> For the complete documentation index, see [llms.txt](https://prismnetwork.gitbook.io/prismnetwork-docs/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://prismnetwork.gitbook.io/prismnetwork-docs/5.-risk-management-system/5.1-user-asset-security-and-permission-management.md).

# 5.1 User Asset Security and Permission Management

User asset security is the first line of defense in Prism Network's risk management system. After users connect their wallets and complete signature-based authorization, the system identifies the account address, asset balances, authorization status, strategy subscription status, order history, and execution records, using this information as the foundational conditions for subsequent strategy operations and trade executions.

For basic event browsing, market queries, and probability comparisons, users only need to complete standard wallet connection. When users enable features such as automated execution, profit reinvestment, or periodic compounding, the system requires users to further configure explicit execution permissions. Permission parameters include per-trade limits, total position caps, executable market scope, strategy runtime, maximum slippage, stop-loss conditions, profit handling methods, and authorization validity periods.

Prism Network separates asset control rights from strategy execution rights through mechanisms including account abstraction, smart accounts, session keys, limit-based authorization, and permission revocation. Users retain ultimate control over their assets, while AI strategy accounts and the execution engine can only perform designated operations within authorized parameters — they cannot breach limits, timeframes, market scope, or risk parameters.

API Key and Wallet Permission Management:

* Follows the principle of least privilege, with tiered permission management for query, strategy, and fund execution categories
* External agents and developer tools can only access data and interfaces within the user-authorized scope
* Interfaces involving fund execution require additional permission validation and are subject to limits, frequency, and market scope restrictions
* Employs EIP-712 typed signatures or equivalent human-readable signature formats to reduce blind-signing risks


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