Experts Say Enhanced Web3 Wallets Boost Crypto Adoption

Enhanced Web3 wallets are transforming crypto transactions, simplifying processes, and boosting security, making them vital for widespread crypto adoption. These advanced features make the crypto ecosystem more user-friendly for both newcomers and experienced users. Experts like Luis Ocegueda from Trust Wallet and Alvin Kan from Bitget Wallet emphasize that Web3 wallets are evolving to meet user expectations.

The Web3 ecosystem and crypto adoption have surged, with DappRadar reporting a record number of Web3 app users in Q2. Daily unique active wallets (dUAW) reached 10 million, a 40% increase from Q1. Despite this growth, blockchain's complexity remains a barrier for many. An April report from Preply revealed that 35% of crypto investors lacked confidence in their knowledge, with 60% not understanding blockchain.

This is due to the unfamiliarity of the technology. New users often struggle with cross-chain transfers, seed phrases, gas fees, and decentralized apps (dApps). Alvin Kan noted the need for education in swapping or transferring tokens between chains.

However, Kan and Ocegueda believe that enhanced Web3 wallets can address these challenges. Smart wallets, in particular, facilitate a smoother onboarding experience, making the crypto ecosystem more appealing. Smart wallets, powered by smart contracts, enhance usability and security. They handle gas fees in a user-friendly way, improving the user experience.

Trust Wallet and Bitget Wallet are leading in providing enhanced Web3 wallets. Trust Wallet’s SWIFT feature accepts gas payments in over 200 tokens, removing the need for specific tokens. Bitget Wallet’s InstantGas feature lets users swap tokens without needing native tokens in advance.

Interoperability is a major issue in on-chain transactions. Trust Wallet and Bitget Wallet tackle this with features like account abstraction and cross-chain swaps. Users can manage assets and perform transactions across various blockchains without needing multiple wallets, greatly improving convenience.

Ocegueda explained that smart contract wallets can work seamlessly across different blockchains and platforms. This allows users to interact with a wide range of DeFi services and assets, making asset management and transactions easier. This is especially appealing to new and younger users.

As Web3 evolves, so do user expectations. Users now expect features similar to those in centralized exchanges (CEX), such as swaps, earning opportunities, and questing for rewards. Bitget Wallet includes functionalities like smart money insights and pre-market trading to meet these demands.

Ocegueda notes that smart wallets can integrate into Web2 payment systems and support various payment forms. For instance, crypto payments could be enabled with Visa or Mastercard, automatically withdrawing crypto from the wallet when users pay with the card. User interface and experience (UI/UX) are crucial for Web3 wallet users. Kan admitted that current UI/UX in the Web3 sector needs significant improvement. Often, Web3 wallet interfaces require many clicks and substantial education, deterring new users.

Kan believes that better talent from Web2 moving to Web3 can improve UI design. Both experts agree that security is paramount for Web3 wallet users and the broader crypto industry. Enhanced security measures like multi-factor authentication (MFA) and automated fraud detection are now common.

For example, Trust Wallet SWIFT eliminates the risk of unlimited approvals by merging the approval process into one, using batch execution. Bitget Wallet, in addition to strong security measures, is adding a $300 million protection fund to safeguard users’ assets and transactions. In summary, enhanced Web3 wallets are key to driving crypto adoption. By simplifying transactions, improving security, and providing advanced features, these wallets make the crypto ecosystem more accessible and appealing to a wider audience.