network. On Polkadot Relay Chain, it's just under 20.2 DOT. It may be helpful to deposit the needed amount into each signer's wallet, as well as a buffer to handle gas for executing transactions, so that there is no interruption when a transaction needs to be made.
It should be noted that this does not need to be done upfront, but it can also be done later.