Binance, one of the world’s biggest cryptocurrency exchanges, is taking on its first acquisition as it seeks to give customers more control over their digital coins.
The crypto exchange firm acquired Trust Wallet, a crypto-wallet provider and decentralized-application browser that doesn’t collect a lot of user data, Binance said in a statement, without disclosing the terms of the deal.
Trust Wallet, which launched in November and has 10 employees, allows customers to store more than 20,000 different Ethereum-based tokens.
“The users control 100 percent of their funds,” Binance Chief Executive Officer Zhao Changpeng said in an interview Tuesday.
“Now we have both a decentralized and centralized solution for custody,” the CEO added.
Binance said that Trust Wallet doesn’t access user wallets or hold private keys, the codes that let investors spend their coins.
Instead, the keys are stored on user devices. The firm may collect customers’ public-wallet addresses, contact information and social-media handles, according to its website.
Due to its legal risks Trust Wallet said in June that it was canceling its planned token sale.
“The company has built a reputation for security and has held itself to the guiding principles that it will never access user wallets, hold private keys, and ask for personal information,” Malta-based Binance said in the statement.
“The Trust Wallet brand and team will retain the autonomy and freedom to develop the core product while benefiting from the increased synergy from Binance.”
The Binance top official has shared that the deal was not highly priced and Trust Wallet does not have a lot of users.