Coinbase Prime has made Web3 access easy for its clients with the launch of its new Web3 Wallet.
Heralding it as an institutional-grade wallet, the new product will offer clients access to crypto, NFTs, dApps (decentralised application) and DeFi.
The non-custodial wallet leverages MPC technology and is fully integrated into Coinbase Prime. It offers multiple services where clients can store any token from supported networks. This includes assets that are not yet available on Prime Custody.
They can also gain instant access to funds, interact directly with dApps and smart contracts, tap into decentralised liquidity to trade a large range of assets, vote on DAO governance, lend assets or stake with direct access to DeFi, buy, sell, mint, manage NFT collections and Web3 social accounts.
Coinbase Prime’s official website states: “As a global leader in digital asset management, we’ve pioneered cutting-edge institutional capabilities for our clients. We have always kept security and utility top of mind, and today marks another step in that evolution by providing institutional and enterprise clients a secure way to operate on-chain with multi-user access via our Web3 Wallet.”
While Coinbase Exchange is the deepest pool of liquidity for any regulated exchange, Coinbase Prime offers multi-venue access for even deeper aggregate liquidity. It is an integrated solution that provides the same secure offline storage that is offered through Coinbase Custody, along with an advanced trading platform and prime services so that users can manage their crypto assets in one place.
The new product is a result of a tremendous demand that the exchange got from institutions to get direct and secure access to web3 and DeFi. Clients can now set up the Web3 Wallet directly from their existing prime account, giving users a secure and direct access to DeFi and Web3.
The team has custom built the wallet, streamlining it to make it as “easy and intuitive as possible” for organisations to oversee all of their on-chain operations. This consists of aggregated views of assets, NFTs, and DeFi positions to integrating the most used features like bridges and swaps directly into the product.
The launch announcement also stated how the product is aimed for enterprise clients. Holding security and reporting as paramount, the Web3 Wallet allows clients to tailor their processes to fit with their existing workflows and manage web3 policies based on an organisation’s security requirements and scale operations.
Both Web3 Wallet and Coinbase Prime use the same security features. This includes two-factor authentication with a physical YubiKey to access and validate transactions for the wallet. Two-factor authentication with a physical key gives clients additional offline protection and the team claims it to be the most secure type of two-factor authentication available.
Finally, the wallet also enables a customisable workflow so that clients can decide which users on their account can initiate, approve, and sign transactions depending on the type of activity. It also comes with many intuitive risk controls where the wallet would provide clients with as much information as possible before executing a transaction. This is aimed at countering attacks as clients will now be able to identify bad actors through such transparency.
Additionally, the team has also built powerful and resilient recovery methods to help clients avoid losing access to their wallet even in some of the most extreme scenarios. On top of this, the MPC implementation removes single points of failure, never exposing one’s private keys.
Developers of the wallet are now working on an encrypted backup in order to give clients full control of their assets and keys by providing them with a special self-custody backup. Encrypted by a quorum, this will enable them to securely recover their key and export it by themselves if needed.
