Small crypto wallets often struggle to convert users into revenue, primarily because they lack essential features like swapping, buying, selling, staking, and trading. Yana Mar, Head of B2B and Partnerships at ChangeNOW, highlighted this issue at TOKEN2049 in Singapore, noting that users who cannot perform these actions within the wallet will leave, taking their fees with them.
Mar emphasized that storage alone does not generate income for wallets. To retain users and increase in-app activity, wallets must offer a comprehensive suite of services. However, the infrastructure costs for building and maintaining these features can be prohibitive for smaller teams. She advised small wallets to integrate ready-made solutions for fiat, swaps, and staking rather than building from scratch.
To compete with larger wallets that offer everything from stablecoin spending to tokenized stock trading, Mar suggested that small wallets should focus on a specific niche. This could include targeting a particular region, audience, or offering unique features like enhanced security, speed, or quality. She also noted that zero-fee swaps, often used by larger wallets as a marketing tool, are not a sustainable strategy for smaller wallets.
Mar discussed the importance of in-wallet support, suggesting that wallets should delegate transaction-related issues to the exchange provider while maintaining the user relationship. She also highlighted ChangeNOW’s Free Fast Track program, which helps new wallets integrate exchange APIs and earn revenue from swaps, along with marketing support to drive traffic and engagement.