Fragmentation and sophisticated person expertise stay two of essentially the most important obstacles to cryptocurrency’s mainstream adoption, in keeping with a brand new business report. Most customers now use no less than two wallets to handle their cryptocurrency investments.
The lack of interoperability throughout blockchains means customers have to create multiple wallets to work together with completely different networks, with customers having no less than two wallets rising by 16% over the previous yr.
Based on a analysis report revealed by onchain person expertise platform Reown and crypto intelligence agency Nansen, 62% of crypto customers reported utilizing no less than two wallets over the previous three months, up from 45% in 2024.
Greater than 18% of respondents stated safety was their high concern associated to pockets use, whereas 10.6% cited poor person expertise as the largest difficulty.
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AI integration may be subsequent “breakthrough” for crypto wallets
“We’re at a pivotal second within the evolution of pockets UX,” in keeping with Eowyn Chen, the CEO at Belief Pockets. “The subsequent wave of customers, particularly these coming from conventional Web2 or rising markets, are bringing new expectations that problem how we design instruments and interfaces.”
Chen stated wallets are shifting from asset storage instruments to turning into the first gateway to Web3 companies, together with digital id, monetary merchandise, governance and gaming.
“That’s why we see wallets evolving into clever, private companions — instruments that not solely maintain your property, but perceive your behaviour, preferences, and desires,” she stated.
Chen added that integrating artificial intelligence agents might assist customers navigate Web3 as simply as they store on-line, whereas additionally decreasing dangers from scams reminiscent of phishing attacks. These scams usually contain tricking victims into sending property to pretend pockets addresses.
The necessity for extra sturdy wallets turned extra obvious after an unknown attacker stole $330 million price of Bitcoin (BTC) in a social engineering rip-off from an elderly US citizen, Cointelegraph reported on April 28.
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Cellular wallets dominate, {hardware} pockets usage on the rise
Out of the 1,000 surveyed individuals, 51% of customers most popular utilizing a cellular pockets, down from 54.8% in 2024.
Solely 10% of the respondents most popular utilizing a {hardware} pockets, up from simply 7% a yr in the past, signaling that {hardware} wallets are slowly gaining traction amongst extra superior crypto customers. Nevertheless, solely 3% of recent buyers reported utilizing a {hardware} pockets.
Social wallets, that are related to a person’s electronic mail or different social account and require no seed phrase, have “reworked onboarding,” and are on the “forefront of UX innovation, rapidly adopting applied sciences like passkey signers and fuel abstraction,” in keeping with Derek Rein, chief technical officer at Reown. He added:
“Crucially, they prioritize easy, simple design, customers shouldn’t want to grasp fuel tokens or chain switching simply to transact.”
Nevertheless, customers are nonetheless hesitant, with 39% of surveyed respondents saying that improved safety and belief would assist them undertake social wallets.
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