Legoland Metaverses 🔜+ ⚔️The custody battle (of wallets)
Gm 1Walletoors
A shortage of stories in Web3? Don’t know her. But we do know how to make the most current stories related to crypto, NFTs, and other degen activities digestible. Here are this week’s Easter eggs🥚:
🎮 Building a metaverse playground: Stepping on legos won’t be as painful in Epic Game’s new world for gamers being funded by Sony and Lego
👛 Robinhood can still rob the hood: One year after meme-stock mania, Robinhood releases the much-anticipated crypto-wallet, but is it worth the hype?
🍨 Sweet Scoop: Custodial vs non-custodial crypto wallets: what is what and which is better?
📲 1W Updates: GIFs and emojis just weren't enough to fill the void meant for stickers ...
Keeping it PG for the kids
🕹️Heavy hitters are shaping their metaverses as they see fit
Epic Games just received a hefty $2 Billion investment from Sony and Kirkbi Group (Lego parent) to build out a kid-friendly metaverse. Those involved in the Epic Games partnership share a vision different from closed platforms like the AppStore and Meta: the future of gaming is a metaverse that will serve as a playground for all users to explore freely. Epic Games is one of several large corporations envisioning a future of platforms similar to web3: more open, collaborative, and providing more ownership and freedom for users. This challenges the web2 social platform model, namely Meta’s vision of a metaverse, which will give more “ownership” to users by charging a small 47.5% cut for sales of virtual wear. So whose Metaverse will win? Only time (in these worlds) will tell….
Another unCEXy custodial wallet
🤑Robinhood launches its long-awaited crypto wallet
The digital stock trading platform launched its crypto wallet to its waitlisted users, with basic capabilities including buying and selling crypto, tipping creators on social media, and paying for NFTs (non-fungible-tokens aka digitally unique art pieces). However, what went mostly unnoticed through its sparkly offerings like no withdrawal fees (Coinbase, Crypto.com, and FTX tax around 1%), is the fact that it has joined its CEX (centralized exchange) peers in preventing users from accessing their private key. Robinhood’s wallet is custodial – your private keys are held by a third party (Robinhood), which means they can stop or restrict trading (again like they did a year ago). “Not your keys, not your coins” – it's that simple.
🍨Sweet Scoop: Custodial vs. non-custodial crypto wallets
Much like a house, every wallet has a private key that is used to sign transactions and serve as the literal key to your wallet (if you lose these, you’re locked out of your wallet. If someone else has them… well, your funds may not be yours for much longer). We’ll define what makes a non-custodial different from a custodial wallet, using a house and key analogy to bring the point home.
🔒With custodial wallets
In a custodial wallet, the responsibility of safeguarding the private key and the user funds is on the central authority (CEX), just like the traditional bank. And everyone knows how that can go terribly wrong, from defaulting to hacks.
In a custodial 🏠:
You “own” the house (wallet) but don’t hold the (private) keys. Remember – not your keys, not your coins
The third party (Robinhood) could stop you from using the air conditioner (buying crypto) and the heater (selling crypto) if they want to because they hold your keys
If someone burglarizes (hacks) the house (wallet), it’s up to the third party (Robinhood) to reimburse you for your furniture (crypto)
Moving your furniture in and out of the house (withdrawing and depositing crypto) is at the mercy of the third party (Robinhood)
Since you’ve never owned your key to begin with, if you misplace your wallet, the third party (Robinhood) could help replace them for you
🔐With non-custodial wallets
Non-custodial wallets are less susceptible to a hack but often tagged as “difficult to use” for non-native crypto users due to having to remember Shakespearean sonnet length seed phrases (private key) that are often misplaced or forgotten. 1Wallet fixes all that by offering non-custodial benefits without seed phrases. It does everything you'd expect from a secure wallet, but without the inconvenience of complexities, so sending crypto is as easy as sending messages — instantly, securely, and with no fees.
In a non-custodial wallet 🏠:
You own the house (wallet) and hold the (private) keys
You are the sole owner, meaning only you can access your assets. Not Robinhood. Not The Queen herself. Not anyone else
If someone steals your house (wallet) keys, or you lose them, you lose furniture (crypto) and access to your house (wallet). With 1Wallet, however, there’s no private keys to take care of or to lose
Moving furniture in and out of the house (withdrawing and depositing crypto) will be at your sole discretion
📲1Wallet Updates
We spiced up the latest download with a fresh new feature because we know how important it is to express ourselves when being flamed in the GC. With stickers in the chat, you are now able to react as a character of your choice! Stay up to date with the latest and share your favorite sticker with us on Twitter and – as always – drop feedback in Discord.
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Thank you, very valuable information!