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UPDATE : You can try out here
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Introduction
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Although crypto has grown exponentially during the last years and we have seen huge advancement in regards to the technology where countless dapps, communities and project have spurned up. There is still a lot of work to be done.
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We cannot lie that this last bull market although the biggest yet had been brought up thanks to the easy access to capital and major and major bets on a series of verticals. Some of those paid up better than other and managed to succeed.
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The main winners of this cycle are definitely those who build upon infrastructure , scalability , protocol layer and dev tools.
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The problem
With all of this said , itās important that we point out the elephant in the room. The biggest problem that the ecosystem may experience is turning it self into an eco-chamber where people are just focus on extracting a couple more interest points on or , protocol front running each other in order to achieve higher capital inefficiency (bear in mind that i donāt think there is anything wrong with that) But if we donāt do anything to accelerate the need for adoption in a couple of years time we are just going the be a bunch of anonās flipping NFTās between us
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The adoption Dilema
Itās evident that adoption is going to be one of the most interesting and challenging problems we have to face from now on if we want crypto to achieve itās full potential.
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Not that the strive for it is something new but the need for adoption and ownership has become increasingly important once we start seeing the numbers and the panorama painted by both the market and regulators.
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As we seen by the data from the Crypto.com survey on what products users have used before. We can clearly see that the vast majority of people actively opt for Crypto exchanges and Custodial wallets. with a 54% and 39% respectively. And only a 22% go for non-custodial solutions.
This opens the question on why people only go for this types of solutions even though the cons out-weight the proās?
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Why people often stick with custodial solutions
There are a variety of reasons on why people stick with custodial solutions but we can pinpoint the main as the following:
The Friction
Even if you wanted to opt in for a non-custodial solution, have your own hardware wallet or hot wallet to be the true owner of your assets. There is a lot of steps, learning and friction in the way. Something that the average Joe is not willing to learn or do. Having to download multiple apps, having multiple accounts , multiple passwords. Backing up phrases. Withdrawing money from your exchange into chain to your wallet so you can auto-compound and have a higher yield using protocol is not something everyone is willing to do. It has a lot of steps and bureaucracy (kyc, backing up keys , etc).
All of this leaves Joe with the following train of thought:
"If numbers only go up , may as well leave magic internet coin sitting on my brokerage accountā
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The On-ramping
This one is one that can vary from region through region but the bridge between fiat and crypto is one of the most important issues to tackle when it comes to adoption. And perhaps even on par with it.
The main issue plagging the on-ramp and off-ramp process between crypto and FIAT is that is not seamless and is region specific. Perhaps in the US is as simple as showing your SSN for KYC and with that you can buy your coins. But in the rest of the world it varies widely depending both on the Regionās laws, burocracy and access to banking.
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Is not the same for someone in Argentina to buy Crypto through a local exchange via a bank transfer that it is for someone in Venezuela that perhaps has to use a P2P service. Itās important to have a solutions that satisfy various regions so to facilite the access to everyone
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The āRedundancyā
It is not new to hear the story of the guy who had 30.000 Bitcoin back in 2011 and threw away his hard-drive with his private keys on it. Crypto as a whole is allowing us to build a permissionless economy which iām not gonna lie , itās something huge but all of this comes at a cost of being unforgiving to the newbie.
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This also ties back to the point about friction above, imagine you had to create an account providing a lot of sensible information to then transfer a lot of money into a wallet that if not backed correctly your money is completely gone.
Rest asure that a lot of people are not willing to trade the redundancy of getting their money in case they forget their password in spite of loosing ownership of their assets in the long run.
The solution
As a solution we are building a multi-chain social recovery wallet that intercedes all of the explained problematics and also sets itās focus on being a tool from which to onboard a new non-crypto-native user base.
What is social recovery
Social recovery is a type of wallet / smart contract wallet where the user can use the wallet like any normal non-custodial crypto wallet : sign txās , hold and receive tokens , etc but in case the user looses access to itās signing or funds it can be recover by a series of guardians that have been set up before hand by the user.
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How does it work?
The user hold a signing key that lives on his device, which is used to sign all transactions like any normal wallet. In case the user looses access the signing key there are a series of guardian set up by the user that can restore access to users funds by generating a new signing key to the owner.
How is this different from multisig
How does social recovery compare with other wallets
Mango brings to the table
Yes, we can solve the redundancy issue by building a social recovery wallet, but still only providing social recovery doesnāt tackle the rest of the problems overarching the adoption of non-custodial solutions.
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Bear in mind that we canāt also over extend ourselves to tackle every single issue plaging the this problematic. But something that we can do is to leverage the power of solutions already built by the community and conecting them with our soliutions via connectors
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