Crypto Academy Week 3 Homework Post for @sapwood: Important Points About Exchange Wallets (Coinbase Wallet)
A very big thanks to @sapwood for a beautiful lecture for week 3.
Sir, your explicit lecture has opened my eyes on the concept of types of wallets and the use cases. Thus, I’m here to submit my homework.
I have chosen to talk about Coinbase wallet, as the exchange (centralized) wallet of my choice. To give a vivid explanation of how it works, I’m going to cover the following areas:
-General overview of the wallet
-Features of the wallet
-How to secure the wallet
General Overview
Coinbase wallet is a cryptocurrency wallet, not a personal wallet, as such it is centralized. That is to say that users don’t have the private keys of the cryptocurrencies stored in the wallet.
It follows that users can deposit, buy or sell their assets via the wallet.
With Coinbase, users can connect their US bank account and easily transfer funds to the exchange at will. It can be gotten in a mobile phone, making it easy to use the wallet on the go.
Coinbase wallet is a great interphase for people that are new to cryptocurrency. This is because it makes buying and selling of cryptocurrency easy, without the need to possess special skills.
Features of Coinbase Wallet
If you have the wallet in your device, please follow me as we explore the features.
The Get Coins Feature
When you open the wallet, the first page that displays will show your username, amount of money displayed in your chosen currency, the send icon, Receive icon and at the bottom Get coins icon is displayed.
The *Get coins icon is the feature that allows you easily deposit an asset into the wallet, either from another Coinbase account or other wallets.
If you choose elsewhere, it will lead to a list of assets to choose from. This means you can select the asset of your choice, click and get the wallet address for that asset, which you can use to send the funds.
The Discover Dapps Feature
This feature gives users access to other exchange platforms. The good part of this is that you can buy new assets that are not yet on Coinbase, by using your asset in Coinbase wallet.
How to Secure Your Coinbase Wallet
To secure the wallet, you need to back up the Recovery Phrase. This a set of 12 words that can be used to recover the wallet if something goes wrong with your device.
Apart from the recovery phrase, there’s another way called App Lock. Here you can choose to lock your wallet with PIN or biometrics. In this case either of your chosen lock method will be required if you want to open the wallet or do any transactions.
The Coinbase wallet is a nice one to consider. This is where I will end the discussion today.
Thank you for reading.