What you need to know before starting using the Wigwam App

Starting a journey in crypto, especially if you created a self-custodial wallet, may bring some difficulties in usage. That’s why we are here to share information about the main concepts of Web3 in this email. This will help you better understand how to use Wigwam and get the most out of this wallet. And we start with the most important concepts.

Wigwam is a self-custodial wallet.

 This means that no one can access your funds, block them, or interfere with them in any way. Your tokens are stored directly on the blockchain, and only you can access them via your private key. For this reason, it is crucial to remember your password and have alternative backup methods. If you forget or lose them, there is no way to recover access. 

Learn how to back up your wallet in this video.

Why should I pay gas fees?

Since all your tokens are stored directly on the blockchain, every action such as sending, swapping, or staking requires paying a gas fee. A gas fee is a small portion of the native token of that blockchain, paid to validators for processing your transactions. Usually, these fees are very small (around 0.001 - 10 cents depending on the blockchain), but despite the small amount, you should always have some of the native tokens in your wallet. For example, you need a little ETH to operate on Ethereum, BNB on BNB Chain, SOL on Solana, and so on. Watch our short video for a deeper explanation of gas fees. You may obtain gas tokens via our buy feature or receive these tokens from another address. 

In the Wigwam, when you open the information about a token, you can see on which blockchains it was issued. When you receive, buy, or swap tokens, you should always select the appropriate blockchain for that token. Even though our wallet supports all EVM blockchains and Solana, we advise performing operations on the most popular blockchains to reduce gas fee expenses. 

What is Web3 Connect?

Wigwam is a true Web3 wallet, meaning you can connect it to the most popular decentralized applications on the market. The most common ones belong to the DeFi sector and include lending and borrowing protocols, decentralized exchanges, and staking platforms. While DeFi often offers high returns on staked capital, it is also a high-risk field, and you should approach it with caution. Watch this short video to know how to connect Wigwam to a Web3 application.

Be aware of scammers. 

Crypto tokens are stored directly on the blockchain. Once they are sent from one address to another, it is impossible to get them back, unlike in the traditional financial system. Because of this, many scammers will try to steal your funds by asking for your private key or seed phrase, or by inviting you to invest in suspicious projects or connect your wallet to unsafe apps. They may pretend to be support staff, investors, or tech experts. Never share your private keys with anyone and never invest in something you don’t fully trust. Staying cautious is the best way to protect your funds.