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Aug 17, 2022

What Is Trust Wallet — And Is It Safe?

As more people start using and investing in crypto, having a safe crypto wallet to safeguard your assets is paramount. There are many crypto wallets in the market, but not all are made equal. The most frequently used is MetaMask, but it only supports Ethereum-based tokens.

Trust Wallet supports millions of cryptocurrencies and offers features like staking and purchasing crypto. But is it truly secure? Read on to find out all about the Trust Wallet — what it is, how it works and most importantly whether it’s safe to use.

What Is Trust Wallet?

Trust Wallet is a noncustodial multi-crypto wallet app that gives users full control over their digital assets, from cryptocurrencies to non-fungible tokens (NFTs). It’s Binance's official crypto wallet, and currently supports 65 blockchains such as Bitcoin, Ethereum, Tron and Ripple, along with over 4.5 million crypto assets, including NFTs. Moreover, it even includes access to decentralized apps (DApps).

The Trust Wallet app is free to download on Android and IOS, and can be downloaded via PlayStore or AppStore, respectively. It has a simple, straightforward and interactive user interface, which has helped the platform accrue over 10 million active users.

Three steps to get started with Trust Wallet.

Source: Trustwallet.com

How Does Trust Wallet Work?

Trust Wallet operates on mobile devices, and every blockchain is immediately accessible upon downloading the app. All contact information is shared only between the transacting parties, and Trust Wallet doesn’t disclose users' personal information to any third party. Trust Wallet does not hold users’ funds, and the users hold sole access to their private keys or seed phrases

Multi-Coin Support

Trust Wallet acts as a mediator that helps connect various blockchains through the use of its nodes. It has a robust mechanism for sending, receiving and storing multiple cryptocurrencies, and currently supports over thousands crypto coins.

Trust Wallet supports multiple crypto assets.

Source: Trustwallet.com

In-Built DApp Browser

Trust Wallet provides seamless access to various DApps built on the Ethereum blockchain and on Binance Smart Chain. This means that you can directly use the DApps on the Trust Wallet mobile app without having to sign in to them. The DApps are all vetted by the Trust Wallet team to ensure that only the most trusted DApps are used. DApps supported by Trust Wallet include PancakeSwap, OpenSea, and Uniswap. The DApps are also optimized for mobile devices so that users can conveniently access them anytime, anywhere.

Built-in DApp browser.

Source: Trustwallet.com

NFT Support

Trust Wallet makes it easy for you to manage your crypto NFTs and game assets. Currently, the Trust Wallet app fully supports Ethereum and Binance Smart Chain NFTs. You can move your current NFTs to store in Trust Wallet, or even trade an NFT from a supported NFT marketplace DApp such as OpenSea.

NFT Support in Trust Wallet.

Source: trustwallet.com

What Is Trust Wallet Used For?

Trust Wallet is more than just a cryptocurrency wallet for storing cryptocurrencies. Here are four ways to use it:

1. Purchase Crypto

Trust Wallet allows users to purchase crypto with fiat currencies. Using credit or debit card, you can purchase more than 40 cryptocurrencies on Trust Wallet.

The fees incurred with debit or credit cards can be costly, however, so it may be better to purchase crypto directly from centralized exchanges (CEXs) like Bybit.

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2. Stake Crypto

Trust Wallet even allows you to earn interest on the cryptocurrency that you hold if you’re staking from their wallet. There are numerous staking options available in the Trust Wallet app, including BNB, XTZ and KAVA.

Staking crypto with Trust Wallet.

Source: trustwallet.com

3. Swap and Exchange

Trust Wallet also has a built-in decentralized exchange (DEX) whereby users can perform cross-chain swapping. For example, you can swap BEP-2 tokens with BEP-20 tokens. Note that trading on the Trust Wallet DEX will incur a network fee.

Swapping and exchanging crypto with Trust Wallet.

Source: Community.trustwallet.com

4. Store and Spend Stablecoins

Stablecoins are cryptocurrencies whose value is fixed by pegging them to other assets. This allows a coin’s value to remain stable, regardless of the volatile crypto market’s fluctuations. For example, Tether (USDT) and USD Coin (USDC) are tokens backed on a 1:1 basis by U.S. dollars held in reserve.

Trust Wallet allows you to store stablecoins securely and conveniently. Using its app, you can spend your stablecoins anywhere on anything you want, and Bank-grade security standards secure them.

Does Trust Wallet Charge Fees?

Unlike most crypto wallets, Trust Wallet doesn’t charge any fees for swapping or other transactions. However, the blockchain on which the token resides will charge a transaction fee, known as a network fee, on Trust Wallet. For instance, if you choose to transact ETH or an ERC-20 token on the Ethereum blockchain, you’ll have to pay the associated gas fees.

Trust Wallet allows you to set your own network fees so that you can manage your transactions more effectively. For an urgent transaction, you can set your network fees higher so that it gets processed faster, and for less urgent ones you can just set it at a lower fee to save cost.

Trust Wallet also doesn’t charge any additional fees for the use of DApps. If you choose to purchase cryptocurrency with Trust Wallet, you must pay fees to third-party providers, but Trust Wallet doesn’t charge additional fees on top of these charges.

Is Trust Wallet Safe?

In case you misplace or lose your device Trust Wallet provides safe storage of private keys or recovery seed phrases for backup purposes. A recovery phrase, often referred to as a seed phrase, is a string of random words produced by your crypto wallet and used to access the funds across decentralized wallets.

Creating a recovery phrase in Trust Wallet.

Source: Community.trustwallet.com

However, Trust Wallet is still a hot wallet, and is accordingly subject to phishing scams. Through phishing websites, phishers can easily steal seed phrases and gain access to a user's wallet. Due to the decentralized nature of crypto, lost funds can never be recovered. So it’s crucial to never share your seed phrase with anyone, or even make a digital copy of it, in order to avoid a permanent loss of funds. Unfortunately, there are also phony websites designed to resemble official wallet sites to steal your crypto, so always make sure you’re on your wallet’s official site before signing in.

In addition, Trust Wallet is a mobile wallet, so if you lose your mobile phone and someone hacks into it, your funds will likely also disappear forever.

To avoid seeing your crypto wallet balance suddenly drop to zero without any warning, you may want to invest in a hardware wallet to keep your crypto funds fully safe and secure.

The Takeaway

Few crypto wallets can beat Trust Wallet in terms of its multi-coin support. Trust Wallet offers a range of services beyond storing your crypto, such as purchasing, staking and swapping. While it may be a versatile wallet app, it doesn’t have the most secure system. Therefore, it’s best used for transactions, rather than storage.