Bitcoin Forum

One of the oldest software wallet providers in the cryptocurrency industry is launching its first hardware product.

Announced Thursday, Blockchain has partnered with hardware wallet maker Ledger and started taking orders for a new handheld device called Lockbox. The first batch of shipments will go out in November.

While there are a number of hardware wallets on the market, Lockbox stands out in two ways, according to Blockchain CEO and co-founder Peter Smith. First, in addition to storing funds offline like other devices, it will facilitate crypto-to-crypto trades through Swap, the company's native brokerage, which is launching next week.

The aim is to make trading easier with an all-in-one account, Smith told CoinDesk, explaining:

"For us, what's really important right now is to get the product to a point where you don't need other places to complete your user actions in crypto."

Further, unlike other hardware wallets, Lockbox is "endpoint-controlled," Smith said. In other words, while the wallet connects to the internet by plugging into a computer, a special key set inside the device will only allow it to connect with legitimate websites, deflecting phishing attempts by fake versions of external platforms like MyEtherWallet, for example.

Much like Blockchain's online platform, which garnered nearly 30 million accounts since its founding in 2011, the Lockbox will mainly support bitcoin, ethereum, and bitcoin cash. However, the team said they are willing to consider adding support for additional assets if there's proven user demand.

Smith added that although his company will be selective about which assets it supports on Lockbox, the Swap brokerage will allow the whole Blockchain platform to expand crypto offerings faster than ever before because it will not be solely reliant on external liquidity sources.

"We built a machine trading platform," he said. "It connects to different liquidity [sources] across the ecosystem, everything from different exchanges to market makers."

As a result, "I think we will be more aggressive on adding assets in the next six months," Smith said. "In the long run, I see our trading system being both a consumer and a provider to DEXs," or decentralized exchanges, where traders retain custody throughout the process.

 More on coindesk (https://www.coindesk.com/blockchains-first-hardware-wallet-will-let-you-trade-crypto-for-crypto/)

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Gradually, the market is being fragmented with several options for trader cryptos. This is very good since each person will have the possibility to choose the platform that offers them more security and options. And competition is what drives markets to approach perfection.

It looks and sounds like a dumbed down version of a Ledger Nano.

It only works with Blockchain.com. You can't use Ledger Live. The article states that "a special key set inside the device" will only allow it to connect to specific websites. Which websites, we don't know yet. It will only support bitcoin, ethereum and bitcoin trash cash.

It seems like its big selling point is facilitating crypto-to-crypto trades direct from the hardware wallet, but if you can only trade 3 coins (and 1 of those 3 is a scam), then I'm not entirely sure of the point of this wallet.

I used a few months ago a blockchain.info wallet, which is the same as .com now.

They had integration with Shapeshift, like Coinomi.

This integration was amazing, even better on coinomi, as anyone could trade between different cryptocurrencies very easy, fast and without any KYC verification, and inside your own wallet.

I think this kind of integration could be easily done with Ledger Live and any other shapeshift-like service.

However, Shapeshift is now demanding KYC, so I hope they get some other partnership.


This is probably the future for many services, but if we can avoid it using other services, better.

this is progress for hardware wallets where they provide the best security features and now there is the addition of a coin swap feature like changelly.com, if performance continues to improve I am sure there will be more orders for these products

Can you elaborate on this a little? The article states that the Lockbox wallet will support "support bitcoin, ethereum, and bitcoin cash". How can it support trading between a variety of cryptocurrencies if it only supports three (and no sane person would want to trade BCH anyway). Is it literally just BTC/ETH trading only, or is there more to it than the article suggests?

The article also states that we "will be able to pair Ledger's multi-coin Nano S devices with Blockchain wallets". Given this, I don't really see the point of the Lockbox wallet. It sounds like a normal Ledger Nano will be able to do everything the Lockbox can do, with obviously the added advantages of Ledger Live, 3rd party wallets like MEW and NEON, great coin support, etc. This article makes it sound like the Lockbox wallet is purposefully dumbed down and locked to one website for people that don't really know what they are doing.



Yup. One more service added to my list of "never going to use".

I just googled about it, I found this (it really looks like a ledger nano wallet):

https://www.blockchain.com/lockbox

https://www.blockchain.com/static/img/lockbox/hero-2x.png


They will only supports those 3 coins as you said, just like blockchain.com/info wallet does.
Its shapeshift integration only support the exchange between these 3 coins, no ERC20 an no other... Even thought shapeshift supports lots of others.

Coinomi wallet supports a lot more (i think all supported by shapeshift).

Is it trading from one person to another or is it trading from them to us? That is the most important part of discussion here because of the market prices. If we are basically giving bitcoin to get ethereum from them than they could arrange the price in a way that would yield them the most profit and if we are changing crypto to crypto from someone else that means it requires online connection between the wallets which is not really that safe is it.

It would be just another exchange but on a usb stick that would be the only difference. The both ways of it would be really sticky for them, if it is offline than how do we change crypto while having no internet connection, impossible. If we are storing it offline but trading it online than both sides of the possibility just has its downs from security issue to trading fee.

Have you never used services like Shapeshift, easyrabbit, instaswap, changelly?

Just try any of them.

Usually they have accounts on exchanges such as binance, and they make the trades for you. As you don't pay withdrawal fees (they probably have some kind of partnership) it is cheaper for small amounts.

You pay the market price. However, they charge a small fee for the service as well (nothing is free), but it is possibly cheaper than exchanges because of those withdrawal fees. .