In a bid to offer new business solutions to firms, popular cryptocurrency exchange, Coinbase has launched a new web3 product identified as wallet-as-a- service solution. The exchange announced the development via a blog post on Wednesday. According to the announcement, the new product is geared towards proving web3 wallets services to customers.
Coinbase said the solution will also avail technical infrastructure for various enterprises. With this, concerned firms are able to develop and initiate customizable on-chain wallet. Further, the Wallet-as-a- service (WaaS) also provides a wallet Application Programming Interface (API). Consequently, this API allows organisations to create wallets for simple customers onboarding, loyalty programs or in-game purchase.
Meanwhile, the head of product at Coinbase Web3 Developer Platforms, Patrick MacGregor also highlights the importance of Waas in solving complexities. According to him, the new product offers control over the end-to-end product experiences. More so, the exec noted that the product ensures a massive reduction in implementation cost and complexity. MacGregor added that it also assist brands in enhancing the security of their projects.
Worthy of note that the Coinbase Waas features a Multi-Party Computation (MPC). The MPC, as designed, runs as a type of cryptography, enabling multiple parties to jointly compute a function without exposing their inputs to one another. Remarkably, MPC-oriented crypto wallet guarantees the safety of the digital assets stored by users. This is because their private keys are split into different parts and shared among the parties involved in the protocol.
Coinbase and its recent collaboration with Kava
Worthy of note that this development comes a few months after Coinbase partnered with Kava, a decentralized Web3 firm. Then, the exchange embarked on the partnership to further enhance the development of Web3. According to Kava, the partnership was a step forward in its goal towards leading the world to Web3. The decentralized web3 firm said it spent the previous year working on the network for EVM and Coinbase compatibility. Also, the partnership between Coinbase and Kava allows rapid cross-population between Cosmos and Ethereum users and developers.
In February, Coinbase challenged the stance of the United States Securities and Exchange Commission(SEC) on stablecoin. Worthy of note that this development comes after SEC started a legal tussle against Paxos for issuing Binance BUSD stablecoin. Notably, the US regulator regard stablecoins as securities. In a series of response, the exchange criticized SEC, insisting that stablecoins are not securities.