Unlike the basic crypto wallets which employ the use of key phrases for additional access, smart wallets override this process using a smart contract code. Depending on the code of the smart contract it could allow various functionalities such as inserting recovery addresses and even a transaction limit to the account. Smart contract wallets are increasingly adopted for their additional functionalities and safety. This article takes a close look at an example of one these smart wallets, WalletConnect.
WalletConnect created by Pedro Gomes is an open-source protocol that enables a secure link between wallets and Dapps (Web3 Apps). It employs the use of a smart contract in the form of a QR code or link to enhance security between the wallets and Dapps, making it easy for users to sign into multiple devices without constantly needing to reveal their key phrases, thereby improving security. WalletConnect can be integrated with over 227 wallets including popular Metamask and other smart wallets like Argent.
WalletConnect Key Features
- WalletConnect is interoperable with any blockchain. Supporting Ethereum, Solana, Polkadot, Cosmos and a host of other upcoming chains.
- It supports connection to multiple chains and simultaneous transaction to different chains. Enabling users to send funds to two different chains simultaneously.
- With a one-time pairing, users can establish multiple sessions.
- WalletConnect is equipped with decentralized messaging which uses an efficient system that reduces the bandwith consumed.
- It works across all platforms–desktop apps, browser apps, mobile apps, gaming apps and much more.
- A tightly knitted permission system ensures wallets meet compatibility with all signing methods the Dapp requires.
How WalletConnect works?
To use WalletConnect, users have to first be on a Dapp. For example, we shall use a LEDU Dapp on a desktop. Just as you would normally see located at the top right of most Dapps is a ‘Connect Wallet’ button. Users would have to select this which would typically bring up a list of connection options, one of which would be WalletConnect. When you select WalletConnect, you’ll be presented with an option of linking via a QR code or a link. If you pick the QR code option you would have to open your main wallet, for example Metamask, and use the QR code scan function to scan the WalletConnect code on the LEDU Dapp to grant access to your Metamask wallet. WalletConnect would require an additional approval for any transactions. This conveniently ensures maximum safety.
Is WalletConnect Safe?
WalletConnect is a protocol aimed at enhancing safety and preventing theft. It requests your approval for every transaction and never reveals your private keys. Safety risks related to the platform is mostly due to users’ negligence, like instances when sending funds to the wrong address. Additionally, false extensions on Google chrome and Google playstore have led users to falling victims to phishing scams. To use WalletConnect, it is advised you access its protocol via the main website.
Conclusion
With the influx of people into the DeFi space, WalletConnect acts as trainer wheels for these newbies. Not only securing them but simplifying the complexities involved in Crypto related transactions. There cannot be enough safety nets in the DeFi space and WalletConnect acts as a good one. With this being said, it is always important to do your own research regarding each platform.
Source: https://blog.educationecosystem.com/smart-wallets-all-you-need-to-know-about-walletconnect/
