Binance Shakes up Trust Wallet as it Introduces its Own Web3 Wallet
With the introduction of its own Web3 wallet, Binance, the parent company of Trust Wallet, has disrupted the course of the TWT token. The acquisition of Trust Wallet in 2018 had been a mix of liquidity and BNB tokens, but Binance’s recent initiative seems to introduce direct competition.
The highly anticipated announcement from Binance is manifested in its Web3 wallet that will cover 30 blockchain networks and enable DeFi activities such as staking, lending, and borrowing. Security is ensured through the adoption of multiparty computation (MPC), which splits the private key into three parts without requiring users to memorize a recovery phrase, offering simplicity. However, this point raises questions and annoys many members of the crypto community, for whom the rule ‘not your keys, not your coins’ is paramount.
The TWT Token Doesn’t Appreciate the News
The TWT token had a positive previous week with an increase of over 60%, but the announcement of Binance’s new wallet and the launch of TWT futures contracts on its platform reversed this trend. At the time of writing this article, the price of TWT was around $1.46, after a 15% drop in a single day.
