What exactly is Crypto.com DeFi Wallet?
Crypto.com DeFi Wallet Review, Crypto.com was founded in the year 2016 in Hong Kong. It is a payment and cryptocurrency platform with a whole ecosystem of different products and services. In May 2020, a new product got added to the ecosystem, that product was Crypto.com DeFi Wallet .
Crypto.com DeFi Wallet is a custodial-free wallet that is that is available on iOS and Android which allows users to create multiple multi-coin wallets that can securely store many various cryptocurrencies. Existing wallets can be imported by using the 12/18/24 word recovery phrase.
The UI is divided into three tabs. The first of which includes the tab for wallets which includes all cryptos available. There you can transfer and receive them, and view the balance. The handy Ether gas meter on the top of the page shows what it is doing on the ETH network is performing and provides an estimate of the cost for slow, average or fast transactions. In the middle of the Gas Meter is a dropdown menu for choosing between various wallets. The QR Code scanner can be found right next to the dropdown and allows you to quickly look up QR code.
The second tab has built-in swap, powered by the DeFi swap protocol and 1 inch V3 Pathfinder, which allows users to swap nearly every token in ETH/ERC20 directly from the wallet’s interface. There are a few restrictions on the use of geo-restrictions. Make sure you know whether you’re allowed to make use of the exchange.
The third tab is DeFi earn. DeFi Earn tab. Based on Compound Lending, Cosmos Staking, Yearn Earn V2, Crypto.org Chain Staking and Aave Lending V2 protocols which allows users to invest their money in order to make passive revenue. The funds are then deposited into the integrated protocol that has the highest rate of return at the date of deposit.
What are the major differences between Crypto.com App as well as Crypto.com DeFi Wallet?
Crypto.com App is a brokerage that allows users to convert their old school money ie. fiat to digital currencies and the other way round. There are a bunch of other services too like a metal Visa card that can be prepaid with crypto and a wallet.
The Crypto.comApp wallet Crypto.comApp is a custodial one , meaning that they keep the private keys as well as handle the cryptos on user’s behalf.
It is DeFi Wallet on the contrary is non-custodial, meaning that users own the private keys, and they have full access to their accounts.
Both wallets have pros and disadvantages. They are as follows:
- Transfers within Crypto.com’s Crypto.com ecosystem won’t result in any fees.
- Since private keys are kept in the hands of the business, you won’t lose them.
- The wallet isn’t decentralized.
- You must create an account, and then complete ID confirmation and KYC.
- You control the private keys, and you are in complete authority over the wallet as well as your money. The wallet is distributed.
- Decentralized wallets also mean there is no single source of failure. If you find that the DeFi Wallet isn’t working, it is easy to connect your wallet with any other wallet that isn’t custodial.
- It is not necessary to set up an account in order to access the wallet, and you’re not required to sign a form to verify your name and address.
- Because the wallet is decentralized and all transactions are carried out on-chain, you have to pay the transaction cost and then wait for the transaction to be verified.
- If you have lost your private keys and the recovery code, you won’t be able to access the money which means there’s nothing you can do to avoid it.
At the time of writing this (September 2021), Crypto.com DeFi Wallet supports more than 300 cryptocurrencies including Bitcoin , Ethereum , BNB (on both ETH and BSC network ), Cosmos Atom , Polygon Matic , Doge , stable coins like USDT , USDC and a whole bunch of other coins. The full list can be found on the Crypto.com support page.
The team is in the process of adding more cryptocurrencies, and will be accepting feedback on the tokens that you’d like assistance for.
Some points to be noted:
- for BTC/LTC Crypto.com DeFi Wallet currently allows sending using SegWit address. For receiving them in you SegWit bank account, it is possible to can transfer BTC/LTC to either your Legacy as well as SegWit address – so the wallet you are using can send to SegWit. Additionally, Legacy balances will not appear within your Crypto.comDeFi Wallet if you add an external wallet using Legacy addresses.
- In the case of BCH, Crypto.com DeFi Wallet is currently able to send BCH via Cash Address. The balances of the legacy wallet will not be displayed when it is transferred to a wallet that has the old addresses.
- If your wallet is not yet active you must have at least 20 XRP/1XLM during your first transaction to be able to activate your wallet due to the requirement for a minimum balance of both the XRP Ledger and XLM Ledger.
Do Crypto.com Wallet support NFTs?
The DeFi Wallet has a dedicated screen for NFTs from where you can send, receive and manage your precious pieces of artwork-on-blockchain. This NFT section is accessible in the wallet tab, along with the other cryptos.
The NFT screen is designed to function as an album where all of your NFTs are listed. A maximum of 20 NFTs are able to be put in the Spotlight and presented as slideshows anytime you’re in your NFT section.
Is Crypto.com the Wallet not custodial?
The wallet on Crypto.com App is a custodial one whereas the Crypto.com DeFi Wallet is non-custodial. The DeFi Wallet gives you full access to your keys and you are your own bank. Every transaction there happens on-chain.
Remember that when you lose access to your private keys or your recovery password There is no way to get access back.
Do Crypto.com DeFi Wallet charge fees to use it?
The DeFi Wallet is a decentralized wallet and the transactions initiated there happen directly on the blockchain. These transactions need to be validated and confirmed by the blockchain network, which requires a network fee. Other than the network fee, the DeFi Wallet does not charge any fee.
If you utilize this feature, and your swap routed using 1 inch, you will incur an additional 0.3 percent service cost. The price of the swap displayed on the confirmation screen inclusive of this service cost.
Also Read: FTX Vs Coinbase: Features, Fees and Security
Anyone can make use of Crypto.com the DeFi wallet?
Anyone can download the Crypto.com DeFi wallet on their iOS or Android device and use the wallet functionality. No account creation or identity verification is required either.
If you wish to make use of swap, you have to reside in a state that is not included in the geo-restricted zones. The complete list of geo-restricted areas can be found on the application.
Here are answers to some of the frequently asked questions:
Do I need to utilize DeFi Wallet
The DeFi Wallet is good for someone who wants to control their private keys and can do so securely.
People who are using Crypto.com App can quickly link to their DeFi Wallet to it and manage their money.
If you’re one who is prone to forgetting and lose passwords frequently You may be better off using an account that is kept in a safe place. If the password and recovery phrase are lost, regaining the wallet and funds will be almost impossible.
How secure is it? Crypto.com DeFi wallet?
The Crypto.com DeFi wallet is a non-custodial wallet, which means the user is in control of the private keys. As such, it is the responsibility of the user to take the necessary measures and keep it safe. Users must secure their wallets with a strong passcode and 2-Factor authentication.
Also, care must be taken to make sure the phone isn’t infected by malware.
The phrase you receive when you create your wallet should be kept safe. If someone steals the phrase, they’ll have access to your wallet. Don’t save the seed word anywhere digitally , or even take pictures of it.
How can you withdraw funds directly from Crypto.com The DeFi account
You can send any of the coins you have in your wallet to anywhere you want from the wallet using the send button. You will need to pay the associated network fee.
- Click Send on tab that is for your wallet.
- Choose the currency you wish to transfer.
- Enter the address of the recipient by scanning or pasting the address as well as the destination tag/memo, in the event that it is applicable.
- Fill in the number.
- Set the speed at which confirmations are made If it is available.
- Tap for confirmation to confirm the message.
Is Crypto.com a safe site
Crypto.com is a safe site that has industry-grade security to protect the website and the users data and funds. There have been no major hacks and the company uses Hacker One bug bounty program where they encourage responsible disclosure of security vulnerabilities.