Trust Wallet CEO Iowin Chen, who first encountered the concept of blockchain while working in the fintech field in 2014, first gained attention in the cryptocurrency industry when he joined Binance in 2018 and became the head of Trust Wallet in 2022.
In a recent exclusive interview with BeInCrypto, Chen shared her insights on the challenges facing the crypto wallet industry, noting that most wallets struggle to become profitable. She also shared her vision for the future of wallets, describing concepts like “Amazon Web 3” and predicting that web extension wallets will disappear in favor of dApp-embedded features.
Chen first explained the meaning behind her chosen name, “Iowin,” which was inspired by JRR Tolkien’s “The Lord of the Rings.” She said the name reminds her of her principles of avoiding industry temptations and putting the success of the project above personal gain. These principles guide her leadership and the culture of Trust Wallet.
Q: Why did you choose the name “Iowin”?
It's a name from The Lord of the Rings by JRR Tolkien. He created this Irish name.
This name reminds me of two things. The first is the theme of The Lord of the Rings. Take the most powerful ring on a mission and destroy it so that no one can have the point of tyranny. Sometimes the crypto industry has a lot of temptations like fame, money, or power. I have seen leaders who are overconfident and they just fall. I want to remind myself not to be tempted by the ring. The second is that in The Lord of the Rings, this character dies. Anyone who wants to do something long-lasting has to forget themselves in the project. The key goal is not to build something to be in place forever, but to build something that will last beyond you.
Q. How does this philosophy apply to your company?
I am building a company that can survive beyond founders like me. I tell my team that I don’t expect Trust Wallet to be their last employer. They will do other interesting cool things in the industry. But I want them to focus on their integrity and mission, learn cultural values, and bring them to the industry. That’s how we become more mature and trustworthy. Because there are enough scams.
Q: Where are you now and what is the regulatory environment like?
Now in Dubai, but previously in the US. There was concern. Coinbase Wallet got an SEC case , and fortunately we have not had a case yet. We have learned from Binance and are much more conservative than all our peers. I was at Binance and saw how things work. There are certain boundaries where you can make money or have a business model.
Q: What is the future outlook for the cryptocurrency wallet industry?
Most wallets are not making money. The only ones that are profitable are Metamask and maybe Coinbase Wallet. All other wallets are not making money or are losing money. The business model of a wallet is hard to survive. That's why they have to have a sugar daddy who pays them and supports them.
Read more: 16 Best Web3 Wallets in 2024
Q: If the number of chains and cryptocurrencies continues to increase, won’t it help the wallet business?
Initially an Ethereum-only wallet, it now supports 105 chains, 65 of which are non-EVM. But it was the early days of our multi-chain journey. But the chains are no longer bringing us new users. None of the new chains we integrated have been able to generate enough traction for users to start using the product.
Nowadays we tend to capture the users that are already in the industry. New chains are no longer driving anything. So for us it is more of a retention strategy. Users don't have to have 50 different wallets for 50 different chains, but they can have a one-stop shop with us.
Q: Are there any changes or new features planned?
One of the things we are testing and trying to move more towards is smart contract integration in EIP-7702. This upgrades EOA (Externally Owned Wallet) with some smart contract functionality. The fundamental role that a wallet should play is a simple and easy to use UX, and we believe that smart contracts can provide a better, smarter user experience and also that the user experience can better retain users.
Q: What are the challenges you face as a business as a whole?
Scalability is a major challenge, especially for multi-chain wallets that support both EVM and non-EVM chains. When you need to provide a gas-free experience or a chain abstraction experience for your users, you can’t simply rely on the EVM standard. It’s very difficult to provide such a simple and consistent experience for users at both the product layer and the technology layer.
Q: What is your vision for the future of wallets?
One is to build a B2B service, wallet-as-a-service. Another is like “Amazon Web3”, which provides various utilities that provide a better user experience. Web extension wallets may disappear in a few years, and wallet functionality can be built into dApps to provide a seamless experience.
