coinbase Smart Wallet

[hugeblack]

Coinbase launches a new wallet, it describes as A New Era in Crypto Wallets, which can be identified from the quote below.

source ----> https://www.coinbase.com/blog/a-new-era-in-crypto-wallets-smart-wallet-is-here

Instead of relying on a traditional seed phrase, Coinbase’s smart wallet system utilizes passkeys. These passkeys, mainly used on smartphones and other devices, employ public key cryptography to bolster security and simplify the login experience. The smart wallets allow for the immediate creation of wallets and feature capabilities such as direct payments from Coinbase balances, addressing the frequent problem of insufficient funds during transactions.
 Smart wallets will support 8 networks (Base, Ethereum, Optimism, Arbitrum, Polygon, Avalanche, BNB, Zora), with the goal to add more support in the future.

So they are using Passkeys and I don't know how the gas fees will be lower or the transfers will be cheaper.

[bitmover]

Coinbase launches a new wallet, it describes as A New Era in Crypto Wallets, which can be identified from the quote below.

source ----> https://www.coinbase.com/blog/a-new-era-in-crypto-wallets-smart-wallet-is-here

Instead of relying on a traditional seed phrase, Coinbase’s smart wallet system utilizes passkeys. These passkeys, mainly used on smartphones and other devices, employ public key cryptography to bolster security and simplify the login experience. The smart wallets allow for the immediate creation of wallets and feature capabilities such as direct payments from Coinbase balances, addressing the frequent problem of insufficient funds during transactions.
 Smart wallets will support 8 networks (Base, Ethereum, Optimism, Arbitrum, Polygon, Avalanche, BNB, Zora), with the goal to add more support in the future.

So they are using Passkeys and I don't know how the gas fees will be lower or the transfers will be cheaper.

They do not mention private keys in the article.
They call it self custodial wallet, but what about the private keys?

Pass keys are cool , but if I can bypass them using the private keys, they are basically a handy solution for daily use , but not important for security.

[Faisal2202]

Coinbase launches a new wallet, it describes as A New Era in Crypto Wallets, which can be identified from the quote below.
So they are using Passkeys and I don't know how the gas fees will be lower or the transfers will be cheaper.

So a time has come when they start calling seed phrases traditional haha, I mean it came a little early I thought maybe people would be amazed for the next 10 years to hear they can store there whole generational wealth in 12 or 24 words. Well, if it's traditional then how can these passkeys be so advanced? AFAIK passkey can be anything like 2FA, fingerprint, etc., etc. Or they have something else in their minds.

Supporting only 8 and excluding BTC is a bit odd I think they promoting Base haha, As $15k giveaway for devs to cover the fee only on Base is a bit unfair for other 7 networks. Even if they don't give any importance to it (hehe). Overall, its a great move to advertise such product, but I would still want to stick with 12 seed phrases as traditional is good at the moment. Being too advance sometimes necessary. And for me, this wallet maybe of not or lesser usage.

[Findingnemo]

It looks like they are misleading people with false information, seed phrases are one one-time thing that we needed while creating the wallet but after that, if we are still using the app we can simply log in with a password that is available in Electrum for years and I am not sure fingerprint added in the new versions but I haven't updated my passcode on my electrum installed on my mobile.

So they are pushing their self-custodial wallet for people to use that no one will fall for if they understand why seeds/private keys are important.

[Jeffy112]

Be wary of the shiny promises of Coinbase's smart wallet system. While passkeys might seem like a novel alternative to traditional seed phrases, they come with their own set of risks. Relying solely on smartphones and other devices for passkey authentication could make users vulnerable to security breaches, especially considering the rise in mobile-related cyber threats.Moreover, the emphasis on public key cryptography might give a false sense of security. No system is foolproof, and hackers are constantly evolving their tactics to exploit vulnerabilities in cryptographic systems.Furthermore, the convenience of immediate wallet creation and direct payments from Coinbase balances may come at the cost of privacy and control. Users could find themselves sacrificing autonomy over their funds and exposing themselves to potential financial risks.Additionally, the support for only 8 networks could limit users' options and leave them stranded if they wish to explore other cryptocurrencies or networks in the future.In conclusion, while Coinbase's smart wallet system may offer some conveniences, users should approach it with caution and be aware of the inherent risks and disadvantages it presents."

[Aanuoluwatofunmi]

If what is needed for is security and privacy, then i think its not a good option to go under such to have your wallet and expect it being secured as well to the maximum standard, when there are wallets best known for this purpose, i will only advise that we should make use of it if we think we have nothing to loose and for our frequent and daily transaction made easy, but not for security purpose. 

[ABCbits]

Go gasless: Developers can choose to offer gasless experiences and sponsor transactions for their customers via paymaster integrations.

This feature sounds interesting, although i don't understand how they combine self-custodial and this gasless feature. And they don't state anything about open-source, so i'd be remain cautious.