Crypto Entrepreneur Di Lorio Attempts to Revamp Jaxx as All-in-One Wallet
Crypto Entrepreneur Anthony Di Lorio sees Jaxx Liberty as a crypto wallet and he is currently working on making it happen. As one of the industry’s wealthiest, he may have the ability to attract the corporate integrations necessary to turn the wallet into one of the most versatile apps in the industry.
Jaxx Liberty will be launched today, after it has gone through several months of data testing. Di Lorio reported to CoinDesk that
“it’s almost like an app store. Our whole model is we provide a single interface so that users don’t have to send money outside of a single system.”
Di Lorio added that he believes that the entire ecosystem will improve when products monetize cohesively rather than competitively, which causes users to divide across platforms.
Since January 2017, the platform has been downloaded over 1 million times and processed over 3,000 support request per month. There are 750,000 to 1 million active users, depending upon market conditions. These users include 118,000 Chrome extension users.
Originally, Jaxx functioned as a software wallet capable of in-app currency conversions thanks to ShapeShift, its exchange partner. The partnership enabled the platform to process over $2 billion worth of crypto through integration since 2016. The platform currently includes everything from in-app block explores for multiple currencies to news feeds from various crypto news sites. According to Di Lorio
“These are things that, every day, people are looking at the pricing. We’ve put it all in one place.”
Decentral is planning to charge $250,000 to enhance support mechanism for Jaxx Liberty. It will also receive a portion of the fees for integrating financial services from other startups, including exchanges. In the meantime, Decentral’s team plans to launch a tokenized reward program in 2019, which will be called Unity.
This is another revenue stream from Jaxx Liberty. Di Lorio mentioned,
“The more the user is using services that we’re monetizing, the more they are earning of unity token. They’re going to be able to get discounts from services.”
Of course, it does not seem that the platform will have an easy road ahead. There are several roadblocks that it will face, which are as follows:
Not the Only App With A Competitive Interface
First, Jaxx Liberty is not creating something that has not been done before. Cheetah Mobile, a Chinese company, has a similar all-in-one system for its coin Master app. The application includes crypto price trackers, portfolio management features, and users can link their exchange accounts as well.
Another application, called eToro, is an investing platform solution that features a multipurpose wallet with exchange features, portfolio management, social networking components, and a customized news feed. Though there is no indication as to whether Jaxx will be the go-to for multipurpose wallet, it will need to apply features that enable it to stand out and that make it most users’ option.
Richard Burton, CEO of Balance, discussed with CoinDesk that he admires the diversity of assets and services provided by Jaxx Liberty. However, he did note that the wallet has a closed-source design, which gives hm pause. Burton also told a Jaxx user who claimed that he lost $400,000 in June 2017,
“These are the kinds of things that, if you are open source, someone might have just waded through and found [the bug]. A big part of what makes really secure software is the ability for anyone who is curious to dive in.”
Jaxx’s friendly interface makes it into a use-friendly system for many. According to an altcoin miner and trader,
“I began using Jaxx because they had mobile and desktop, as well as supported a couple of coins that I was mining at the time.”
Several others also discussed their experience with CoinDesk concerning Jaxx. They’ve mentioned that they primarily rely on Jaxx for onboarding crypto newbies, converting niche altcoins into document cryptos, and transferring funds to other wallets for storage. If anything, a main issue of concern though is that they stopped using Jaxx as a wallet after they noticed the bugs and poor services.
As for many others, they seem to use Jaxx experimentally. For example, Zineb Belmkadden told CoinDesk that she uses the platform because Decentral partnered with the adtech company StormX. Her use of Jaxx routinely due to the bugs and security issues.
The platform is also facing challenges – such as the $400,000 theft in 2017 that attracted widespread criticism from privacy experts. Anthony Di Lorio commented on the hack, stating that the user, and not Decentral, was responsible.
Further, even though there have been complaints, there have not been any cases of lost funds caused by Decentral’s software. He added
“We consider ourselves a hot wallet. We don’t recommend keeping life-changing amounts on it.”
The Shift at ShapeShift
A final challenge for Decentral is responding to recent changes of its integration partner, ShapeShift.
CoinDesk recently reported that the platform is moving from its no-account model, which requires users to provide personal information. Instead, it will offer perks to users who identify themselves, but the procedure will come in the form of a know-your-customer system.
As for Decentral, it is currently looking into what it means for Jaxx’s integration with ShapeShift. Anthony Di Lorio mentioned to CoinDesk,
“We’ve been evaluating their new system right now and seeing how that’s going to impact us and what our plans are going to be.”
Decentral is also looking to improve integration with several other services, which will ensure that it does not need to rely on a single one. Di Lorio said,
“Our goal is to be the Expedia of exchange. We want to give our users options.”
Erik Voorhees tweeted that Shapeshift changed its course due to duress. Di Lorio did not express a positive attitude toward the change, stating
“I like ShapeShift’s model that they’ve got right now. I like the no account. I don’t like friction . . . It’s a slippery slope when a company starts collecting user information, which is why we don’t.” He did not fault his partner for the decision though, but rather, the industry climate right now.