Coinbase Launches Wallet-as-a-Service to Bring Millions to Web3

On March 8, Coinbase announced the launch of its Wallet-as-a-Service (WaaS) product. The WaaS product aims to “bring the next hundred million consumers into Web3 through a seamless wallet-onboarding experience.” The Coinbase WaaS offers wallet infrastructure application programming interfaces (APIs) to companies, enabling them to build their own custom Web3 crypto wallets.

Coinbase Global (Nasdaq: COIN) has revealed a new addition to its suite of offerings and services: Wallet-as-a-Service (WaaS). In a Twitter thread, Coinbase stated that the WaaS “is a scalable and secure set of wallet infrastructure APIs, enabling companies to create and deploy fully customizable onchain wallets.” Additionally, the Coinbase wallet infrastructure provides “multi-party computation (MPC)” cryptography, which removes the need to manage a complicated 24-word recovery phrase.

1/ Today we introduce Wallet as a Service, making it easier for any company or brand to seamlessly onboard their users to web3

…even if they have never used cryptocurrency before. pic.twitter.com/5IKUJHpQlS

— Coinbase (@coinbase) March 8, 2023

Coinbase detailed that crypto firms such as Tokenproof, Floor, Thirdweb, and Moonray are already using its Wallet-as-a-Service (WaaS). Coinbase believes that the WaaS will aid in bringing the “next hundred million consumers into Web3.” “More and more companies are realizing that Web3 will generate a massive industry of new decentralized applications and services, and they want to empower their customers to access it,” Coinbase stated in the announcement.

“When users download the Tokenproof app, we’ll create their first wallet, powered by Coinbase, to welcome them into Web3,” said Fonz, the founder of Tokenproof, in a statement. “This is a significant step towards making the space more approachable and accessible, and we’re excited about the opportunity to work with such a highly trusted partner.” Besides the WaaS, Coinbase provides developers with a wallet software development kit (SDK), a payments SDK, the commerce API, and other blockchain integrations.

What are your thoughts on Coinbase’s Wallet-as-a-Service? Let us know in the comments section below.