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+# MSI v2 — Key Logic
+
+## Overview
+
+In MSI v2, before MSAL can do anything with IMDS or ESTS, it needs a key pair. This private key is the root trust anchor for all subsequent operations (CSR, cert issuance, PoP binding).
+
+## Key Responsibilities
+
+- Generate and hold the RSA private key.
+- Ensure the key is protected to the maximum capability of the platform.
+- Provide the key for signing (CSR, PoP requests, mTLS handshakes).
+- Never allow export if backed by hardware/KeyGuard.
+
+## Key Selection Priority
+
+MSAL implements a hierarchical key provider strategy:
+
+### KeyGuard (always for PoP)
+- Requires Virtualization-Based Security (VBS).
+- Keys are isolated in a secure enclave.
+- Strongest guarantee that the private key cannot be exfiltrated.
+- Used for Proof-of-Possession (PoP).
+
+### Hardware / TPM / KSP (fallback)
+
+- Keys are backed by TPM or the Platform Crypto Provider.
+- Non-exportable, tied to the device.
+- Provides strong hardware-based protection, but not as strict as VBS isolation.
+
+### In-memory RSA (last resort on Windows and only option in Linux)
+
+- Keys are created and held in memory.
+- Software-based only, weakest in terms of protection.
+- Used only when platform protections are unavailable.
+
+## Mermaid — Key Selection Flow
+
+```mermaid
+sequenceDiagram
+    autonumber
+    participant MSAL
+    participant KeyProvider as Key Provider
+    MSAL->>KeyProvider: GetOrCreateKey()
+    alt Cached key exists
+        KeyProvider-->>MSAL: Return cached key
+    else No cached key
+        KeyProvider-->>KeyProvider: Acquire semaphore
+        alt KeyGuard available
+            KeyProvider-->>MSAL: KeyGuard key (preferred)
+        else Hardware/TPM available
+            KeyProvider-->>MSAL: Hardware key
+        else
+            KeyProvider-->>MSAL: In-memory RSA key
+        end
+        KeyProvider-->>KeyProvider: Cache key & release semaphore
+    end
+```
+
+
+✅ Summary:
+
+In MSI v2, everything starts with a key. MSAL enforces a secure-first fallback chain: KeyGuard → TPM → In-memory. For PoP tokens, KeyGuard is the preferred option since it offers the strongest binding guarantees.