Coinbase is adding new features to its wallet app. With the overall goal to cross into Web3, the product will focus on API-first, DeFi-first, and self-custody first, according to Chief Product Officer Surojit Chatterjee.
To streamline participating in self-custody and Defi, Coinbase is integrating its Pay software development kit (SDK) within its wallet. Consensys’ Metamask, the leading browser-based Web3 wallet will also be adopting Pay, said Chatterjee. Users will be able to purchase cryptoassets with fiat and transfer them to the self-custody wallet of their choice through Pay. A guest checkout option will become available for non-Coinbase users.
As long wallet addresses can become complex for identification purposes, “To reduce complexity, the Coinbase Wallet will allow a user to claim an Ethereum Name Service (ENS) address for free. ENS is just one of several services Coinbase plans to integrate,” a spokesperson told Blockworks.
Coinbase will also be releasing a self-custodial dApp wallet, made possible by multi-party computation (MPC), a cryptographic technique for secure private key management. Users will be able to buy NFTs on marketplaces like Coinbase NFT and OpenSea, trade on Decentralized Exchanges such as Uniswap and Sushiswap, and borrow, lend, or swap through DeFi platforms like Compound and Curve.
Users can access dapps without a recovery phrase. The wallet allows the ‘key’ to be split between the user and Coinbase. This adds a layer of security, if access to your device is lost, the key to your dapp wallet remains safe and Coinbase can assist in recovery through their live support. These assets will first be available to a selective amount of US Android users, with a plan to eventually expand to all users and platforms.
The wallet hopes to also support blockchains that are compatible with the Ethereum Virtual Machine (EVM) as well as a few particular others, including Solana.