Account Abstraction (AA) is an important concept in blockchain technology, which aims to improve the flexibility and functionality of smart contract accounts. Traditionally, accounts in blockchain networks are divided into externally owned accounts (EOA) and contract accounts. EOAs are directly controlled by users and sign transactions through private keys, while contract accounts are controlled by code and process transactions through smart contract logic. The goal of account abstraction is to blur the boundaries between the two, giving contract accounts more functionality while giving EOAs the flexibility of smart contracts.

By improving the flexibility and functionality of accounts, the user experience, security and innovation capabilities of Web3 have been greatly enhanced. With the continuous development of account abstraction technology, the Web3 ecosystem will become more diverse, attracting more users and developers to participate, and promoting the popularization and application of blockchain technology.

In 2016, Vitalik Buterin first proposed the concept of account abstraction in the Ethereum Foundation's blog, suggesting that smart contracts be used to enhance the functionality and flexibility of accounts. In 2022, EIP-4337 proposed an account abstraction standard based on Layer 2, which implements the function of account abstraction without changing the Ethereum Layer 1 protocol. In 2023, EIP-4337 was successfully deployed and implemented on the Ethereum mainnet, marking a new stage in account abstraction. With the implementation of this proposal, more and more DApps are beginning to adopt account abstraction technology to provide a more flexible and secure user experience.

Account abstraction technology continues to develop and evolve, and it is expected that more blockchain platforms and applications will adopt this technology. New proposals and improvements will continue to emerge, further enhancing the functionality and application scope of account abstraction. Vitalik Buterin has also publicly stated that account abstraction is the key to Ethereum's expansion to 1 billion users.

In 2024, with the SEC's approval of the BTC spot ETF, the cryptocurrency market has once again entered a bull market. Account abstraction and smart wallets are simple and convenient to use, which can minimize the user threshold and promote the widespread adoption of Web3. Account abstraction infrastructure has received attention from developers and investment institutions, and Biconomy has once again entered people's field of vision.

Account Abstraction Infrastructure Biconomy


Biconomy is a development platform that provides a basic toolkit SDK and on-chain expansion solutions specifically for ERC 4337 abstract accounts. It provides modular AA smart account functions for DApps, and promotes the popularization and large-scale application of Web3 by simplifying the user experience of wallets and decentralized applications. In short, it provides a complete solution for Web3 application developers with abstract account needs. At present, Biconomy has created more than 1.25 M wallets on all chains, and provides about 50,000 transactions per day for more than 70 DApps and blockchain applications, becoming a presence that cannot be ignored.


As the infrastructure of AA wallet, Biconomy provides full-stack account abstraction tools, including ERC4337 modular smart accounts, Paymasters as a service (simplifying transactions and receiving other tokens as Gas), hot-swappable API services, and binding programs as a service. In addition to supporting the Ethereum public chain, Biconomy also supports Arbitrum, Polygon, Base, Optimism, BNB Chain, Blast, TON and other chains, and recently added support for Scroll, basically covering most of the mainstream EVM chains on the market.

Biconomy has been active recently, gaining a lot of attention at the Token 2049 event in Dubai, and has collaborated with Chappyz, BetSwirl, etc. The official will also release Biconomy SDK v4.2 and implement updates to more features and tools.


Biconomy's concrete implementation and contribution in account abstraction

Gasless Transactions

Gas is the first barrier for new users to conduct on-chain operations. Biconomy implements gas-free transactions through the Relay Protocol. Users do not need to hold ETH to pay gas fees when using DApps. By introducing relayers and using Paymaster to provide gas-free transactions, users' transaction fees can be paid by DApp developers or third parties, greatly improving the user experience.

Multi-signature and multiple authentication methods

Biconomy supports multiple signatures and multiple authentication methods, allowing users to use social login, hardware wallets, biometrics and other methods for identity authentication and transaction signing. This simplifies user wallet management issues, increases security, and makes it more convenient for Web2 users to use. For example, they can log in and use Web3 DApps through social accounts, emails, biometric fingerprints, etc. without worrying about private key leakage, thereby lowering the threshold for novice users to use DApps.

Smart Contract Wallet

Biconomy has launched a smart contract wallet that supports users to customize transaction logic and security rules. Users can set specific transaction limits, time locks and other functions, further improving the security and flexibility of the account, and supporting all EVM chains, simplifying the DApp user experience, reducing the frequency of multiple approvals, and achieving simple interaction.

Integration of Layer 2 Solutions

Biconomy integrates with multiple Layer 2 solutions (such as Polygon and Optimism) to increase transaction speed and reduce transaction costs. At the same time, these integrations also promote the application of account abstraction on different blockchain platforms.

Developer-friendly SDK

Biconomy provides a developer-friendly software development kit (SDK) that simplifies the integration process of account abstraction functions, making it easier for developers to expand their DApp applications and deploy application AA accounts in a very short time, shortening development time and reducing the complexity of user interactions and gas fees while improving security.

Application of Biconomy in Traditional Fields

Biconomy works with traditional institutions to simplify on-chain payment processes. For example, in November 2023, it partnered with financial giant JPMorgan Chase to build a Gas payment solution using Paymaster to enable convenient payment of any ERC20 token.

Paymaster is an on-chain contract launched by Biconomy, which allows users to customize other token payments and use smart contracts to replace the Gas fees on the payment chain, which can reduce the user's usage costs without having to purchase Gas tokens for each chain, simplifying the user operation process. In addition, in March of this year, it cooperated with Mercedes-Benz to establish a secure and low-cost data market solution.

Apps built with Biconomy

Web3 Game Anichess

Anichess is a chess strategy game that has received $1.8 million in financing. It uses Biconomy to allow Web2 users to register with their email addresses and create smart accounts. At the same time, users can receive NFTs in the game without Gas, no wallet window pop-ups, and no mnemonic seeds, etc., which facilitates the experience of Web2 users.


Rage Trade

Rage Trade is a perpetual contract protocol based on the Arbitrum ecosystem. In previous DEX transactions, a wallet popped up for each session requiring the user to sign for approval. By using the session mode supported by Biconomy, users do not need to go through cumbersome signature steps when placing orders and other trading strategies, which simplifies the convenience of placing orders. Compared with CEX, it can also self-custody assets.

Trust Wallet SWIFT

Trust Wallet is a cryptocurrency wallet invested by Binance. In addition to supporting the common EOA wallet, it cooperates with Biconomy to launch the SWIFT function. It uses Biconomy Paymaster to allow users to pay for Gas in various tokens. Creating a wallet does not require a mnemonic phrase, only FaceID and fingerprint technologies are required. In addition, it supports transactions in 200 different tokens.


In addition, Biconomy also cooperates with project teams such as Sushiswap, Kwenta (one-click trading of derivatives AA accounts), FanTV, Dexodus, DYDX, Cypherock, AlfaFrens (function integration to achieve signature without wallet pop-up box) to promote the further application of smart accounts.

Project Financing and Tokens

Biconomy received $1.5 million in financing in early 2021, followed by $9 million in financing in July 2021, and went online on Coinlist in October, raising $11.5 million in public fundraising. In March of this year, Biconomy announced that it had completed financing of an unknown amount, with a total financing amount of more than $22 million.


Investors include Jump Capital, Consensys Ventures, Binance, Mechanism, Coinbase Ventures, Blockchain Founders Fund, Eden Blocks, etc.

$BICO is the ecological token of Biconomy, with a total of 1 billion pieces. The current circulation volume is 780 million, accounting for nearly 80%. The market selling pressure is relatively small, and it has been listed on well-known exchanges such as Binance and Coinbase.

Biconomy's partners not only include the Web3 industry, but are also widely used in Web2 and traditional industries. In addition to JPMorgan Chase, they also include traditional giants such as Mercedes-Benz, providing traditional users with a simpler experience.

BICO Staking Airdrop

BICO staking is an important part of Biconomy's token economic activities, used to incentivize the growth of ecological users. Biconomy airdropped BICO tokens for users who participated in the interaction during the 2021 TGE, and was recognized by the market. In addition, in April this year, Biconomy announced rewards for users who pledged BICO. Users who pledged BICO can receive hundreds of ARB tokens as rewards and corresponding staking income.

Currently, Biconomy is carrying out the second phase of the Blast Gold Campaign, where users can get Blast Gold rewards by staking $BICO. In addition, according to official descriptions, there may be a third phase or even more phases of airdrops, and those who stake $BICO may also receive more airdrops of cooperative ecosystem tokens, such as $DYM, by making BICO staking a golden shovel for airdrops.

Through cooperation with eesee of the Blast ecosystem, we have further completed the integration and cooperation of Tokens, NFTs and game liquidity on Blast.


First, go to the eeaee website and buy a low-priced ticket (NFT, Token, etc.).

Then we need to pledge BICO on the Biconomy official page

Log in with Metamask wallet, enter the BICO amount (greater than 10u, the more the amount, the more airdrop rewards you will get), Approve BICO first, then Stake


Wait for the event to end and then collect the rewards as required.

Currently, staking BICO also has good returns, with a 2x yield compared to Alchemy AA.

Biconomy Recent Developments and Future Plans

1. Subsidize gas fees for on-chain DApps

Biconomy recently jointly held the ONCHAIN ​​SUMMER event with the Base chain, providing up to $30,000 in gas fee subsidies for Base ecosystem projects. Users can use eligible DApp applications without gas, and it also supports SocialFi on the Base chain.

2. Implementation of ERC-7559

ERC-7579 is a simplified modular smart account standard launched by Biconomy in cooperation with ZeroDev, Rhinestone, OKX, etc. Its main feature is to achieve minimum interoperability between modular developers and applications, helping developers to more conveniently customize functions for users and improve the user experience. This solution has also been applied in the OKX wallet.

3. Application of ERC-7579

EIP-7702 can be regarded as an upgraded version of EIP-4337. It realizes the temporary delegation function of EOA accounts to smart contracts by proposing a new transaction type that can accept both Contract_code and signature fields. That is, externally owned accounts EOA can also be used as smart contract wallets. This compatibility design ensures long-term effectiveness and practicality.


4. Exploration of Smart Wallet’s Permission Management for Web3 AI Agent Applications

The arrival of AI has enabled many Web3 applications to begin to implement intelligent processing of user operations, but approval and signature are still required. Choosing automated processing will also reduce security. Biconomy is exploring setting boundaries for AI by allowing users to define smart account permissions to ensure that AI can operate within the scope of its permissions.


5. Publish Paymaster Document


Biconomy recently released further documentation and rules for Paymaster, which include wallet deployment, whitelisted smart contracts, spending limits, and Webhooks, making it easier for developers to further add to their own applications.


Summarize

Ethereum spot ETF is about to be listed this year, Layer2 is now flourishing, and Ethereum ecosystem users are about to usher in rapid growth in this bull market. As infrastructure, wallet and DApp user experience will directly affect users' feelings and concepts about blockchain. Users' experience with basic wallet accounts and DApps is crucial.

Smart wallets and account abstraction are paths that cannot be avoided in the growth of Ethereum. Biconomy facilitates developers to integrate into decentralized applications such as DEX, GameFi, DePIN., NFT, Restaking, etc. through powerful infrastructure tool SDK and modular design, thereby providing users with a more convenient and secure experience.

Biconomy not only innovates and practices in the field of account abstraction, but also brings new possibilities to the entire blockchain ecosystem. By implementing features such as gas-free transactions, multi-signature authentication, and smart contract wallets, Biconomy effectively improves the user experience and security of Web3.0. As Biconomy continues to promote the application of account abstraction technology and closely integrates with Layer 2 solutions, we are expected to witness the emergence of more innovative solutions in the future, opening up new paths for the further development and popularization of blockchain technology.

Biconomy's efforts are not only an exploration of the concept of account abstraction, but also a display of confidence in the future potential of blockchain technology. It will continue to lead the blockchain industry towards a more open, flexible and convenient direction.