Coinbase Wallet’s Blockaid Integration Saves Users $75M in 5 Months

Coinbase Wallet says the successful collaboration with web3 security startup Blockaid, has resulted in the prevention of over $75 million in potential losses over the past five months.

Impact of Blockaid Integration on Coinbase Wallet Security

During this period, the effective utilization of Blockaid’s security solutions within Coinbase Wallet has successfully prevented nearly 800,000 malicious wallet connections to Decentralized Applications (DApps) by scrutinizing 114 million transactions and dApp connections.

Expanding Security Measures Across the Ethereum Ecosystem

Chintan Turakhia, Senior Director of Engineering at Coinbase, highlighted the importance of integrating Blockaid in bolstering onchain security for users. This collaborative endeavor spanned beyond Ethereum Mainnet, encompassing more than six other Ethereum Virtual Machine (EVM) chains, including Base, Optimism, and Polygon.

Turakhia stated, “Getting security right is critical for bringing one billion people onchain.” According to Blockaid co-founder and CTO Raz Niv, the $75 million in savings is a conservative estimate. Blockaid serves leading clients in the crypto industry, including MetaMask, OpenSea, Zerion Wallet, and Rainbow Wallet.

While exact numbers regarding MetaMask and other clients were not revealed, Niv highlighted that the incorporation of MetaMask has enabled users to collectively save “hundreds of millions of dollars up to now.”  MetaMask, a digital wallet for cryptocurrencies and an entry point to decentralized applications (DApps) has expanded its support to include widely-used tokens such as Ether (ETH), USD Coin (USDC), Tether (USDT), and Shiba Inu (SHIB), among various others.

Blockaid’s Role in Revolutionizing Blockchain Security

Emerging from stealth mode in October and supported by a $33 million funding round, Blockaid focuses on delivering security solutions to thwart cryptocurrency fraud, phishing attacks, and hacks.

Established by cybersecurity professionals with experience in the Israeli military’s cyber intelligence unit and the Office of the Prime Minister of Israel, Blockaid utilizes three APIs to bolster the security of Coinbase Wallet.

These APIs prioritize safeguarding users during their browsing of dApps, involvement in transactions with web3 protocols or addresses, and engagement in on-chain communication.

With backing from notable investors such as Sequoia Capital, Ribbit Capital, and Greylock Partners, Blockaid operates out of New York and Tel Aviv, establishing itself as a significant contender in the developing field of blockchain security solutions.