Cornell Tech researchers have debuted a use case for a cutting-edge concept that challenges a core assumption of blockchain security: that only private key holders can control digital assets.
The application, called Take My Ape, uses a process known as Liquifaction, which allows users to temporarily access blockchain assets — such as a Bored Ape NFT — without actually owning them. The project was presented on Wednesday at the 10th anniversary of the Initiative for Cryptocurrencies and Contracts (IC3).
“Inherent in the world of cryptocurrency systems and their security models is the notion that private keys, and thus assets, are controlled by individuals or individual entities,” the team wrote in a whitepaper. “We present Liquefaction, a wallet platform that demonstrates the dangerous fragility of this foundational assumption by systemically breaking it.”
In short, Liquifaction enables users to define smart contract rules, allowing others to access an asset under specific conditions, including time and action limitations. This process is known as “encumbering” a private key in a trusted execution environment (TEE) — a secure area inside a physical processing chip separated from the main operating system.
Take My Ape, launched on the Oasis Sapphire network, allows NFT holders to share their private keys privately — giving recipients access to the privileges of the Bored Ape Yacht Club. The application restricts what users can do with the token using a single entity address ownership” protocol, preventing them from selling it.
Sharing token access has practically unlimited utility for creative users, such as the ability to double-dip on loyalty points or sign private, off-chain agreements that are invisible to the public, according to IC3 researcher James Austgen. A demo of the program enables users to rent a $50,000 NFT for about $2, Austgen said.
“Liquefaction can undermine the security and economic models of many applications and resources, such as locked tokens, DAO voting, airdrops, loyalty points, soulbound tokens, and quadratic voting. It can do so with no on-chain and minimal off-chain visibility,” the researchers, including Cornell’s Ari Juels, wrote.
© 2025 The Block. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
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