The recent collapse of FTX and other centralized platforms has highlighted the need for more focus on the benefits of self-custody. We live in a digital age, so more of our assets are becoming digital. This presents convenience but also a challenge: how to keep digital assets safe?
Self-custody is the answer. It lets individuals take control of their possessions, keeping them safe and secure. By storing digital assets themselves, users can protect them from hacks, scams and other malicious activities. Self-custody also gives users full control over their assets, allowing them to manage them as they please. This blog looks at the importance of self-custody for digital assets, how it helps keep them secure, and Webacy’s solutions for doing so.
The recent events surrounding FTX have made the criticism of centralized platforms more pronounced. Storing private keys on these platforms can be a single point of failure, meaning if the platform is breached, private keys can be exposed and funds stolen.
Centralized platforms can also be vulnerable to government interference, so users don’t have full control over their funds and can be subject to censorship or seizure. Decentralized storage solutions like hardware wallets are a better option for keeping private keys secure.
Applications that focus on secure self-custody are few, yet significant. Webacy offers tools to make self-custody secure and easy. Unlike other solutions, it doesn’t require users to store their keys or seed phrases, allowing them to use their own wallet and get set up with features like a Backup Wallet, Panic Button and Wallet Notifications.
Webacy integrates with the user’s entire self-custody management system, including browser wallets, hardware wallets, cold wallets and vaults. It focuses on securing blockchain-based digital assets, starting with EVM-based tokens, with support coming for BTC, SOL and other chains.
With Webacy, users can get notifications of inbound and outbound activity across all their wallets via SMS and e-mail with Wallet Watch. They can also set up a backup wallet in case they lose access to their original wallet, and make sure their assets are protected with the Beneficiary feature. The Panic Button allows users to transfer assets to a backup wallet quickly in an emergency.
In the event of a hack, security compromise, or any other concern, users can transfer their assets to a backup wallet immediately using Webacy’s Panic Button. At SimpleHash, we are proud to power Webacy’s NFT experiences. Using our NFT API, Webacy users can seamlessly view their NFTs, with associated metadata, media, and transaction history across multiple chains.
Our solutions make it easy for companies like Webacy to gather NFT metadata and media without having to worry about the huge engineering and cloud computing costs. In addition, applications like Webacy can push notifications to their users for any inbound or outbound transfers using SimpleHash’s Webhooks API. It works by creating a webhook that listens for an event, and then sends a notification when that event occurs.
To subscribe to webhooks, you will need to configure the webhook URL. You can then set up the webhook to listen for the events you want to receive notifications for, such as transfer events for a given wallet on supported EVM chains. Once the webhook is configured, it will send a notification with the event information to the webhook URL whenever the event occurs. This makes it easy for users to stay on top of their asset activity and keep their wallets secure.
You can read more about the use-cases for the SimpleHash Webhooks API in our last blog post. So, for anyone looking to level up their security and make self-custody easy, Webacy is the perfect solution. With SimpleHash and Webacy, you can rest assured that your digital assets are safe and secure. If you’re building in the Web3 space, we’d love to hear from you! You can reach us at firstname.lastname@example.org.
Learn how to integrate NFTs into your Web3 application using the SimpleHash API. We'll cover the core steps for accessing and utilizing NFT data from multiple blockchains and marketplaces through a single interface.