DotWallet: How tokenized assets work better on Bitcoin

Wallet app DotWallet is another example of a service using the power of Bitcoin SV (BSV) to tokenize other digital assets. Users can send BTC and ETH tokens to addresses on those chains quickly and with minimal fees, also bypassing their network congestion.

It’s a handy feature for BSV users who occasionally encounter merchants or recipients who will only accept these two (for now) widely-accepted assets. Rather than going to a third-party exchange and deal with all the headaches involved there, users can swap exactly the amount they need to send from BSV into BTC/ETH tokens and send them directly from DotWallet.

DotWallet is a product of China’s Boquan Hash Science & Technology Co., Ltd., founded by Mempool CEO and Bitcoin Association ambassador Lin Zheming. It began life as a BCH wallet and switched to the BSV chain after the November 2018 split.

The Fuzhou, Fujian Province-based company says it has signed up “over 500,000 users now, and the number is growing every day.” Once signed up, users can also link their wallets to other online services like WeChat, Google or Facebook and DotWallet also supports “apps” for other BSV services, such as CityOnChain.

Users in China may also purchase BSV using Chinese yuan (CNY) via IfCash—another service with an app available in DotWallet’s in-app store.

This week we profiled ShowPay, another Chinese wallet/payment platform using tokenized digital assets. Like ShowPay, any BTC or ETH balances stored in a DotWallet account are representative tokens and both utilize Tokenized to perform the “conversion.” Essentially, converting BSV value to tokenized BTC/ETH creates and executes a smart contract that can be verified on the Bitcoin BSV blockchain.

“We think (Tokenized) is the the best overall solution at present,” a company representative told CoinGeek. While BTC and ETH are the only assets supported at present, DotWallet would consider adding other assets if there is enough demand.

DotWallet currently exist as an in-browser app, though the company is working on native mobile applications for major operating systems.

We tested DotWallet on a mobile and desktop, and can say it functions as well as a native app. Sign-up involved a swipe procedure that only worked on a touchscreen, but once signed up we could login easily on a desktop browser as well. We were also able to link the wallet with a WeChat account, though this required using WeChat mobile to scan an on-screen QR code using a desktop login. Our WeChat avatar then appeared as our user profile pic on DotWallet.

We also tried sending BSV from a MoneyButton account to DotWallet, and the balance appeared almost instantly.

The wallet and associated services are tailored primarily to Chinese users, though basic functions (including conversion to BTC/ETH tokens) are available to users anywhere. Although the interface has an English version that’s pretty easy to use, be prepared for the occasional pop-up message in Chinese-only (this didn’t present any major barriers to use).

The “swap” feature that allows users to convert BSV value to BTC or ETH tokens is still in a beta phase and has limits—from 0.05 BSV to 53.997868 BSV. The interface displays the conversion value before swapping, and notes there’s a 0.2% service fee to convert.

DotWallet is another example of how BSV has the technology and power to handle not only Bitcoin payments, but transfers of any asset (digital or otherwise) a service chooses to support. Tokenization is set to become a widely-utilized and important Bitcoin feature in the coming years, demonstrating that BSV has the capacity to manage many other aspects of trade in various economic sectors.

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