Current solutions limit adoption
Private keys, MetaMask, wrapping ETH, approving tokens, unwrapping ETH, ETH gas fees — trading crypto from your wallet can be quite a handful for anyone not in the decentralized finance (DeFi) space, and it’s limiting the growth of platforms that provide better security and better speed than centralized exchanges.
While, just like with crypto in general, there are educational hurdles that are slowly being overcome by the general population, some platforms are building solutions to speed the process up. Dolomite is one of those platforms.
A familiar interface
Along with “standard” wallet connection methods such as MetaMask, Ledger, Portis, and Fortmatic, Dolomite supports a wallet management solution they developed that’s made to be easy enough that anyone can use it, regardless of crypto background.
It starts with a familiar interface. Users are able to manage their wallet using an email and password, reminiscent of the sign in process on centralized exchanges and most standard websites.
You may be saying “but hasn’t this been done before with other wallet managers?” And you’d be right. But Dolomite takes another step that makes it easy enough that your mom can use it.
Removing all roadblocks
Users managing their wallet with this method avoid many of the other roadblocks that are holding back DeFi adoption.
- Users don’t need to wrap or unwrap ETH to trade.
- Users don’t need to approve tokens for trading.
- Users pay all transaction fees with the token they’re trading or withdrawing, removing the need to even hold ETH.
- Fiat on/off ramp directly to/from wallet for only a 0.75% fee, removing the need to buy crypto on a centralized exchange.
Along with the benefits in ease of use, funds are securely stored on the blockchain and can be recovered at all times, even if Dolomite shuts down.
How it’s done
Dolomite’s smart wallet is built using a combination of several smart contracts on Ethereum to store funds, handle deposits, and handle conversions in order to pay fees, with all information hashed on the frontend to keep any sensitive information off Dolomite’s servers. Take a deeper dive into the tech right here.
DeFi should be accessible to everyone. Luckily new technology is being built on Ethereum every day to make that dream a reality. Hopefully this new wallet management method will be a big step toward bringing more people into the space and away from centralized exchanges.