#MultiSignature on #Bitcoin thwarts $5 wrench attacks by requiring multiple parties to authorize transactions, dispersing control and complicating coercion attempts. Each signature represents a hurdle for attackers, who must coerce multiple individuals rather than just one.
This dissuades quick, opportunistic thefts, as the effort and time required increase significantly. Furthermore, multi-signature setups often preserve users' control over their private keys, preventing centralized points of failure.
By fostering distributed control, multi-signature enhances security, making it substantially harder for attackers to exploit physical coercion tactics effectively.