Coinbase has unveiled an end-to-end encrypted, private, and portable messaging feature for its self-service wallet product – Coinbase Wallet to allow users to log in directly through their wallet, interact with communities, and send payouts on thousands of coins. .
The goal is to give Coinbase Wallet users full control and ownership of their identity and chats by eliminating unnecessary risk and potential loss using messaging.
Coinbase’s new feature
According to the official blog post, Coinbase Wallet has integrated with XMTP, which is an open protocol and network for Web3 messaging. The new feature aims to address common issues with Coinbase Wallet, such as accidentally sending crypto to the wrong address, someone claiming ownership of a .eth username they don’t own, or fake online profiles on social media platforms.
In short, wallet holders will be able to send messages to and from Ethereum accounts, including those with CB.IDs, ENS domains, Lens profiles, or Unstoppable Domains profiles. This service flexibility should help users “make real connections, bid on NFTs, and pay others directly,” the crypto giant said in a statement.
Additionally, chats can be ported to any other XMTP compatible application at any time. Users will also be allowed to send payments to others using the USDC stablecoin without incurring gas fees.
“Today we are announcing a new way to engage with the crypto community with integrated messaging on Coinbase Wallet powered by the XMTP protocol. Messaging on Coinbase Wallet is end-to-end encrypted, private, and portable.
Simplify the transaction process for Web3
The latest development is a milestone for the Web3 wallet space, as it expands traditional crypto wallet offerings by buying, holding, trading and transferring only digital assets. Integrating a crypto interact feature essentially eliminates a major inconvenience of using a different messaging platform to interact with someone, confirm their credentials, and then go back to the wallet to send or receive tokens.
Currently, Coinbase is embroiled in the United States Securities and Exchange Commission (SEC) for allegedly operating as an unregistered stock exchange, broker, and clearing agency. More recently, the financial regulator claims that the crypto exchange was aware of the violation of securities law in the country.