Phantom, a closely used cryptocurrency pockets within the Solana ecosystem, has greater than tripled its lively consumer base over the previous yr, CEO and co-founder Brandon Millman tells currencyjournals completely.

Phantom reached 3.2 million month-to-month lively customers (MAUs) in January 2024, a 220% improve from 1 million a yr in the past and 463.5% greater than the 167,000 installs in the identical interval, Millman stated. It reportedly recorded 941,000 installs. “These numbers are primarily our peak” and exceed the utilization and metrics of the earlier crypto bull market in 2021 and early 2022, he added.

“The Jito and Jupiter airdrops have been an enormous turning level for the ecosystem,” Millman stated. “Solana has reached escape velocity and confirmed to be a first-class ecosystem. This can be a platform that draws the world's finest builders.”

Solana-focused decentralized finance (DeFi) Jito Community and decentralized aggregator Jupiter will conduct airdrops in late 2023 and early 2024, respectively, to reward customers of their initiatives as a “thanks” for utilizing their companies. supplied a reward or token to

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These airdrops, mixed with the current Solana meme coin craze, could also be inflicting a surge in each new and previous customers to the ecosystem.

“This can be a lot of DeFi exercise, however which means that crypto wallets have gotten the brand new entry level into crypto,” Millman believes. When customers first get into cryptocurrencies, a typical approach is thru centralized crypto exchanges like Coinbase, which he attributes to “phrase of mouth,” however now He believes the world is altering and “extra persons are downloading crypto wallets.” To get began.

This entry level for wallets and on-chain functions is turning into “the brand new factor that persons are attempting to entry after they need to use cryptocurrencies,” Millman stated.

Phantom goals to not solely be a spot for individuals to carry and commerce cryptocurrencies, but in addition “safe entry” to the Web3 expertise, Millman stated. In the course of the Jupiter airdrop, sharing hyperlinks on the Phantom web site to forestall individuals from being fooled by malicious hyperlinks helped improve the variety of visits to the Jupiter billing website by 1.1 million He added that.

Development reasonably than revenue

Phantom began in 2021 as a devoted crypto pockets for Solana, however has since expanded to additionally provide multi-chain help for Ethereum, Polygon, and Bitcoin. Presently, the corporate goals to develop its consumer base and turn out to be the highest vacation spot for individuals new to cryptocurrencies and wallets.

“Presently, we’re in a section of intensive development. We aren’t centered on producing income, however want to feed it again into consumer development. We wish extra customers to enroll. The extra builders now we have, the extra builders might be drawn to construct on prime of the ecosystem, and the extra functions and customers we are able to purchase. We’re trying to develop,” Millman stated.

Phantom makes cash in the identical approach as most different wallets. This implies offering a handy in-app function for exchanging cryptocurrencies and charging a small price for it. The corporate is backed by traders together with Paradigm, Andreessen Horowitz, Soar Capital and Solana, and in addition has a “robust stability sheet,” so it doesn't have to focus an excessive amount of on earnings proper now, Millman stated. stated.

“We consider that the way forward for wallets might be multi-chain, simply as crypto exchanges have advanced. Coinbase began as a Bitcoin-only change, then added help for Ethereum, and… led to a different change,” he stated. “Nobody can think about a world the place there is just one coin on an change. Wallets will observe the identical path.”

Though it’s nonetheless too early to count on the lots to self-custody their crypto property, the elevated utilization of crypto wallets indicators additional development within the sector. Millman added that beforehand on-chain apps have been too costly or complicated to make use of, however these airdrops and the ensuing inflow of customers present the advantages of composability.

Cryptocurrency exchanges like Coinbase run utterly closed programs, whereas on-chain programs like Solana are open programs that builders can construct on prime of. Consequently, individuals could miss out on rewards resembling airdrops by buying and selling or staking property on exchanges, Millman famous.

Contemplating that crypto wallets enable customers to commerce cryptocurrencies, in addition they present entry to on-chain perks, making them extra engaging than exchanges. “Presently, DeFi functions encourage utilization in airdrops, and the one solution to acquire it’s to obtain a pockets (…) Consumer intent and the forms of on-chain apps are rising and diversifying. “The pockets is the gateway,” he stated. .

Millman expects the adoption of cryptocurrency wallets to proceed to extend as extra suppliers and ecosystems introduce new options and discover new avenues. “There are definitely nonetheless a whole lot of sharp edges and overseas ideas. Secret restoration phrases are the de facto key administration for wallets. However these are the areas we want to innovate this yr and the way We're excited to point out you the subsequent evolution of what it’s going to turn out to be.”

Sooner or later, he expects cryptocurrency wallets to assist individuals do extra than simply purchase, maintain, and promote cryptocurrencies. “This can be a window right into a richer world of interoperability.”