From the Mega Security Whitepaper:
The API does not store the unhashed Authentication Key sent by the user. It only stores the Hashed Authentication Key to prevent “pass-the-hash” attacks (wherein the scenario of a leaked database, an attacker would just pass the Hashed Authentication Key to get authenticated and carry out actions as the real user). The server always hashes the Authentication Key received from the client which prevents this attack vector.
If the Hashed Authentication Key does not match the result in the database, the API responds with a negative response to indicate failure. The API side avoids timing attacks here by using Double HMAC Verification (https://www.nccgroup.trust/us/about-us/newsroom-and-events/blog/2011/february/double-hmac-verification/).
Unfortunately the link is dead and a google search often points back to the same source. Can you please explain how double hmac verification works when you need the original key to verify the signature? Thank you