Singapore, July 22, 2023 – Last fifteen years we have been witnessing a beautiful story unfolding right in front of our eyes: the new decentralized Internet creation. Until now there are some skeptics or non-believers but they have always been around. Not many believed in Bitcoin competitiveness pricewise and it soared a couple of years later, which has become a strong impulse for the blockchain ecosystem development. And here we are today: having businesses entering web3, gamers earning on their gaming achievements, people paying crypto for Starbucks coffee, multiple dApps and DeFi projects, and a plethora of chains to choose from, etc. The only snag in its global shift to web3 is how to seamlessly and effortlessly enter the blockchain wonderland with less headache for inexperienced users. The answer is clear – come up with a user-friendly wallet providing smooth onboarding and solid protection at the same time built cost-effectively and swiftly. Now, we are talking, Wallet-as-a-service is one of the latest trends that helps to create advanced yet intuit web3 wallets.
What is Wallet-as-a-Service?
WaaS is a cloud-based wallet development service providing businesses with easily customizable wallet SDKs and other developer tools which enable speedy crypto wallet creation and as a result providing users with access to the benefits of web3. WaaS claimed a place as the web3 magician bringing to life wallets that are accessible to anyone regardless of how deep their technical involvement is. There are no more mnemonic seeds, private key backup, and counterintuitive UI, all these complexities are courageously battled and squeezed into a set of wallet infrastructure APIs.
Crypto Wallet Market Analysis
The web3 wallet market is constantly growing, due to the increasing demand for such decentralized solutions. In 2022 the crypto wallet revenue totaled around $1.4 Billion. By 2032 the number is expected to grow to $3.3 BIllion. Quite impressive, huh? Moreover, North America and Europe are the fastest-growing regions in crypto wallet development. Well, the NFT frenzy has also added to it making people want more crypto to get NFTs, which leads in its turn to the high demand for secure digital storage to keep their priceless collections protected and not just that. All segments of blockchain ecosystem are actively developing: DeFi, GameFi, dApps, etc. and all of them have to provide users with crypto wallets for onboarding.
3 Key Trends in Wallet-as-a-Service
1.        More WaaS Tools and Frameworks for Developers
Wallet SDK integration into customers’ existing solutions is only one way Wallet-as-a-Service is carrying web3 complexity towers by assault. Other than Wallet-as-a-Service SDKs, there could be Cloud SDKs for seamless blockchain services integration, Pay SDKs for instant fiat on-ramp transactions, plug’n’play SDKs for instant web3 games onboarding, and other which are easily integrated into other solutions through robust and clear APIs.
2.        Wallet Architecture Shift to User-friendliness
The majority of WaaS solutions are MPC-based. It means that they are powered by Multi-Party Computation cryptography which allows the elimination of complicated 24-word recovery phase management when the key created could be split between several users or several devices belonging to the same user, between a user and service provider, etc. Such shared custody helps to eliminate vulnerabilities. WaaS is also solving other UX problems and limitations through the embracement of emerging top-notch technologies causing deep architectural changes.
3.        Increased Interoperability
Until now blockchain existed in the form of closed gardens with heavily developed inner infrastructure. The interoperability opens up the gate for users from one blockchain to reap the benefits of using other blockchains and having one wallet as an entry point into the whole blockchain ecosystem. More and more WaaS products claim to be multichain as one of their features.
Final Thoughts
Wallet-as-a-Service is a big topic and it’s still in its state of development when any startup could bring something new and facilitate the adoption of crypto wallets thus fuelling up the blockchain ecosystem. Of course, there are still many pain points like security and gas fees, but the more hands-on experience we have, the faster such issues will be addressed correctly. As for now there are several sound solutions which could be extremely helpful in crypto wallet development facilitation: Spatium WaaS SDK, Coinbase WaaS SDK, web3auth WaaS SDK just to name a few.
Contact Information:
Name: Anastasia
Company: Spatium Financial Services
Email: info@spatium.net
Website: https://spatium.net/
Address: Singapore, Central Singapore, Singapore.
