Can they overcome the product limitations of blockchain and deliver the world-class experience that consumers expect?submitted by mickhagen to genesisblockhq [link] [comments]
This is the second part of Crypto Banking Wars — a new series that examines what crypto-native company is most likely to become the bank of the future. Who is best positioned to reach mainstream adoption in consumer finance?
While crypto allows the world to get rid of banks, a bank will still very much be necessary for this very powerful technology to reach the masses. As we laid out in our previous series, Crypto-Powered, we believe companies that build with blockchain at their core will have the best shot at winning the broader consumer finance market. We hope it will be us at Genesis Block, but we aren’t the only game in town.
So this series explores the entire crypto landscape and tries to answer the question, which crypto company is most likely to become the bank of the future?
In our last episode, we offered an in-depth analysis of big crypto exchanges like Coinbase & Binance. Today we’re analyzing non-custodial crypto wallets. These are products where only the user can touch or move funds. Not even the company or developer who built the application can access, control, or stop funds from being moved. These apps allow users to truly become their own bank.
We’ve talked a little about this before. This group of companies is nowhere near the same level of threat as the biggest crypto exchanges. However, this group really understands DeFi and the magic it can bring. This class of products is heavily engineer-driven and at the bleeding-edge of DeFi innovation. These products are certainly worth discussing. Okay, let’s dive in.
Users & AudienceThese non-custodial crypto wallets are especially popular among the most hardcore blockchain nerds and crypto cypherpunks.
“Not your keys, not your coins.”This meme is endlessly repeated among longtime crypto hodlers. If you’re not in complete control of your crypto (i.e. using non-custodial wallets), then it’s not really your crypto. There has always been a close connection between libertarianism & cryptocurrency. This type of user wants to be in absolute control of their money and become their own bank.
In addition to the experienced crypto geeks, for some people, these products will mean the difference between life and death. Imagine a refugee family that wants to safely protect their years of hard work — their life savings — as they travel across borders. Carrying cash could put their safety or money at risk. A few years ago I spent time in Greece at refugee camps — I know first-hand this is a real use-case.
Or imagine a family living under an authoritarian regime — afraid that their corrupt or oppressive government will seize their assets (or devalue their savings via hyperinflation). Citizens in these countries cannot risk putting their money in centralized banks or under their mattresses. They must become their own bank.
These are the common use-cases and users for non-custodial wallets.
Products in MarketLet’s do a quick round-up of some of the more popular products already in the market.
Web/Desktop The most popular web wallet is MetaMask. Though it doesn’t have any specific integration with DeFi protocols yet, it has more than a million users (which is a lot in crypto land!). Web wallets that are more deeply integrated with DeFi include InstaDapp, Zerion, DeFi Saver, Zapper, and MyCrypto (disclosure: I’m an investor and a big fan of Taylor). For the mass market, mobile will be a much more important form-factor. I don’t view these web products as much of a threat to Genesis Block.
Mobile The more serious threats to Genesis Block are the mobile products that (A) are leveraging some of the powerful DeFi protocols and (B) abstracting away a lot of the blockchain/DeFi UX complexity. While none get close to us on (B), the products attempting this are Argent and Dharma. To the extent they can, both are trying to make interacting with blockchain technology as simple as possible.
A few of the bigger exchanges have also entered this mobile non-custodial market. Coinbase has Wallet (via Cipher Browser acquisition). Binance has Trust Wallet (also via acquisition). And speaking of acquisitions, MyCrypto acquired Ambo, which is a solid product and has brought MyCrypto into the mobile space. Others worth mentioning include Rainbow — well-designed and built by a small indy-team with strong DeFi experience (former Balance team). And ZenGo which has a cool feature around keyless security (their CEO is a friend).
There are dozens of other mobile crypto wallets that do very little beyond showing your balances. They are not serious threats.
Hardware Wallets Holding crypto on your own hardware wallet is widely considered to be “best practice” from a security standpoint. The most popular hardware wallets are Ledger, Trezor, and KeepKey (by our friends at ShapeShift). Ledger Nano X is the only product that has Bluetooth — thus, the only one that can connect to a mobile app. While exciting and innovative, these hardware wallets are not yet integrated with any DeFi protocols.
StrengthsLet’s take a look at some of the strengths with non-custodial products.
WeaknessesNow let’s examine some of the weaknesses.
Wrap UpOne of the great powers of crypto is that we no longer depend on banks. Anyone can store their wealth and have absolute control of their money. That’s made possible with these non-custodial wallets. It’s a wonderful thing.
I believe that the most knowledgeable and experienced crypto people (including myself) will always be active users of these applications. And as mentioned in this post, there will certainly be circumstances where these apps will be essential & even life-saving.
However, I do not believe this category of product is a major threat to Genesis Block to becoming the bank of the future.They won’t win in the broader consumer finance market — mostly because I don’t believe that’s their target audience. These applications simply cannot produce the type of product experience that the masses require, want, or expect. The Weaknesses I’ve outlined above are just too overwhelming. The friction for mass-market consumers is just too much.
The winning bank will be focused on solving real user problems and meeting user needs. Not slowed down by rigid idealism like censorship-resistance and absolute decentralization, as it is with most non-custodial wallets. The winning bank will be a world-class product that’s smooth, performant, and accessible. Not sluggish and slow, as it is with most non-custodial wallets. The winning bank will be one where blockchain & crypto is mostly invisible to end-users. Not front-and-center as it is with non-custodial wallets. The winning bank will be one managed and run by professionals who know exactly what they’re doing. Not DIY (Do It Yourself), as it is with non-custodial wallets.
So are these non-custodial wallets a threat to Genesis Block in winning the broader consumer finance market, and becoming the bank of the future?
No. They are designed for a very different audience.
Other Ways to Consume Today's Episode:
Download the app. We're a digital bank that's powered by crypto: https://genesisblock.com/download
Refugees do not have IDs, so they can’t have bank accounts. They don’t know anyone in the Netherlands, not yet at least. Bitcoin became an even bigger part of my professional work. The constant exposure to crypto landed me translation jobs for reporters who were covering bitcoin stories. Welcome! Log into your account. your username. your password. Forgot your password? Get help. Password recovery. Recover your password. your email. A password will be e-mailed to you. Bitcoin News. Home; News. News. 0x Price Analysis – DEX trading volumes reach nearly US$1.4 billion… News. Justice Department Seizes $1 Billion in Crypto from Silk Road Wallet… News. Bitcoin Rips To $16K ... Coinbase Donates Cryptocurrency to Syrian Refugees in Greece. Coinbase, another cryptocurrency exchange began a “12 days of Christmas” event on December 10. The platform has so far, donated $10,000 Bitcoin’s worth to Syrian refugees living in Greece. Therefore, this is another humanitarian service from a reputable company in the crypto ... Asides Binance, Coinbase, a cryptocurrency exchange recently concluded its 12 days of Christmas event. On the 5th day of the event, the exchange donated $100,000 worth of Bitcoin to Syrian refugees living in Greece. The company revealed that these people found it difficult to gain access to financial services and as such, they had settled to ... Binance Charity Foundation launches second impact token dedicated to the rehabilitation of refugees – AMBCrypto Malta-based cryptocurrency exchange, Binance, has been in the news lately following several developments in its ecosystem. As per data gathered by CryptoCompare, the exchange has been dominating the crypto-exchange space for quite a while now, recording a massive $28.45 billion […] Binance is doing well and its performance reminds some of the best days of Bitcoin.Binance’s coin’s value has tripped in the last three months to approximately $15.The exchange as co-founded by Zhao Chanpeng in 2017. It has been about 3 months that Binance had announced that they would be shutting down US based investors from trading on their platform on September 12th. The time has finally arrived. Binance is currently freely accessible by US residents. However, this has all along exposed the exchange to many risks due to regulators in the US starting to tighten up their grasp over the emerging market. Looks like "Bitcoin refugees" are flocking to EOS... 3 · 1 comment . EOSBet - Binance_DEX listing proposal submission. Welcome to Reddit, the front page of the internet. Become a Redditor. and join one of thousands of communities. × 0. 1. 2. I have eos on binance.. is that a token? And how do I convert it into actual eos.. confused here! I really believe in the project . submitted 1 year ago ... Binance is a high speed, large liquidity provider exchange which has its native token (BNB) for managing its token economics, whereas Bibox is an AI -enhanced, encrypted digital exchange, with improved security and its own native token BIX. And just like BNB holders, if you have BIX, you can use it to pay the trading fee and avail the discount. If 2017 was the year of the ICO (initial coin offering), 2019 may prove to be the year of the IEO. As cryptocurrency prices have rebounded (with the global cryptocurrency market cap rallying from a…
[index]          
Welcome back to Coin Rivet TV! In this video, Oliver and Nawaz take a look at the Binance Coin chart. Thanks for watching, we will see you again next time! Here in Binance JEX, you can trade #Bitcoin Futures, Bitcoin Options, Ethereum Futrues, Ethereum ... Welcome to subscribe the channel for new guide videos and keep the bell on to ensure not ... Welcome back to the no BS blockchain channel covering bitcoin, cryptocurrency and everything around FinTech. Episode 9 is with the Ted Lin, CGO of Binance, the most popular and innovating crypto ... Lyrics and Raps by Toby Ganger Produced by Decap Additional Vocals by Jimetta Rose Recorded at Manifest Studios, Santa Monica, CA. http://www.listentotoby.co... Hello guys welcome back to my youtube channel and please subscribe my channel How all about money-making with Forex and other online businesses Binance Accou... My Second Channel: https://www.youtube.com/channel/UCvXjP6h0_4CSBPVgHqfO-UA ----- Supp... Binance Tutorial on how to get registered & set up your 2FA. In this video I also go over how to get your API Keys & set them up with the Personal bot. For more information about Arbstar 2.0 ... Cameron and Tyler Winklevoss Gemini brothers: Exchange, Finance, Bitcoin, BTC, Investments 2020 ALL AP INFO TECH 85,980 watching Live now CNBC's Becky Quick interviews Warren Buffett (2/25/19 ... Tucson, AZ- Welcome to the 1 Bitcoin Show! Money that was supposed to fund Hong Kong protests has been confiscated- they should have used BTC! Another example of why the Halving is not priced in ... Here in Binance JEX, you can trade #Bitcoin Futures, Bitcoin Options, Ethereum Futrues, Ethereum ... Welcome to subscribe the channel for new guide videos and keep the bell on to ensure not ...