When you complete a financial transaction online, your bank provides a custodial service by verifying specific details and brokering the transaction. On Web3, users will no longer rely on an intermediary institution like a bank, instead keeping money and other assets in a noncustodial wallet. With this type of wallet, you alone control—and are responsible for—these assets. It would also protect your privacy because it eliminates the need for the protocols to verify user identities that are currently required by banks. With the next version of the internet inextricably linked to cryptocurrencies and blockchain technology, noncustodial wallets will be crucial so users can interact with dapps, giving them access to this new type of online economy.
Noncustodial wallets connect to Web3 economy | National
