Introduction to Web3 Wallets

Web3 Wallets are a sub-wallet type of Custodial Wallets designed for interacting with the Web3 ecosystem, including DeFi, NFTs, and dApps. With Web3 Wallets, you can perform smart contract calls, asset approvals, and message signing, without managing private keys or deploying infrastructure. Unlike Asset Wallets, which focus on centralized fund management, Web3 Wallets allow you to independently control each address. You can explicitly specify the source address for each transaction or interaction, giving you greater flexibility and clarity. You can access Web3 Wallets through the Cobo Portal web interface or via WaaS 2.0 API. You can also use the Cobo Connect browser extension to securely connect your wallets to dApps and perform on-chain actions.

Key features

Full support for on-chain interaction

Use your Web3 Wallets to securely perform contract calls, message signing, and asset approvals. These features are ideal for engaging with DeFi strategies, NFT marketplaces, and dApp authentication.

Fully custodial with secure key management

You don’t need to manage private keys yourself. Cobo ensures keys cannot be exported and uses multiple layers of security to safeguard your assets. Even in cases of accidental approvals, the impact is limited to the affected address.

Clear and flexible address-level control

You can specify the source address for each action, which improves operational clarity, asset isolation, and audit readiness.

Flexible fee handling

You can customize gas fees, or enable Fee Station to centralize gas payments and simplify operations.

Seamless dApp integration

You can integrate Web3 Wallets into dApps using Cobo Connect or WaaS 2.0 API. This provides a secure and convenient way to interact with Web3 applications without exposing your private keys.

Web3 Wallets vs. Asset Wallets

Key differences between Web3 Wallets and Asset Wallets are as follows:

Category	Web3 Wallets	Asset Wallets
Use cases	Suitable for interacting with DeFi, NFTs, and dApps	Designed for centralized asset storage and routine transfers
Address usage	Each address operates independently and you can select the source address as needed	Source addresses are centrally assigned by the system, and all transfers are initiated from shared addresses.
On-chain capabilities	Supports token transfer, contract calls, message signing, and approvals	Token transfers only
Auto token sweeping	Disabled by default; you need to enable it manually	Enabled by default
Fee handling	You can customize gas fees and use Fee Station	Fees are calculated and handled by Cobo
Access methods	Cobo Portal, WaaS 2.0 API, and browser extension	Cobo Portal and WaaS 2.0 API
Token support	Includes all tokens supported by Asset Wallets, plus more ERC-20 tokens via Cobo Connect	Fixed list, view supported tokens and chains

Web3 Wallets vs. MPC Wallets

In practice, Web3 Wallets and MPC Wallets support most of the same features, and their capabilities for asset transfer and management are largely equivalent. The main differences are summarized below:

Category	Web3 Wallets	MPC Wallets
Use cases	Web3 operations without key custody	Advanced custody scenarios that require higher control
Key ownership	Fully managed by Cobo	Users hold private key shares in a distributed model
Compliance model	Integrated with Cobo’s KYT process	Flexible and user-configurable

Learn more about using Web3 Wallets:

​Key features

​Full support for on-chain interaction

​Fully custodial with secure key management

​Clear and flexible address-level control

​Flexible fee handling

​Seamless dApp integration

​Web3 Wallets vs. Asset Wallets

​Web3 Wallets vs. MPC Wallets