Web3 Wallet Analysis: Detailed Comparison of Wallet Functions for OKX and Binance

Recently, Binance launched its own Web3 wallet, comparing it with the earlier OKX Wallet, the conclusion is that OKX currently has advantages in most usage scenarios, looking forward to future updates from Binance.

Installation of Binance Web3 Wallet: Official Website

Installation of OKX Wallet: Official Website

Exchanges Enter Web3 to Enhance User Experience

Recently, the Binance exchange has launched a Web3 wallet. Prior to this, many exchanges had already introduced their own Web3 wallets, including OKX, Coinbase, Bitget, Gate, and other centralized exchanges.

User Scenarios Expand to Web3. Although exchanges currently serve as the most important gateway in the industry, capturing a large amount of traffic and brand influence, as the industry of on-chain services matures, more and more users are beginning to understand and use Web3 products. Ultimately, they will transfer tokens from exchanges to on-chain wallets.

Therefore, exchanges have gradually begun to venture into the Web3 field in recent years. Whether it's earlier exchange Layer1 public chains or the NFT market, or the recent introduction of Layer2 networks and Web3 wallets, it indicates that exchanges' business strategies are shifting towards Web3 to meet their users' needs and prevent traffic from flowing out.

It can be expected that in the future, more exchanges will launch wallets or their own networks, intensifying competition.

Wallet User Experience Comparison

However, for users, which wallet should they choose? Since they are essentially the same product, what aspects should they consider when selecting the most suitable wallet? This article compares the earlier OKX Web3 wallet with the Binance Web3 wallet and summarizes several important aspects of user experience to provide readers with references for their selection.

• Login Function

• Private Key Management

• Network Support

• Token Management

• NFT Market

• On-chain Services

• Platform Support

These aspects will be explained and summarized separately, and the tests below are all based on the ISO version.

Login Function

Both Binance Web3 Wallet and OKX Wallet are built within their existing mobile applications:

• Binance places the wallet entrance in the existing "Funds" page, so users need to register for a Binance account before they can use their Web3 wallet.

• OKX does not require registration with the exchange and users can use the Web3 wallet before logging in.

For first-time users, OKX is more convenient as it does not require registration.

Private Key Management

Both are decentralized wallets, so users are responsible for managing their private keys, but there are some differences in the way they are stored.

Both will require users to back up their private keys before storing assets and set a password as a verification method in general. Note that this password is unrelated to the exchange account password.

• Binance: Uses a multi-signature wallet structure MPC, so users' private keys are stored in iCloud, user-defined passwords, Binance servers. Users do not see the complete private key, but if a user forgets the private key, they can recover the wallet through a password and iCloud, or contact Binance.

• OKX: Users can choose between MPC mode or full self-custody mode. The former is like the Binance wallet mode, and the latter is like Metamask, providing users with complete private key copying or linking to cold wallets. Additionally, the OKX wallet is open-source.

For Android phones, Google Drive is used for storage. Both wallets have similar private key management modes, but OKX offers more flexibility with two options. Users who prioritize asset security can choose to hold their private keys themselves.

Network Support

The most important function of a Web3 wallet is to use on-chain services, and the number of networks a wallet supports will determine the ecosystem the user can access, making more network support more convenient:

• Binance Web3 Wallet currently supports 37 networks, including most Layer1 and Layer2 networks.

• According to the OKX wallet data, it currently supports 61 networks, and noteworthy is that only OKX provides support for the Bitcoin network, specifically for managing and trading BRC-20 tokens.

For general user needs, both wallets support a sufficient number of networks, satisfying most usage scenarios.

Token Management

Both wallets offer token exchange services within the wallet interface, with similar trading interfaces, and support simultaneous cross-chain transactions:

• Binance Wallet currently integrates trading paths provided by 1inch, and for cross-chain transactions, it uses its own Binance Bridge.

• OKX integrates DEX and trading services from its own exchange, supports a higher number of cross-chain integration protocols, including common ones like Across Protocol, Hop Exchange, cBridge, and others. It also provides limit order services.

However, for the average user, there isn't much difference, as both provide complete options for the best trading paths.

Additionally, the OKX wallet has a built-in BRC-20 token trading market, currently operating on a P2P model rather than an order book or AMM model, similar to the NFT trading model.

NFT Market

Both wallets have integrated NFT markets, allowing users to view popular NFT projects within the wallet, but there are significant differences in functionality:

• Binance Web3 Wallet: Only supports integration with the OpenSea market and currently seems to only have markets for the Ethereum network. Users cannot directly purchase NFTs on the integrated NFT page in the wallet and must buy and sell through DApps in the trading market.

• OKX Wallet: Supports seven NFT trading platforms including OpenSea, Blur, Magic Eden, LooksRare, and 17 public chains for NFTs, including the Bitcoin Ordinals ecosystem. It provides users with a seamless purchasing experience within the NFT page and offers market data and minting pages, among other functions.

For NFT users, OKX currently offers more diverse and comprehensive features, surpassing Binance Web3 Wallet.

Financial Services

Both wallets integrate some DeFi on-chain protocols into the wallet:

• Binance: Currently only supports services on the Ethereum and BSC networks, supported by AAVE V3 and Venus. Supported assets for staking include DAI, USDT, USDC, TUSD, and some liquidity token pairs.

• OKX: Provides more network staking services and therefore supports more protocols. Besides stablecoins, it also integrates dual-token liquidity staking, yield farming pools, and other DeFi operations, offering more comprehensive services than the Binance wallet.

Overall, OKX's service is more diverse, offering higher product rates due to the wider range of services provided. However, users should still be aware of the risks associated with various networks, asset types, and protocols.

On-chain Services

For other protocols that have not been integrated into the wallet interface, such as Pancakeswap's liquidity pools or MakerDAO's voting functions, users can search for them through the wallet's exploration page.

• Binance: Almost exclusively provides links to DeFi-related DApps and does not have a built-in browser, preventing users from accessing non-default application services. Each DApp has a brief description and community links.

• OKX: Offers links to various protocols including DeFi, on-chain tools, Web3 Games, and more, with special notifications for emerging networks to alert users to airdrop opportunities. It also provides related news and DApp information. OKX offers a blockchain browser function, but users can only search by entering the complete network, unlike Metamask, which can utilize an internal Google search engine for comprehensive searches.

In theory, a typical Web3 wallet should be able to use the wallet's blockchain browser to find and use services. Interestingly, Binance and OKX wallets do not focus specifically on this function, perhaps out of concern for user protection to prevent users from independently searching for low-security protocols.

Platform Support

The most commonly used platforms for users are mobile phones and computers.

• Binance: Only supports the wallet system built into the mobile app, with no support for web or desktop versions.

• OKX: Currently supports the mobile app and Chrome extension, with no desktop version or other browser versions.

For users who frequently use computers for on-chain services, OKX is more convenient, especially for more complex protocols like games, as they are better suited for operation on a computer using the web version.

Conclusion: OKX Wallet Offers More Comprehensive Features

Overall, the OKX wallet offers more comprehensive features and excels in most aspects compared to the Binance Web3 wallet. It is also more attractive to users as it does not require registration to use. Binance's Web3 wallet still has room for improvement, but it is likely that Binance will continue to update versions in the future to enhance functionality. Users who rely more on Binance exchanges may want to wait for further updates.