Account Labs, a startup that emerged from the merger of two wallet developers, has raised $7.7 million to launch its innovative smart wallet solution. The wallet, called UniPass, will allow users to create and access their Web3 wallets using their Google accounts, without the need for a complex seed phrase.
A smart contract wallet with Google login
UniPass is a smart contract wallet that uses account abstraction principles to enable users to create and access their on-chain wallet using their Google accounts. This means that users do not have to remember a 12-word seed phrase, which is often the source of frustration and anxiety for crypto users.
Account abstraction is a concept that allows developers to write smart contracts into self-hosted wallets and subsequently enable features that are common in the web2 world, such as Google login and account recovery via email.
According to Lixin Liu, the CEO of Account Labs, the basic problem the company was trying to solve was how to enable users to regain access to their smart contract wallet on a new device if they had lost their seed phrases.
“When a UniPass wallet is created initially, the smart contract will also place a person’s Google account into the code,” Liu said in an interview with Blockworks. “Your Gmail account is also protected with ZK [zero knowledge] in the smart contract. Otherwise, people will see how much money is associated with each Gmail account, which is super risky.”
A backup system for Google accounts
To prevent Gmail accounts from being a single point of failure, Account Labs also introduced a concept called Guardians. Guardians are designed to help in cases where a user has their Google accounts compromised or has lost access to their emails. A backup account set by the user will be able to regain access to the lost wallet.
As no KYC is required, any person can download the UniPass app and start using it. Users can also top up crypto using Apple Pay or their Mastercard or Visa cards.
A focus on Southeast Asia
Account Labs secured $7.7 million in a funding round co-led by Amber Group, MixMarvel DAO Ventures, and Qiming Ventures. The investment is led by investors from both the web3 and established internet tech arenas.
The startup plans to use the funding to launch UniPass and drive adoption in Southeast Asia, starting with the Philippines. The country has a large population of freelance workers who rely on remittance services that are often slow and expensive.
“Payments are still one of the untapped segments of Web3. It’s bizarre that the industry which started on the promise of global payments still doesn’t have successful payment apps. UniPass’ wallet looks to be a great attempt at the payments use case,” Sandeep Nailwal, cofounder of Polygon Network, said in a statement.
UniPass runs on Polygon, a blockchain network known for speed and low fees. Account Labs aims to target other markets in Southeast Asia in the near future.
