Image credit: tweed
Meet Tweed, a startup out of stealth today working on white-label cryptocurrency wallets and payment solutions. Tweed allows businesses to generate wallets for their users so they can buy, hold, send and use crypto assets without any technical knowledge.
The startup raised a $4 million seed round last summer, led by Accel. Also participating are Communitas Capital Partners, Zero Knowledge Venture and angel investors including Sorare CEO Nicolas Julia, Mike Vaughan, Ameet Patel and Cristóbal Conde.
Tweed targets web 2.0 companies who want to add web3 components to their services. For example, if you run a marketplace, you could use a crypto wallet to allow your users to send and receive tokens. Or, if you’re a game studio, you may want to convert in-game items to NFTs.
Tweed is an application programming interface that can be integrated into existing products. Users can create wallets without switching to another product or using browser extensions.
“It goes back to the main issue in the current universe. User experience is still the biggest issue for every company, brand and platform entering the web3 space. You can’t expect them to do it for you,” co-founder and CEO Michelle Latzer told me.
Behind the scenes, tweed wallets are self-managing wallets. Users using Google’s social login feature do not need to remember their private key as it is tied to their Google account. Users can also choose a password to unlock a so-called “recovery kit”.
After that, Tweed’s wallet will be compatible with Ethereum, Polygon, and Tezos blockchains. A user can store both her NFTs and tokens in these wallets.
In addition to this wallet infrastructure, Tweed also offers payment integrations. In this way, a user can top up a wallet or purchase NFTs for her with a payment card. Tweed is also working on an offramp for receiving fiat currency into your bank account.
Using a built-in web3 infrastructure product like Tweed eliminates the need to deal with KYC and other regulatory issues. Users are responsible for crypto assets and Tweed handles fiat-to-crypto infrastructure.
Interestingly, Coinbase also announced a wallet API this week. There are many similarities between the two products, so let’s get down to business. But that also means Tweed is definitely on to something interesting.