Which Crypto Wallet Should You Choose For Your Brand?
As the world increasingly moves towards digital forms of payments, it was only a matter of time before cryptocurrencies became more mainstream. Many businesses have already begun accepting crypto payments, but choosing the right crypto wallet for your brand can be tricky. Here are a few things to consider when choosing a crypto wallet for your business:
Ease Of Use - You'll want a wallet that's easy for you and your customers to use. Look for a wallet that supports multiple currencies and has a user-friendly interface.
Security - Security is critical when it comes to cryptography. Look for a wallet that offers features like multi-factor authentication and cold storage.
Supported Currencies - Not all wallets support all cryptocurrencies, so you'll want to ensure that the wallet you choose supports the currencies you wish to accept.
Transaction Fees - Some wallets charge transaction fees, so you'll want to consider that when choosing a wallet.
Platform Compatibility - If you’re going to accept crypto payments on your website or mobile app, you'll need to make sure that the wallet you choose is compatible with your platform.
The article will discuss all the necessary steps to choose the right crypto wallet for your brand to accept payments.
What Types Of Crypto Wallets Exist?
A Crypto wallet is not a novel concept; it is an application that serves as a wallet for your cryptocurrency. It is referred to as a wallet since it functions similarly to a wallet in which cash and cards are stored. Instead of these actual goods, it stores the passkeys you need to sign your crypto transactions and offers the interface to access your money.
As a whole, a crypto wallet is used to make interaction with blockchain networks accessible to everyone. So, what types of crypto wallets can you choose from? Generally, there are two types of crypto wallets: custodial and non-custodial.
What Is A Custodial Wallet?
A custodial wallet is one where the private keys are held by a third party, such as an exchange. As you may be aware, centralized exchanges like Binance, Coinbase, etc., have a default cryptocurrency wallet on their site. These wallets are referred to as custody wallets.
This kind of wallet will be ideal for novices with little trading capital. In addition, custodial wallets are simple to use and do not need users to have an extensive technical understanding of cryptocurrencies. If the user wishes to keep their cryptocurrency in a custodial wallet, they may establish a wallet account using their Gmail address and then log in to the custodial wallet.
However, the downside is that the wallet service provider will have custody of the money and private keys. The third-party administrator will have complete control over the assets, and users will be unable to conduct cryptocurrency transactions without their knowledge.
Still, the best feature of a custodial wallet is that users cannot lose their wallet or private keys since they do not own them.
What Is A Non-Custodial Wallet?
A non-custodial wallet is one where the user holds their own private keys. The non-custodial wallet is a viable substitute for the custodial wallet. It is not just an alternative to total decentralization but also an outstanding example of it. This form of wallet is known as a DeFi wallet, or a decentralized crypto wallet since it does not involve governmental entities.
Additionally, it allows complete control over the wallet's money and private keys. As soon as users possess a particular crypto wallet, they are granted full access to that wallet and its associated crypto assets. In addition, the user is responsible for safeguarding their cash and secret keys.
Custodial VS Non-Custodial Wallets: Which One Fits Your Business?
As a startup, it is advised that you use a non-custodial wallet. This is due to its futuristic potential in the financial industry. In recent years, a growing number of crypto users worldwide have been migrating to non-custodial wallet programs because they feel their assets would be secure there. Therefore, by adopting a non-custodial cryptocurrency wallet, you may quickly attract a large number of customers from across the globe and generate income. Below we’ll break down several most adopted non-custodial wallets by brands.
Gnosis Safe is a multi-signature cryptocurrency wallet that securely stores Ether (ETH) and ERC-20 tokens. The wallet is available as a desktop/mobile application and a browser extension, enabling it to give users additional functionality. The wallet has several security measures, like a multi-signature vault, two-factor authentication, etc.
However, the Gnosis Safe wallet supports only ETH and ERC-20 tokens. You would want your company's wallet to hold as many assets as possible. This makes it simple for customers to pay with whatever assets they own and removes the need to change assets.
MetaMask is a digital wallet created in 2016 and used to manage, transfer, and receive ETH and ERC-20 tokens. It is a cryptocurrency wallet and browser extension (for Chrome, Firefox, and Brave) that enables Ethereum transactions on standard websites. However, MetaMask is also limited to ERC-20 tokens, which might need to be considered before making decisions.
Trust Wallet is a decentralized and open-source cryptocurrency wallet that offers users several options for purchasing, trading, and storing digital assets.
Trust Wallet now supports over 35 blockchains and more than 160 unique digital assets. The internal buy, swap, and exchange functionalities of the wallet let users trade one cryptocurrency for another or acquire cryptocurrencies using fiat cash.
Is Your Brand Ready For Crypto Wallet Integration?
The significance of blockchain technology will only increase as the globe increasingly adopts digital solutions for communication and economic transactions. The consensus among experts is that blockchain will give various tools that will favorably affect your organization.
Although many organizations see blockchain technology’s significance and potential prevalence, many find it challenging to keep up with it. However, the sooner your organization incorporates the most recent technological advancements, the bigger your brand's appeal.
Offering Web2 brands or games with full-stack blockchain capabilities, including crypto wallet integrations, Xternity is an industry leader. Therefore, even if you lack programming expertise, Xternity will provide you with a legal and comprehensive solution for any blockchain-related aspects your brand needs.