Ethereum Foundation would have chosen Safe for the access it gives to DeFi protocols.
The Trump-related firm would have welcomed the recovery and access options.
World Liberty Financial (a DeFi platform associated with the Trump family) and the Ethereum Foundation (the largest group of Ethereum developers) have unveiled the wallet they use to create and manage their cryptocurrency reserves.
This is called Safe, and it works as a multi-signature wallet that supports more than 15 cryptocurrency networks; among them, second layers such as Base, Optimism, Polygon zkEVM, Zk Sync Era or Arbitrum, and first layers such as Ethereum, Polygon, BNB Chain and Avalanche.
According to the Safe websitethis wallet solution is also used by protocols such as Chainlink, Aave, Starknet and Ethereum Name Service (ENS), making it one of the most popular wallets around in the ecosystems based on the Ethereum virtual machine (EVM) right now. .
Safe has interesting credentials. Now, what motivates such important players to create their reserves in this multi-signature wallet solution? Let’s try the Safe wallet to find out.
An easy wallet to migrate pre-existing accounts
On the one hand, Safe is used as a hot wallet port. This means that it allows you to import and connect existing wallets from solutions such as MetaMask, Phantom, Ledger, Trezor and Coinbase Wallet to manage them from its interface, which provides them with added functionalities that they would not normally have.
For example, Safe allows use an existing MetaMask account and configure it to work as a multi-sig wallet. This configuration allows you to add the name of the wallet, the number of signatories, manually including the addresses of the other account holders and a threshold of signatures necessary to approve executions with it (1 of 2, 2 of 2, 2 of 3, 2 of 4, 3 of 5, any configuration is possible).
Modern multi-sig wallet with flat hierarchy
Safe multi-signature works according to a flat hierarchy: each signer has the same rights within the account. On top of this, it has a function for other people related to the holders to propose transactions whose execution depends on the main signatories agreeing to sign them. It also enables setting spending limits and time blocks for certain accounts. Additionally, Safe account settings allow you to change the number of signers and the signature threshold required to execute transactions on the fly.
While the number of signers and the signature threshold are configured, the platform provides data and advice to successfully configure the wallet. During the first stages of the user experience, Safe appears as a light and fluid solution to transition from normal custody to multi-signature custodyboth because of the tips for configuring the wallet, which are good, and because it allows you to use your old personal account, and does not force you to create a new wallet, which takes more work.
Given what we have seen, it is understandable that players as long-standing in the industry as the Ethereum Foundation chose Safe to create their reserves and finance and extend its operations. It is presumed that the wallets of this foundation, which are collectively managed, have been used for years and have been created; Safe allows for a lightweight migration process of funds to a multi-signature format.
This lightweight migration is bolstered by the fact that Safe works like a modern Ethereum account: gives access to sponsored payment of rates, Therefore, the process of activating a Safe account, given that you must carry out a migration process that can be free. Activating various accounts is free initially, in fact, because Safe allows 5 sponsored payments per day per day.
Why Safe and not another wallet?
The question arises: if the Ethereum Foundation wallets were already collectively managed, why did they migrate their accounts? Well, in addition to multi-signature solutions that are easy to implement with pre-existing wallets, Safe is characterized by allowing batch transactions and interaction with multiple decentralized applications (dApps) from the wallet interface. From a Polygon account, There are 58 in total, a fairly high number, of accessible applications. Among them, 1inch Network, Aave v3, Dodo, KyberSwap, QuickSwap, Sushi, Uniswap. Those mentioned are natively integrated into Safe, but other dApps can be added manually via URL.
We know that the Ethereum Foundation is moving its funds to expand its operations in DeFi and find other ways to finance its payroll and expenses other than selling ethers (ETH), an action that, as reported by CriptoNoticias, could be affecting the price of the cryptocurrency.
Given the number of applications in Safe, it is understandable that this cryptocurrency wallet has been chosen by the non-profit organization. Safe offers them, in summary, a lightweight migration process and a good number of applications to increase the performance of their treasuries without depending on the sale of ethers.
For its part, World Liberty Financial, the platform backed by the Trump family that processes more than $46,000,000 in one Safe institutional accountyou would have found good reasons to deposit your funds in this wallet. Given Trump’s Focus on Altcoins, It’s Understandable to choose a modern Ethereum wallet with broad access to DeFi.
Security preferences will also have influenced: SafeWallet offers several social account recovery services. One of them is centralized, offered by a third party, which uses identity recognition through a camera. In this case, by Signum, a regulated bank in Switzerland.
