Post by account_disabled on Mar 6, 2024 19:39:43 GMT -8
Mass adoption of any innovative technology requires scalable and easy-to-use identity systems.
Currently, most cryptocurrency wallets suffer from the same fundamental problems that hinder Web3 adoption: complex setup, fragmented wallets for different chains, weak recovery phrase security, and an unintuitive user experience.
Our latest product is a DeFi wallet designed to solve many of the problems with the current Web3 identity system.
Explore the ongoing debate around identity and adoption on Web3 and discover the Binance DeFi Wallet, a robust DeFi wallet built directly into the Binance app and secured with multi-party computing technology.
The problem of identity has been a constant challenge since the beginning of the Internet (known as the Web1 ), when IP addresses were used for identification. In fact, Web1 adoption only began to flourish with the introduction of URLs.
Web2 brought new problems, as each website and application needed its own identity system, leading to weak passwords, fragmented accounts, and low usage . Google, Facebook and Apple addressed this issue with federated identity systems based on OAuth, ushering in a new era of Web2 applications.
Web3 currently faces similar identity-related obstacles, such as complicated wallet addresses, memos, cross-chain issues, and inadequate wallet security protocols. By addressing these challenges, we can unlock the full potential of Web3 and offer users a seamless, secure, and easy-to-use experience.
The current challenges
Clearly, what a good identity Ecuador Mobile Number List system is is easier said than done. In fact, today, to achieve the "perfect" identity system, we face several challenges:
Centralized exchanges ( CEX) have their own disparate identities. DeFi uses blockchain-dependent wallets that are much more difficult to adopt for first - time cryptocurrency users.
The user experience for Web3 identity could be simpler, like Web2. For example, passphrases, hardware keys, and browser add-ons are often cumbersome, especially for newcomers.
Users must complete various KYC (“Know Your Customer”) processes to use different centralized financial products. Currently, DeFi does not require KYC, but this could change as regulations are updated.
Currently, there are no identity scopes available on Web3, everything is an address, which is a challenge for dApps as they cannot differentiate the users they want to target from the rest. How can we preserve the privacy and openness of Web3 while preventing fraud and misuse?
Wallets are the key to Web3
If you want to take advantage of the full potential of Web3, you have to have a cryptocurrency wallet . Therefore, a powerful wallet is also key to addressing many of the challenges that Web3 faces today.
Although there are currently hundreds of options available, from cold to hot wallets, most suffer from the same fundamental problems that are hurting Web3 adoption:
A complex configuration.
Fragmented wallets for different chains.
Poor recovery phrase security.
An unintuitive user experience (memos, copying long addresses and choosing the correct network).
Our industry has made some progress to improve these issues, such as the development of wallets based on multi-party computing (MPC) and the Ethereum protocol based on smart contracts for wallets. However, we still have several features to implement:
A trusted identity provider. Ideally, one that has hundreds of millions of users along the same lines as what Google and Apple provided for Web2.
Excellent customer service so that if users lose their keys or devices, they have the peace of mind that they have a trusted partner who will help them recover them.
An intuitive and accessible user experience that includes one-click processes for registration, financing and transfers.
Cross-chain support instead of wallets tied exclusively to a specific network.
Extensible software development kits (SDKs) that can be adopted by anyone in the ecosystem. Wallets are just the beginning.
A level of control where users can designate trusted guardians to address the above challenges.
Introducing Binance DeFi Wallet, Powered by Binance ID
The Binance DeFi wallet is built directly into the Binance app with the latest multi-party computing standard. This cryptographic technique allows a group of people or parties to carry out an operation without revealing their private keys to each other. Put another way, no party can access the entire private key or any part of the key other than its own. The private key remains protected even if one party is compromised.
In addition to having the best security in the industry, we have integrated a set of advanced features in the Binance DeFi wallet such as Binance ID , biometric authentication , WalletConnect support, SoulBound tokens (SBT), among others. Let's take a closer look at some of the tangible advantages that the Binance DeFi wallet offers.
One-click setup
Enjoy a hassle-free one-click onboarding process and get access to a robust DeFi wallet. Setting up your wallet is done in an easy-to-use platform, with no slow or complex steps, unlike other Web3 wallets that often include unintuitive user interface design and confusing instructions.
Cross chain assistance
The Binance DeFi wallet will support Ethereum and BNB Smart Chain (BSC) from day one, with new chains being added in the coming weeks.
Wallet recovery
If you lose your device, simply log in with your Binance ID and provide your multi-factor authentication to recover your DeFi wallet.
From CeFi to DeFi
Transferring funds between centralized and decentralized finance has never been easier. With biometric authentication, you can securely send and receive funds with the touch of a couple of buttons.
One device for all DeFi
The Binance DeFi wallet fully supports WalletConnect, a widely used protocol that allows you to interact with any DApp on Ethereum or Binance Smart Chain. This means that you will be able to manage your DeFi portfolio and trade your favorite assets without switching between different wallets or platforms.
Maintain your privacy with SoulBound tokens
Access a wide range of DeFi services while maintaining full control over your data. Binance SoulBound Tokens (SBT), one of the advanced features of our DeFi wallet, are digital identity tokens that allow you to prove your identity on-chain without putting any sensitive information at risk.