# 9.4 Cryptographic Foundations

PTERI relies only on **well-established cryptographic primitives**.

There are no experimental algorithms.

***

#### Key Generation & Signing

* Elliptic Curve Cryptography (secp256k1)
* Hardware-backed key storage where available
* Keys are generated locally on the device
* Private keys are non-exportable

***

#### Challenge–Response Authentication

* Cryptographically random nonces
* Explicit expiration windows
* Single-use enforcement
* Deterministic verification

***

#### Transaction Verification

* Litecoin proof-of-work consensus
* UTXO-based validation
* Optional MWEB privacy guarantees
* Public, independently verifiable settlement

***

#### Hashing & Integrity

* Cryptographic hash functions for message integrity
* Signed payloads are tamper-evident
* Any modification invalidates verification

***

<figure><img src="/files/fYnX1mJT8c4JbNokDmeR" alt=""><figcaption></figcaption></figure>


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