a new solution has arrived in the crypto hardware wallet sector of Cypherock to eliminate the need to memorize the seed phrase. After a $1 million fundraiser, the startup is ready to use NFC-based crypto cards for this purpose.
Crypto hardware wallet and the new solution from Cypherock
All crypto hardware wallets require users to memorize the ‘seed phrase’ which can be used to recover the cryptocurrency wallet.
This is not always successful in the sense that if the user were to lose or forget that phrase, or worse, get robbed, they would lose all crypto in their possession along with the wallet.
Crypto hardware wallet startup Cypherock has come up with a new solutionwhich would replace that process with the use of NFC-based crypto cards.
Seed sentences can be lost, phished or captured on police bodycam. @CypherockWallet has an NFC-based solution. https://t.co/TsmjMDvcJb
— Decrypt (@decryptmedia) December 21, 2022
In principle, the Cypherock X1 crypto hardware walletlaunched in October 2022, uses four Near-Field Communication (NFC) encrypted cards to store users’ private keys and seed phrase. Tapping one of the cards in the wallet approves a transaction, and Cypherock advises users to store each of them in a different geographic location.
Cypherock’s $1 Million Fundraiser
In addition to that, Cypherock also said yes This industry innovation alone raised $1 million in a startup round.
Investors include ConsenSys Mesh, Infinite Capital, Gnosis and co-founder Stefan George, Polygon co-founder Sandeep Nailwal, Mahin Gupta, OrangeDAO and others.
Thus, the new NFC-based cards would be the ideal solution for users who would like to have a sense of ownership of their cryptocurrencies, albeit at the risk of losing them without the ability to recover the “password”.
In this connection, Rohan Agarwalco-founder and CEO of Cypherock said:
“These cards use the same secure hardware used in the banking industry to create debit and credit cards. So using the same secure hardware, but our own software written into these cards, we take that secure infrastructure and port it to Web3.”
In addition, Agarwal confirms that the Cypherock X1 can only be upgraded to support new cryptocurrencies. without upgrading the NFC cards. Essentially, the user is protected from malicious attacks by a third party or even a malicious startup employee.
Crypto hardware wallets after the collapse of the FTX exchange
Crypto hardware wallets have been around for a long time, but many users prefer to use online wallet versions or crypto exchanges to hold their cryptocurrencies.
This is probably done for ease of use or, indeed, to avoid having to memorize startup phrases at the risk of losing all their assets.
Still, the collapse of the FTX crypto exchange was an episode that marked the high risk of delegating ownership of one’s assets to a centralized entity.
In this connection, hardware walletsalso called cold storage are considered the best option to protect Bitcoin and other cryptocurrencies. A hardware wallet stores users’ private keys in a secure offline environment, protected from potential online attacks and intrusions.
The evolution of Ledger: the most popular hardware wallet
Surely those who are part of the crypto industry have heard of it Ledger devices such as the Nano S, Nano S Plus, Nano X to the newly launched Ledger Stax.
This is a piece of history that shows that crypto hardware wallets are also evolvingwith the aim of simplifying the use of such devices while adhering to the general rule that the user must remember seed phrases.
And in fact, from 2014, when Ledger’s first crypto hardware wallets went into production, the French company has continued to maintain its leadership by becoming known for providing safety.
In 2022 alone, the number of sales of such crypto hardware wallets seems to have reached 5 million.
The latest model of the French company, the Ledger Stax, has also opened its doors to NFTskeep using EAL 5+ certified security elements.
Indeed, for early December launchLedger is raffling off two NFT Art for users who pre-ordered the new hardware crypto wallet.
The Ledger Stax was designed by Tony Fadelthe celebrated American designer of the iPod and former vice president of Apple’s iPod division.
Ledger and the partnership with Binance
Another peculiarity of Ledger is also the Ledger Live appwhich is used by users to configure their wallets to achieve a simpler and more convenient interface.
Ledger live has entered into a partnership with the most popular crypto exchange on the internet, Binance. Basically, the Ledger app integrates a new feature that makes it possible Binance users can buy over 80 cryptos on Ledger Live with just a few clicks.
In general, Binance’s goal seems to have been to increase the number of users buying crypto from their platform, but via Ledger Live, which makes everything much more secure.