Coinbase has unveiled a new embedded wallet tool that enhances asset management for users and developers. This move aligns with the growing interest in self-custody and is supported by new pro-crypto legislation in the US.
Tool for Developers and Users
The embedded wallets provide developers with access to the same infrastructure that Coinbase plans to use for its upcoming decentralized exchange. This allows creators to develop apps with wallet features without redirecting users to other platforms or requiring complex steps.
New Opportunities and Benefits
One notable benefit is the integration of native USDC rewards. Holders of USDC in these wallets can earn a 4.1% annual percentage yield without the need for staking. Developers can choose whether to pass these rewards on to users or keep them as part of their business model.
Base Network Updates
On August 5, Base experienced a 33-minute outage that temporarily halted block production. The disruption occurred due to a failure in the automatic handoff in the high-availability cluster, which caused activity to be routed to an unhealthy mainnet sequencer. Engineers quickly intervened, switching operations to a healthy sequencer and restoring normal service. The Base team has since completed a full postmortem, outlining the cause and measures to be implemented to prevent similar issues in the future.
The introduction of embedded wallets by Coinbase represents a significant step towards expanding self-custody capabilities for users in the cryptocurrency space. Meanwhile, the updates regarding the Base network demonstrate the team's readiness to swiftly address arising issues, while the new legislation in the US highlights the increasing interest in cryptocurrencies.
