New grant from Everscale: Spatium, a non-custodial whitelabel wallet

New grant from Everscale: Spatium, a non-custodial whitelabel wallet

Today, we’re going to tell you about Spatium — a new Everscale grantee. The product — a whitelabel wallet created by the Spatium team — is yet another tool for increasing Everscale’s adoption among institutions and businesses (the first such tool was AML Crypto, which we told you about earlier). At the same time, it will be useful for regular users, because Spatium has a retail multichain wallet application using the same technology, which provides a non-custodial way to store your crypto and is more safe and secure than an ordinary wallet. According to the team’s projections, by the end of 2022, the number of Spatium users will top 3 million, and all of them will have access to EVER. There are also a lot of other reasons why Spatium is a very important project for the whole Everscale ecosystem.

Project background

We can’t call Spatium a new startup because it has existed since 2017. The project’s main goal was to create a B2B solution providing the same level of security as hardware wallets. The initial idea was to use two devices to access a wallet, each of which would have part of the secret necessary to access funds and sign transactions. Ledgers and Trezors can be hacked if someone has physical access to the device, a microscope, and the necessary technical knowledge, but it’s almost impossible to break two devices at once. Spatium pioneered this kind of technology.

Using two mobile phones wasn’t too convenient for the majority of users, though. Initially, the Spatium team tried to create a unique device, a smart programmable card with a fingerprint scanner and an OLED display, like a smartphone, but in the form of a card. There were some obstacles, however: it was too expensive, and the team burned a lot of money trying to perfect it. Fortunately, they decided to discard this idea and shift toward a pure software-based solution. That’s how the current Spatium whitelabel wallet was created. “Every startup has to rethink its idea if it wants to manufacture something physical,”says Spatium CTO Valery. That was a very expensive lesson.

How does it work now?

Spatium is a whitelabel solution that doesn’t use private keys. Instead, it uses secure multi-party computation (SMPC) cryptography, where two sides — Spatium and the user — generate two parts of the secret for signing transactions. Spatium doesn’t have control over the funds and serves more like a second device for additional security, similarly to a multi-signature scheme. We can call it a distributed signature. Every time a user wants to sign a transaction, their part of the secret is calculated dynamically, using SMPC.

There are two ways to restore an account. The first one is a QR code, which should be generated and kept in a safe place. The second, which is far more advanced and secure, uses the anonymous biometry. Paper wallets can be lost or stolen by criminals, but your frontal camera is always with you. This lowers the entry barrier for new users, doing away with outdated practices. Anonymous biometry is the perfect solution for increasing adoption, because even non-tech savvy people can use it without bothering about private keys and paper backups. Every user is assigned to an individual neural network — a data asset linked to the user’s ID and email. This neural network evaluates a user’s likeness and face motions before generating the secret, comparing them to the already existing data. The dataset is very small, 21kB, and it doesn’t store facial features or photos. Currently, Spatium supports only one face per account, but this will change with future updates.

Every user gets access to several dozens of tokens and blockchains, including BTC, ETH, Avalanche, and Binance, as well as their DeFi farming pools, and can quickly swap any token for another at any time.

Spatium as a whitelabel solution

You can find the Spatium wallet on the App Store and Google Play, but there’s a little secret behind it. This wallet isn’t Spatium’s main product, it’s just an implementation of a SAAS-solution which can be integrated into any blockchain-based application.

Spatium’s main clients are:

  • banks
  • neobanks
  • centralized exchanges
  • DEXes
  • startups

In recent years, the demand for non-custodial wallets has greatly increased. Spatium has clients all over the world, in Eastern and Western Europe, the US, Asia, and Australia, and their numbers are growing every month. Companies that use Spatium’s services don’t have to get a custodian licence, so they can provide a custodial wallet without all the obligations of a custodian, and the regulators fully approve it.

The project doesn’t take any fees from transactions. Instead, they generate revenue from clients for providing a whitelabel licence. There are three options for every client:

  1. Minimum customization — some custom icons in the app, but the app itself can be easily recognized.
  2. More customized, with additional features such as KYC.
  3. A custom app with individual design; however, the team doesn’t like this option, preferring a more standardized approach.

The retail app thus serves as a demo for future partners. Every new partnership increases Spatium’s user base. That’s how the project grows, and that’s why it’s so important for Everscale.

The value for Everscale

Spatium will receive a grant of $74,390 to integrate Everscale into its service. This integration will include not only Everscale, but its whole ecosystem and dApps, such as FlatQube and Octus Bridge. As we remember, Spatium features a multitude of cryptocurrencies, so it will become one of the first multi-chain wallets with EVER support.

What does this mean? After Everscale’s integration, all current and future Spatium clients using it as a whitelabel solution will automatically receive an update with EVER token support. They can refuse to integrate the new features, but there’s no point in doing so. The majority of Spatium partners, even the most conservative ones, are interested in giving their end users all available trading and storage opportunities and adding as many blockchains as possible. This means that by the end of the year, almost 3 million active users will have easy access to EVER purchases in less than three taps. They will also get access to EVER farming pools on FlatQube, and the amazing capabilities of Octus Bridge can be used to easily move funds between various blockchains.

All the integration-related development will be completed by August 5, 2022.

Future plans

The Spatium roadmap is tightly packed with new features for this year. Everscale is the top priority right now, but when it’s done, Solana, Polygon, Fantom, and many other blockchains are also waiting in line.

There are many other plans too:

  • Adding several biometrical sets to one account to provide the opportunity for users’ family members to inherit crypto accounts
  • Advanced KYC features
  • Additional options for purchasing and exchanging crypto
  • A bridge and a DEX
  • NFT support (probably including Everscale native NFTs)
  • L2 rollup support (Arbitrum)
  • Some NDA features

Of course, the team, which currently has 25 members in Dubai, Singapore, and Latvia, is going to be expanded further. It wants to extend its business to many new countries in Asia and Europe. All of this will directly benefit Everscale as a 100% regulatory-compliant solution which makes it easier for institutions to integrate crypto into their operations. All this considered, we welcome Spatium onto Everscale, and wish it the very best of luck in developing its business!

Read More