Coinbase Wallet Adds DeFi Functionality

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  • A new Chrome add-on for the Coinbase wallet allows easier DeFi integration
  • Coinbase wallet users can now use DeFi apps easily on their desktop through the add-on rather than a QR code-based sign on approach
  • The move could see thousands more users experimenting with the DeFi space

Coinbase has launched an add-on for the Chrome browser which will let holders interact more easily with decentralized applications. The new Coinbase wallet add-on will allow holders to link decentralized exchanges and lending platforms directly with their Coinbase wallet, with the new bridge removing the need to scan a QR code each time they want to connect. With Coinbase continuing to be the most popular mainstream cryptocurrency app, this Coinbase wallet add-on, and other iterations that are likely set to follow, this could help users discover and experiment with the DeFi space.

DeFi on Your Desktop

Coinbase announced the addition of the wallet add-on yesterday, noting that “More than a million Coinbase Wallet customers regularly use dapps like Uniswap and Compound” but that in order to do so they need to scan a QR code on their mobile Coinbase wallet each time they wanted to interact.

The launch of the new Coinbase wallet add-on however simplifies the experience for Coinbase users, allowing them “instant access to dapps” on their desktop through one initial log in. Coinbase says that the new wallet add-on is secure, with private keys encrypted using the smartphone’s secure enclave, a section of the phone not connected to a network until required. This means, in essence, that a user’s Coinbase wallet is as secure as their own device is – i.e. fingerprint or PIN.

Coinbase Wallet Add-on Could Increase Adoption

Converting mainstream cryptocurrency users to the DeFi space is set to be one of the biggest challenges in growing the space, and it is small steps like this new Coinbase wallet add-on that will help increase the number of DeFi transitions from a trickle to a flow. Hopefully in time this will grow to a torrent as people switch to being their own bank and using the huge range of financial tools that the DeFi space hopes will revolutionize personal banking.