Phantom, a crypto wallet greatly utilized in the Solana ecosystem, has actually seen its energetic individual base significantly more than triple within the year that is past its CEO and co-founder Brandon Millman exclusively shared with For Millionaires.

In January 2024, Phantom hit 3.2 million monthly active users (MAUs), up 220% from 1 million one year ago, and recorded 941,000 installs, 463.5% more than 167,000 installs during the time that is same, Millman stated. “These figures tend to be really our top” and outperformed consumption and metrics through the crypto that is previous market in 2021 and early 2022, he added.

“The Jito and Jupiter airdrops were a turning that is huge when it comes to ecosystem,” Millman stated. “Solana has now reached escape velocity and proved it self become a ecosystem that is first-class. It’s the platform attracting some of the best builders in the global world.”

Solana-focused decentralized finance (DeFi) Jito Network and decentralized aggregator Jupiter both performed airdrops in belated 2023 and early 2024, correspondingly, offering people of rewards, or tokens to their projects, essentially as a “thank you” for using their service.

When it rains, it pours

These airdrops, coupled with the Solana that is recent memecoin, might be the reason why the ecosystem has actually seen a surge of both old and brand-new users.

“It’s lots of DeFi task but just what that is equating to is crypto wallets are getting to be the entry that is new to crypto,” Millman thinks. When a user first onboards to crypto, the method that is typical to undergo central crypto exchanges like Coinbase, that he features to “word of mouth,” nevertheless now society changed, he believes, “increasingly folks are getting a crypto wallet” to get going.

This entry way of wallets and on-chain programs are getting to be the thing that is“new are trying to get access to when they want to use crypto,” Millman said.

Aside from being a place for people to hold and trade their cryptocurrency, Phantom also aims to be a access that is“safe for web3 experiences, Millman noted. Throughout the Jupiter airdrop, by revealing links on Phantom’s website it helped drive 1.1 million visits into the Jupiter claim website, so that you can avoid individuals from getting scammed by harmful backlinks, he included.

Growth over income

Phantom were only available in 2021 as a crypto that is solana-only, but has since expanded to provide multichain support for Ethereum, Polygon and Bitcoin as well. Now, the company has its sights on growing its user base as it seeks to become the destination that is top individuals not used to crypto and wallets.

“Right today, we’re in a focused development stage. We’re perhaps not very focused on earning cash, but we would rather give it back once again to the consumer development. The greater people that signup, the greater amount of designers tend to be interested in creating from the ecosystem, while the more applications and people we have. it is like a flywheel and we’re trying to develop as quickly as possible,” Millman said.

Phantom tends to make cash the way that is same other wallets do: By providing in-app convenience features for swapping cryptocurrencies and charging a small fee for them. The company, which is backed by investors like Paradigm, Andreessen Horowitz, Jump Capital and Solana, also has a balance that is“strong,” Millman stated, therefore it doesn’t need to focus much on revenue currently.

“We Believe the future of wallets is multichain, just the real way crypto exchanges have evolved. Coinbase started off as a exchange that is bitcoin-only then included assistance for Ethereum, and another thing resulted in another,” he said. “No one could fathom some sort of where exchanges have only one money. Wallets will observe the path that is same”

While it’s still too early to expect the masses to self-custody their crypto assets, the rise in usage of crypto wallets points to growth that is further the room. In past times, on-chain applications have already been very costly or complicated to use, however these airdrops while the influx that is resulting of show the benefit of composability, Millman added.

Crypto exchanges like Coinbase run a system that is completely closed but on-chain methods like Solana tend to be ready to accept designers to construct together with. Therefore by trading or assets that are staking exchanges, people could potentially miss out on rewards like airdrops, Millman noted.

And They become more attractive than exchanges because they also provide access to on-chain perks when you consider that crypto wallets let users trade cryptocurrencies, too. “DeFi programs are actually usage that is incentivizing airdrops, and the only way to get that is by downloading a wallet […] The intent of users and types of on-chain apps have grown and diversified, making wallets an entry point,” he said.

Millman expects crypto wallet adoption to continue increasing as more providers and the ecosystem bring new features and explore avenues that are new. “There’s however lots of razor-sharp sides and concepts that are foreign that’s for sure. Secret recovery phrases are the de-facto management that is key wallets. However these tend to be areas we’re likely to innovate about this 12 months, and we’re excited to demonstrate the evolution that is next of it’ll seem like.”

In the near future, he wants crypto wallets to simply help folks do more than simply purchase, hold and offer crypto. “It’s a window into a much richer realm of interoperability.”