Cryptocurrency exchange Binance announced the launch of a Web3 wallet, which is available to users through the platform's mobile application.

“Crypto wallets are more than just services for storing digital assets - they are an integral part of the Web3 infrastructure, giving people the opportunity to manage their finances,” he added.

The utility runs on the main Binance trading app and uses multi-party computing (MPC) technology that splits private keys into three parts and stores them on different servers.

Two of them are tied to the user’s account, and the third is under the control of the exchange.

This encryption method reduces the risk of “wallet compromise and reduces system vulnerability,” the announcement says. According to Binance Regional Markets Manager Richard Teng, using MPC eliminates the fear of losing your seed phrase.

However, if a user forgets their recovery password, loses their device, or deletes an app, they won't be able to regain access, Teng noted.