Ethos Wallet Review ▷ An all-rounder among the crypto wallets?
A new wallet called Ethos promises to offer the entire crypto ecosystem under one roof.
The Smart Wallet
The core offering of the Ethos app, smartwallet, is a multi-crypto wallet that stores your coins in a secure yet easy-to-use way. With unmatched security and an elegant user interface, the wallet supports a variety of coins across different block chains. More coins are added every day to make the wallet even more universal.
The most important question regarding new wallets coming onto the market: How secure is my wallet really?
Unfortunately even popular wallets lack security. It is advisable not to store a large number of coins on the same wallet. Instead, it is recommended to invest in more secure hardware alternatives such as Trezor or LedgerNano.
With security features ranging from 256-bit seed to biometric authentication, the Ethos Smartwallet has taken every possible step to ensure the security of your digital assets.
In the past, you only had to write your private key on a piece of paper and keep it in a safe. Then came Ethereum. And Ripple. And Litecoin.Soon there were lots of Altcoins, which made it hard to write down separate private keys.
A new concept therefore had to be developed. A large number of publicKeys and addresses for different coins (from a single start "seed") were generated. This made it possible to effectively compress addresses to a single key.
With this key mandann can restore the same addresses on other platforms. This allows access to different platforms without having to transfer information to a server.
Ethos SmartWallet implements this concept as a "SmartKey", a 24-word sequence generated by random movements during account setup.
As many wallets have shown in the past, the use of a private recovery seed and a PIN does not guarantee security: in order to prevent so-called "keyboard recordings", the Ethos app uses a virtual keyboard to enter important data.
While the use of a PIN to log in is standard with every crypto-wallet, Ethos goes one step further and also prescribes biometric authentication to ensure that your wallet never falls into the wrong hands.
NOTE: As of now, the Ethos app does not automatically log off. While the Ethos team is working on fixing this until the next update, it is currently safest to log off manually.
Even if the app is protected against sophisticated hacker attacks, it will not protect the wallet from mere human error. Don't tell anyone your recovery seed, and don't save the recovery seed on any case run on your computer.
Setting up the Smartwallet
Step 1: Getting started with Ethos is very easy. Since it is a mobile app, simply download the Ethos app. When running, you should be greeted by a login screen.
Step 2: Register with Ethos and check your confirmation email. After confirmation, you can log in to start creating your own smartwallet.
Step 3: A click on 'Add New' takes you to the selection of two different modes: The Smartwallet and the Watchfolio. Now select the Smartwallet.
Step 4: Next, the app will ask you to give your wallet a name. Of course you can change the name at any time.
Step 5: Now comes the interesting part: To create a random recovery seed, you need to shake your phone.
Step 6: Once the process is successfully completed, you will receive a numbered list of 24 words. This is the smartkey of your wallet. Make sure that you write down all the words in the correct order.
Step 7: Once you have noted the words, Ethos will ask you to enter three specific words. Once you have passed this test, the app will ask you to choose a 4-digit (or higher) PIN to encrypt your previously generated smart key, which will also be used as a password to access the wallet.
Step 8: You have created your own Smartwallet
Receiving coins on your Smartwallet
Tap Add Coin in your Smartwallet. A list of available coins and tokens will be displayed. Select the coin you want to add, then tap the coin again and select 'Transact'.
This is where it gets a little tricky. As you can see, receiving coins in a wallet requires the transmission of the wallet's public key - a dense alpha-numeric string that must be accurately reproduced by the sponsor - to make this as easy as possible, most wallets (including ethos) use QR codes. Hence the small QR code symbol with the inscription "Send / Receive".
Tap the symbol and coin you want to trade. You will be shown a QR code representing your address; scan it with another one to transfer money to you. Congratulations!
If you are over-eager to send these newly received coins (perhaps to make a payment?), follow the steps above again and just make sure you click 'Send'. Instead of displaying a QR code, you will be asked to scan one or enter the code manually. Since sending funds is a riskier business than receiving funds, the app would verify your credentials with your biometrics and PIN before it performs the transaction.
The most tedious part of investing in crypto currencies is monitoring - you have to manually keep track of every coin you have in your various addresses and remember the price points where you bought them. You also have to search through numerous exchanges before you know where your investments are going.
Ethos' watchfolio aims to solve this problem.
With Ethos Watchfolio, you can watch every coin you own (even if you do not own any coins - this feature can be useful if you just want to test the market). You set entry prices to track relevant statistics and changes in real-time. All this is supported by easy to understand charts and graphs. Since the ultimate goal of the Ethos Smartwallet is to let you trade crypto currencies from the app itself, you can of course also sell & buy coins in lifetime.
Ethos Watchfolio Test
Follow the first steps in the wallet section until you come to the choice between Smartwallet and Watchfolio, this time tap the Watchfolio instead.
You will be taken immediately to your Watchfolio, because unlike a Smartwallet, a Watchfolio is only a hypothetical collection of coins, no actual storage. Therefore, the Watchfolio does not require any security controls. Browse through the Coins of your choice and select the amount, price and date of your trade to be added to your Watchfolio. You can even create a wish list to compare the performance of some new Coins before you decide to buy them.
The watchfolio itself is not very interesting. Only in combination with the in-app coin profiles of the EthosUniversal Wallet the practical application begins. Ethos tracks key marketing statistics of each coin supported, along with a small sample of its history and user submitted ratings. Even more useful are the beautifully illustrated coin courses, which will help you to make informed investment decisions without having to scout the Internet.
Upcoming Ethos Wallet features
Like every new application, the Ethos Universal Wallet has only just begun to implement functions. Positioned as a crypto ecosystem and not just as a wallet, there are still many functions that can be expected.
Ethos has entered into a partnership with a number of lesser known tokens that will be given away in the near future. The exact conditions for the events are not yet clear; initially it was assumed that only pre-registered users would be eligible for the wallet. However, following the publication of the wallet, Ethos has made it clear that new users could also participate - full details are not yet known.
Imagine if you had to type 2001:4860:4860:4860::8888 every time you wanted to search something onGoogle. This is exactly how the block chain works at the moment. Each account is represented like "mwkXG8NnB2snbqWTcpNiK6qqGHm1LebHDc", which makes it impossible to remember or handle the account.
By giving your wallet a unique, readable name, Verified Wallet Domains allows you to reserve your place on the block chain so that you can easily send and receive payments without tinkering with unwieldy text and numbers.
A thorn in the side of crypto-wallets is their inability to store coins offline. This exposes the user's entire inventory to potential attacks.
Ethos has, however, stated from the outset that it wants to make hardware wallets superfluous. How exactly this is to be achieved is still far from clear. The founders of Ethos called it a "nano-ledger in the sky", which makes it a kind of offline storage for the private keys of its users. When properly implemented, the innovation has the potential to remove any other wallet, hardware or not, and catapult Ethos to the number #1 position of crypto owner wallets.
Perhaps the most anticipated feature of the Ethos Universal Wallet. Basically, a Fiat gateway would allow a user to exchange their digital assets into traditional "fiat" currencies. Conversely, you would be able to buy your favourite coins with your credit card or sell your excess reserves. As simple as it sounds, the feature is not trivial to implement and requires a variety of licenses and permissions to function properly, so it is only offered by leading crypto exchanges that charge high fees.
This would not only destroy the business of Exchanges such as Coinbase, which currently have a monopoly on the transaction of crypto-currencies, but also redefine payments. Crypto-currencies would now be used as a practical transmission medium, which would go beyond regulations and national borders and make service providers such as Paypal useless with their extravagant fees.
The Ethos Wallet aims to join forces with services from the entire spectrum of the financial industry. Ethos wants to take crypto currencies out of their niche to redefine the world.
The ultimate goal of the Ethos project is to break down barriers that prevent crypto-currencies from being seen as a legitimate alternative to paper currencies.
Fusion Financial works to integrate securities and crypto-currencies into a single investment market. Fusion is an automated investment service regulated by the SEC, following a hybrid investment model that combines traditional equities with well-functioning crypto-currencies.
Despite all the advantages like freedom and unlimited liquidity, a crypto currency is actually quite difficult to handle. To promote crypto acceptance, it is necessary to bring it into the realm of small, everyday (vital) transactions. To this end, Ethos has announced a partnership with Payroc, a renowned payment solutions provider. Payroc manages payment gateways for small and large companies. By integrating into the Payroc ecosystem, Ethos will be able to offer merchants direct and hassle-free crypto payments.
Predictions in engineering are dangerous and inaccurate. However, the Ethos Universal Wallet is an example where even a cursory glance through its aspects reveals a mature, well-designed ecosystem with incredible potential. There is no reason not to describe Ethos as a gamechanger in the world of crypto-currencies that could change the status quo for the better.