America’s largest crypto exchange Coinbase has rolled out Web3 application functionality including a hot wallet and browser for a limited set of its mobile app users.
The app will allow select users to access decentralized applications (DApps) on the Ethereum network such as Uniswap and OpenSea.
Today, we’re starting to make it dramatically easier for users to access & engage in web3 right from the @coinbase app! #NoMoreKeys #JustGettingStarted #KeepBuilding https://t.co/7K3lZ6kKAs
— RishiDean.eth (@rishidean) May 16, 2022
The May 17 announcement by Coinbase’s director of product management Rishi Dean said eligible users would be able to begin trading on nonfungible token (NFT) marketplaces, making swaps on decentralized exchanges (DEXs) and interacting with decentralized finance (DeFi) lending protocols to borrow and lend funds.
Along with the mobile browser that provides access to DApps, there is a hot wallet that customers can use to exchange funds. Unlike decentralized hot wallet apps such as MetaMask, the Coinbase hot wallet will have a co-custodial setup. This means that the private key for the wallet will be stored by the company and can be personally stored by the user.
The wallet and DApp functionality are operated with multi-party computation (MPC) technology, which secures the privacy of senders and receivers while ensuring the accuracy of a transaction.
Dean stated that sharing custody of the keys is a security feature designed to protect users from device-related problems. He wrote, “This means if you lose access to your device, the key to your Dapp wallet is still safe and Coinbase can assist in recovery through our live support.”
Coinbase announced to allow some users to access Ethereum-based dapps directly from the Coinbase app, like opensea like Uniswap and Sushiswap, Curve and Compound. The ‘key’ is splited between you and Coinbase and Coinbase can assist in recovery. https://t.co/T9TtScaziu
— Wu Blockchain (@WuBlockchain) May 17, 2022
Coinbase’s expanded wallet functionality…