11 Advantages of Smart Contract wallets

3 APR 2023
an ellipse
11 Advantages of Smart Contract wallets

Smart Contract Wallets are Ethereum accounts controlled by a Smart Contract instead of a private key. They are revolutionizing the way we interact with blockchain technology and have a host of benefits that make them an attractive choice for users and developers alike. These wallets can solve some of the problems associated with Externally Owned Account (EOA) wallets. There are different wallet types out there and smart contract wallet is one of them.

Obvious Smart contract wallet

11 advantages of Smart Contract wallets:

Secure Storage:

Smart contract wallets use advanced cryptographic algorithms to secure your digital assets like cryptos and NFTs. This means that your tokens are stored in a secure environment and can only be accessed with your private key, providing you with peace of mind. The use of smart contracts instead of private keys provides additional security features such as multi-signature approval and daily limits on transfers.

Recurring Payments:

With smart contract wallets, you can automate your regular expenses by setting up recurring payments. This feature is particularly useful for managing subscriptions and other recurring costs, making your financial management process more streamlined and hassle-free.

SIP your Tokens:

Smart contract wallets allow you to systematically invest (SIP) in your preferred tokens. This feature enables you to consistently invest in a disciplined manner, allowing you to build and grow your portfolio over time.

Set Up Your Own 2FA:

Two-factor authentication (2FA) is a security measure that requires two types of identification before granting access to an account. With smart contract wallets, you can set up your own 2FA, giving you more control over the security of your account and ensuring that only you can access your assets.

Shared Accounts:

Smart contract wallets offer the functionality of shared accounts. This feature allows multiple users to have access to and manage the same wallet. This can be particularly useful for businesses or families who want to collectively manage their digital assets.

Account Inheritance:

In the unfortunate event of a user's demise, smart contract wallets provide the feature of account inheritance. This means that you can designate a beneficiary who will inherit the assets in your wallet, ensuring that your digital assets are passed on to your chosen heir.

Pay Gas with Any Token:

One of the standout features of smart contract wallets is the ability to pay gas fees with any token. This provides users with greater flexibility and convenience, as they are not restricted to paying gas fees with Ether alone.

Batch Transactions:

Batch transactions are a feature that allows users to perform multiple operations in a single transaction. This not only saves on gas fees but also makes the process more efficient and time-saving.

Seedless Recovery:

Losing access to your wallet can be a stressful experience. However, with smart contract wallets, you can recover your wallet without needing a seed phrase. This provides an additional layer of security and ensures that you can regain access to your assets even if you lose your seed phrase.

Seedless recovery in Obvious
Seedless recovery in Obvious

Triggered Transactions:

Triggered transactions are a feature that allows users to set specific conditions for when transactions should be executed. This can automate certain processes and make managing digital assets easier and more efficient.

Session Keys for Games:

For those who enjoy blockchain gaming, smart contract wallets offer the ability to use session keys. These keys allow users to interact with games without exposing their private keys, ensuring that their digital assets remain secure while they enjoy their gaming experience.

In conclusion, smart contract wallets offer numerous advantages over traditional digital wallets. They provide enhanced security, flexibility, and control while also opening up new possibilities for automation and interaction with DApps. Here is a list of the best Account Abstraction-based Smart contract wallets.

Obvious has a smart contract wallet that lets you pay gas fees in any token that you want. Check it out here!

Like this article? Spread the word