Coinbase launches CDP wallet, providing 'full control' without key management

On May 29th, according to The Block, Coinbase launched the CDP wallet, a new wallet infrastructure for developers aimed at breaking the long-standing trade-off between custody and operational complexity. Coinbase stated that in the past, developers either had to manage their own private keys and handle complex operations, or relied on custodians, thereby losing flexibility. The CDP wallet, currently in the public testing phase, aims to address this issue by giving developers "full control" to create self hosted, programmable wallets through APIs without the need to manage private keys or infrastructure. Coinbase stated in a statement sent to The Block that CDP Wallet utilizes Trusted Execution Environment (TEE) technology to ensure the security of sensitive operations within AWS Nitro Enclaves, ensuring that private keys remain encrypted at all times, and even Coinbase cannot access unencrypted private keys.