CoinVoice has learned that Coinbase has launched the CDP wallet, a new type of wallet infrastructure aimed at developers, designed to break the long-standing trade-off between custody and operational complexity. Coinbase stated that developers previously had to either manage their own private keys and handle complex operations or rely on custodians, thereby losing flexibility.
The CDP wallet currently in open testing aims to solve this problem by giving developers 'full control' to create self-custodial, programmable wallets through an API, without the need to manage private keys or infrastructure.
In a statement sent to The Block, Coinbase pointed out that the CDP wallet utilizes trusted execution environment (TEE) technology to secure sensitive operations within AWS Nitro Enclaves, ensuring that private keys remain encrypted at all times, and even Coinbase cannot access the unencrypted private keys. [Original link]