The long-standing user-experience issue in crypto, the infamous seed phrase, is now facing significant scrutiny. Wallet providers are exploring programmable smart accounts and easier recovery methods, shifting the conversation about self-custody from technical complexities to everyday practicality.
In this week’s episode of The Clear Crypto Podcast, host Nathaniel Whittemore, Cointelegraph’s Gareth Jenkinson, and Ready (previously Argent) CEO Itamar Lesuisse discuss how privacy, self-custody, Bitcoin-backed borrowing, and seed-phrase-free wallets are converging to change the way people manage and utilize digital assets.
A prevalent concern for both crypto novices and experienced users is the vulnerability of seed-phrase security. As Jenkinson pointed out, users often overlook the ease of losing access:
“There are countless stories of people losing control of their wallets… Incidents like your house burning down are just some of the many reasons you might want alternatives to merely safeguarding a seed phrase.”
Smart accounts and the emergence of the “crypto neobank”
Ready’s approach marks a significant transformation: accounts that don’t rely solely on a single secret. They are programmable, featuring recovery options, integrated spending tools, and the ability to utilize Bitcoin (BTC) without needing to sell it.
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A rising feature is the capacity to borrow against long-term BTC holdings and spend via card while retaining custody.
Lesuisse highlighted the distinction from conventional custodians, clearly differentiating centralized from self-custodial control:
“It’s the difference between don’t be evil and can’t be evil. We cannot take your money. We cannot attempt to be malevolent.”
Closing the gap for the next billion users
With smart-account architecture, Ready aims to operate less like a traditional crypto wallet and more like a crypto-enabled neobank, where users can deposit, grow, borrow, and spend without giving up control to intermediaries.
As Jenkinson emphasized, making the crypto experience more straightforward is essential for adoption, especially as mainstream users expect intuitive, web2-like design coupled with genuine ownership.
For many, merging usability with self-custody may alleviate long-standing anxieties surrounding loss, complexity, and trust.
To listen to the complete discussion on The Clear Crypto Podcast, check out the full episode on Cointelegraph’s Podcasts page, Apple Podcasts or Spotify. And make sure to explore Cointelegraph’s complete lineup of other programs!
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