Overview of the Exchange and Web3 Wallet

The differences and connections between Exchange and Web3 Wallet

The OKX Exchange and the Web3 Wallet serve different functions and are designed for different use cases.

The Exchange focuses on trading services, including spot trading, derivatives trading, and various Earn products. It's suitable for users who want to trade quickly and access centralized financial products.

The Web3 Wallet emphasizes self-custody, allowing users to manage their own private keys and interact directly with decentralized applications (DApps). It supports on-chain activities such as NFTs, BRC-20 tokens, and other Web3 ecosystems.

Assets in the Exchange account and the Web3 Wallet are managed separately and aren't automatically interoperable. However, the two services can complement each other. Some users choose to use both for different purposes, such as trading on the Exchange while managing on-chain assets in the Web3 Wallet.

The Exchange and the Web3 Wallet aren't mutually exclusive. As user needs evolve, integration between centralized trading services and decentralized wallet services continues to develop.

Definitions of Exchange and Web3 Wallet

• OKX Exchange

OKX is one of the world's leading digital asset trade platforms. It primarily offers spot and derivatives trading services for cryptocurrencies like Bitcoin, Litecoin, and Ethereum to users globally. Users can also engage in P2P trading, deposit and withdraw funds, copy trading, and utilize earning products on the platform.

• Web3 Wallet

Web3 Wallet is a non-custodial, decentralized multi-chain wallet with a built-in cross-chain swap aggregator DEX, an all-in-one on-chain investment tool DeFi (Web3 Earn), and a heterogeneous multi-chain aggregated trading platform (supports Crypto, Ordinals, NFT), as well as DApp discovery. With OKX Web3 Wallet, you can easily access 1,000+ DApp protocols, making it a true one-stop Web3 gateway.

Security of Exchange and Web3 Wallet

• OKX Exchange

OKX Exchange is a centralized trading service. It provides convenient access to spot trading, derivatives trading, and other financial products.

If you forget your login password, you can recover access through identity verification methods such as facial recognition or other security authentication processes.

When trading on the Exchange, your digital assets are stored in your Exchange account. As a centralized service, OKX maintains custody of these assets and provides security controls and transparency measures.

OKX publishes Proof of Reserves (PoR) to allow users to verify that customer assets are fully backed. You can view the Proof of Reserves through the following methods:

1. How can I check if my account assets are included in the Merkle Tree? (Merkle Tree V2)

2. Proof of Reserves (PoR) customer Snapshot Data Explanation

• Web3 Wallet

A Web3 wallet is a decentralized, non-custodial, multi-chain wallet. Your digital assets are stored on the blockchain rather than held by a third party.

As a non-custodial wallet, you are responsible for managing your private keys or seed phrase. If your private key or seed phrase is lost, exposed, or accessed by unauthorized parties, the digital assets in the wallet cannot be recovered.

Web3 wallets are generally categorized as hot wallets or cold wallets. The main difference is whether they are connected to the internet:

• Hot wallets are connected to the internet. They‘re convenient and easy to access, but may face higher exposure to online security risks.

• Cold wallets remain offline. Because they aren't connected to the internet, they reduce exposure to online threats and are commonly used for long-term and more secure storage of digital assets.

Privacy of Exchange and Web3 Wallet

• OKX Exchange

When you open an account on OKX, you are required to complete identity verification. This includes submitting valid identification documents, such as a national ID card or passport, in accordance with regulatory requirements.

• Web3 Wallet

No identity verification or account review is required. You can interact directly with the blockchain, which allows for greater privacy compared to custodial platforms.

Main Features of Exchange and Web3 Wallet

• OKX Exchange

You can use OKX to access a range of services, including P2P trading, deposits and withdrawals, spot trading, margin trading, futures, options, copy trading, and Earn products.

• Web3 Wallet

You can store multiple types of digital assets in the wallet, perform cross-chain swaps, buy, sell, and mint NFTs, participate in DeFi activities, join Boost campaigns, and interact with 1,000+ DApps and on-chain protocols.

How do I switch between Exchange and Web3 Wallet on the app?

You can switch between the Exchange and Web3 Wallet directly within the OKX app.

1. Open the OKX app

2. On the homepage, locate the Exchange / Web3 switch at the top of the screen

3. Select Exchange to access trading, funding, and account features

4. Select Web3 to access your Web3 Wallet and on-chain features

After switching, the interface and available functions will update based on the selected mode.

Note: Exchange and Web3 Wallet operate independently. Assets are managed separately, and you may need to transfer assets between accounts if required.