Anyone with a cb.id username,.eth domain, or Lens ID can utilize the new capability to send end-to-end encrypted private messages.
Users of the Coinbase Wallet can now instant message one another using their Ethereum identities, according to a blog post published by Coinbase on July 12. Extensible Message Transport Protocol (XMTP), an instant messaging platform that enables users to connect using blockchain addresses, is the foundation of the new feature. The decentralized social media platform Lens also makes use of XMTP.
Coinbase’s post says select wallet users can now message each other’s cb.id,.eth, or Lens usernames. Users that scan a QR code from the blog post or have Lens profiles will get the feature first, with other users getting it eventually. Users can block addresses and messages are end-to-end encrypted for privacy.
Coinbase released the feature to reduce crypto community fraud. Users can now directly communicate with wallet address owners, eliminating the requirement for a messaging site where the recipient’s Web3 identity may not be verified. Coinbase claimed this may “eliminate unnecessary risk and potential losses.”
Twitter, Discord, and Telegram are now the most popular chat apps among cryptocurrency users, but none of them currently allow users to confirm their Web3 identities.
The company also claimed that XMTP messaging lowers centralization. If Coinbase stops supplying its wallet or goes out of business, users can still read their XMTP chat history through Lenster or OrbApp. “Your chats will transfer automatically, so you can focus on connecting,” said Coinbase.
The XMTP materials state that XMTP Labs, the messaging protocol’s creator, owns 100% of the network nodes on which it operates. But according to the records, the business is “working toward a phased decentralization of the network.”
Decentralization is valuable, as co-founder of XMTP Shane Mac emphasized in a chat with Cointelegraph. He highlighted that XMTP is not an instant messaging or social networking application. Instead, it is a protocol that can be used by other programs like Coinbase Wallet and Lens. He believes that by doing this, users are free to select the app they wish to use without having to give up their identities or chat histories each time they switch apps.
“Developers must desire to build on top of a network in order for it to be truly decentralized and interoperable. As a result, XMTP is being developed by more than 400 people. Developers ought to be encouraged to work with you rather than create a silo behind closed doors.
An increasing campaign to encourage the use of Web3 usernames includes Coinbase Wallet. All users were given free cb.id usernames in September, which contributed to a spike in registrations as the year came to an end. Users can send cryptocurrency to a human-readable name with Web3 usernames rather than the lengthy strings of characters that make up a crypto address.