Rainbow Wallet
4.2 ⭐⭐⭐⭐
Rainbow Wallet
- Rainbow Wallet was launched in 2019 by Christian Baroni, Mike Demarais, and Jin Chung. Rainbow Wallet is operated by Rainbow Studios, Inc. and is headquartered in New York City.
- Rainbow Wallet was launched with a mission to bring users into the world of Ethereum. The wallet has evolved alongside Ethereum, becoming a multipurpose tool for exploring the world of crypto, with unique features like a token launcher, which allows users to launch their own tokens.
- Rainbow Wallet had a meteoric rise not long after launch, gaining tens of millions of users. Major investors in Rainbow Wallet include the co-founder of social media platform Reddit, Alexis Ohanian.
- Security Features: 4.0 ⭐ 80%
- User Experience (UX): 4.0 ⭐ 85%
- Integration and Compatibility with DeFi/NFTs: 4.0 ⭐ 82%
- Transaction Features: 4.0 ⭐ 78%
- Additional Functionalities (Staking, Rewards, ENS Support): 4.0 ⭐ 80%
- Multi-Platform: Mobile & Web Extension
- Non-Custodial.
- Android
- iOS
- Chrome
- Edge
- Firefox
- Brave
- Arc
- Safari
Rainbow Wallet
A crypto hot wallet is an essential item for anyone who needs to manage cryptocurrencies. Hot wallets are internet-connected applications that help you store, manage, send, and receive crypto. The wallets are deemed “hot” because they are connected to the internet, and they represent an alternative to cold wallets, which store your private keys (the keys to your crypto on the blockchain) offline, usually in the form of hardware.
There are many different hot wallets available today, including Rainbow Wallet. Often cited as one of the best alternatives to MetaMask, which is the most popular choice for holders of Ethereum and Ethereum-related tokens, Rainbow Wallet has marketed itself as a fun way to store your crypto – it’s been described as the “hippest” crypto wallet – allowing holders to dive into the world of NFTs, decentralized apps (dApps) and decentralized finance (DeFi) into a secure, easy-to-use hot wallet.
Key Features & Functionalities
Security Features
Rainbow Wallet provides encrypted private keys stored locally, biometric authentication, password protection for browser extensions, and optional cloud backups (iCloud/Google Drive). It includes scam site warnings and educational resources to combat phishing. The wallet is partially closed source, and phishing attacks using the eth_sign function have been noted, though no infrastructure breaches have occurred. Hot wallets carry inherent online risks.
Integration and Compatibility with DeFi/NFTs
Rainbow supports decentralized exchanges (Uniswap, 1inch, Swoop), DeFi platforms (Aave, Curve), and NFT marketplaces (OpenSea, Zora). It includes WalletConnect for dApp access and a developer toolkit (RainbowKit) for integrations. It’s limited to Ethereum and EVM-compatible chains, excluding non-EVM ecosystems like Bitcoin or Solana.
User Experience (UX)
Rainbow emphasizes simplicity with an easy setup process, a beginner-friendly interface, and a visually appealing, “fun” design. It balances accessibility for novices with advanced features. Customer support is limited to email, lacking live chat or phone options.
Transaction Features
Rainbow offers gas fee estimation, customizable fees, transaction speed control via Miner Tips, and a clear transaction history for crypto and NFTs. Swaps incur a 0.85% fee, and cross-chain bridging is supported. Ethereum’s high gas fees remain a factor.
Additional Functionalities (Staking, Rewards, ENS Support)
Some components are publicly available, but the core wallet app itself is closed source.
Pros and Cons of Ledger Nano X
Pros:
Top Ethereum Wallet. Rainbow is a great choice for those wishing to explore Ethereum, its related L2 and supporting blockchains, DeFi, and dApps.
Designed for Fun. Arguably, no wallet puts more effort into making your crypto journey fun than Rainbow.
NFT Focus. Rainbow Wallet has a lot of support for NFTs and has launched its own collections.
Easy to Use. A beginner-friendly wallet that strikes the right balance between simplicity and functionality.
Cons:
Limited to Ethereum Ecosystem. If you want to hold Bitcoin, Solana, or other non-Ethereum compatible tokens, consider an alternative like Exodus or Trust Wallet.
No Live Chat. Customer Support is limited to email support.
Security Features
Encryption
Private keys are encrypted locally on your device.
Biometrics & Passwords
The Rainbow Wallet app supports biometric authentication on compatible mobile devices. Password protection is offered for web browser extensions.
Cloud Backups
Users can back up their wallets to iCloud or Google Drive.
Partially Closed Source
Some components are publicly available, but the core wallet app itself is closed source.
Supported Cryptocurrencies
Ethereum-Focused Wallet
Hold Ethereum, ERC-20 tokens and EVM-compatible tokens like Tether, POL, BNB, and AVAX.
Custom Token Support
Manually add Ethereum-related tokens that are not listed by default. You can launch your own ERC-20 tokens on the Rainbow Wallet.
User Experience (UX)
Easy Set Up
You can create your Rainbow Wallet in minutes. An easy setup guide is provided.
Designed for Simplicity
An accessible, beginner-friendly wallet interface and design.
Customer Support
Users can contact the Rainbow global customer support team at support@rainbow.me. There is no live chat or phone support.
Integration & Compatibility
Decentralized Exchange Compatibility
Rainbow Wallet is compatible with Decentralized exchanges like Uniswap, 1inch, and Swoop.
Explore DeFi & NFTs
Connect your wallet with DeFi platforms like Aave and Curve, and NFT marketplaces like OpenSea and Zora.
Developer Toolkit
Rainbow does not offer traditional API access. However, developers can build and integrate dApps via the RainbowKit integration toolkit.
Transaction Features
Fee Customization
Rainbow automatically estimates gas fees. An option is provided to set the maximum acceptable gas fee.Compatible with third-party metal backup plates.
Control Transaction Speeds
Adjust gas fees to speed up or slow down transactions. You can use Miner Tips to prioritize transactions and ensure they go through.
Transaction History
Easily view past transactions and swaps history for crypto and NFTs.
Security & Risks Assessment
Past Security Incidents
Rainbow Wallet has not had any security breaches of the wallet’s infrastructure. However, there have been some notable incidents of phishing attacks using the eth_sign function on Rainbow Wallet.
Rainbow Wallet has constantly reviewed its security procedures while also providing educational resources to warn users of crypto phishing and malware scams.
User Protection Measures
Rainbow Wallet provides users with a seed phrase to restore access to their wallet.
Rainbow Wallet has the option for cloud backups.
The wallet has scam site warnings to flag potential phishing dApps.
Potential Risks
All hot wallets carry some level of risk as they are connected to the internet. Even with the most iron-clad security, hot wallet users may be tricked into handing over the credentials via phishing scams, bogus browser extensions, etc.
Alongside its crypto wallet security measures, Rainbow provides educational tools and resources to help users stay abreast of common crypto security threats.
User Reviews & Community Feedback
App Store & Google Play Reviews
Rainbow Wallet has a strong rating on the Apple App Store, scoring 4.6 out of 5 based on almost 3,000 reviews. It scores the same 4.6 out of 5 on Google Play. Users consistently praised Rainbow Wallet’s signature rewards scheme.
Reddit & Crypto Community Discussions
On Reddit, users have praised Rainbow’s functionality, NFT support, and ease of use. Some Redditors have raised concerns about security. Rainbow is very active on X (circa 100K followers, @rainbowdotme). It regularly engages with users, often using X to highlight promos and new features in the wallet.
Expert Reviews & Endorsements
Rainbow has a good reputation among the wider crypto community. Among notable backers of the wallet was Alexis Ohanian, the Reddit founder who is an influential figure in crypto. Rainbow also gained notable attention when it presented the rapper Soulja Boy with his personal ENS name, souljaboy.eth.
Pricing & Cost Analysis
Fees and Subscriptions
Rainbow Wallet is free to download and use as a crypto wallet. As of yet, there are no premium tiers that require paid subscriptions.
Transaction Fees
As an Ethereum wallet, transaction fees on Rainbow Wallet will be based on the network charge (known as a gas fee). There are no additional costs added to send and receive crypto. Rainbow Wallet charges a 0.85% fee on swaps within the app.
Hardware Wallet Integration Cost:
There is no cost to integrate your Rainbow Wallet with compatible hardware devices like the Ledger Nano X.
Final Verdict & Recommendations
Rainbow Wallet occupies a niche position as it is positioned as an easy-to-use, beginner-friendly crypto wallet, yet it also has plenty of advanced features and functionality. As mentioned, it puts a lot of effort into making crypto fun – it has as a slogan “experience crypto in color” that sums up its way of thinking. There are some neat extras, including Rainbow Rewards, which allows users to earn points that can be exchanged for crypto; there’s even a referral scheme.
Rainbow is a strong option for holders who wish to explore Ethereum and its supporting L2 blockchains, NFTs, dApps and DeFi. It’s got a fair reputation for security, within the caveat that all hot wallets carry a small element of risk. Long-term holders might consider using the hardware wallet (various Ledger and Trezor hard wallets) integration offered by Rainbow. Of course, if you intend to hold not-Ethereum tokens like Bitcoin or Solana, you should explore other options like Exodus Wallet or Phantom Wallet.
Nonetheless, we give Rainbow Wallet a strong 4.2/5.
Our Rating
4.2 ⭐
⭐ 4.2 | Rainbow Wallet
FAQs
Is Rainbow Wallet a safe Wallet?
Rainbow Wallet is considered fairly safe. Like all hot wallets, there are external risks like phishing and other cyber threats that are present because the wallet is connected online. As a general rule of thumb, it is recommended that long-term holdings and high-value tokens are stored in a colt wallet offline. Hot wallets like Rainbow Wallet should be used for day-to-day transactions, staking, and so on.
Can I store multiple cryptocurrencies in this wallet?
You can store millions of crypto tokens related to the Ethereum network, e.g., ETH and ERC-20 tokens. You can also store tokens that are compatible with EVM (Ethereum Virtual Machine), including Optimism, Arbitrium, Polygon, USD Circle, Tether, and many more. Often, these tokens are based on blockchains – known as Layer 2s -built to support Ethereum.
How does Rainbow Wallet compare to Coinbase Wallet?
Rainbow Wallet is Ethereum-focused. It was built to explore the vast and ever-growing world of Ethereum NFTs, DeFi, dApps, and related networks. Coinbase Wallet is more of an all-rounder, allowing you to hold non-Ethereum tokens like Bitcoin and Solana. In short, Rainbow Wallet is an Ethereum specialist wallet, like MetaMask. Coinbase Wallet is a multi-chain wallet.
Does Rainbow support hardware wallet integration?
Yes. Rainbow Wallet supports various Ledger and Trezor hardware wallets. You can find a guide on how to connect your Rainbow Wallet to a hardware wallet here. Hardware integrations are considered a good idea for an extra layer of security, as your private keys are stored offline, keeping them immune to online threats like malware.
How can I recover my wallet if I lose access?
Rainbow wallet is a non-custodial wallet. That means you are in control of your private keys. The benefit of that is that no third party can access your crypto. The flip side is that the wallet is your responsibility. You will be provided a seed phrase on activation of Rainbow Wallet. If you lose access to your Rainbow Wallet – losing your smartphone, for example – you can use the seed phrase to restore the wallet on another device. If you lose your seed phrase and private keys, you may never regain access to your crypto.
Security Best Practices for Using a Hot Wallet
The best crypto wallet providers like Rainbow, Trust Wallet, Coinbase, and others put a lot of effort into providing robust security measures to keep your crypto safe. However, there are always threats due to the fact these wallets are connected to the internet. There’s often debate over the safest hot wallets, but security should always start with the wallet owner. Consider the following important factors to keep your hot wallet safe:
- Back up your seed phrase (write it down & always store it offline)
- Never share your seed phrase or private key.
- Use a strong device passcode or biometrics where possible.
- Enable cloud backup.
- Always double-check URLs – use bookmarked links to dApps.
- Beware of phishing DMs and fake airdrops.
- Avoid using your hot wallet on public Wi-Fi.
- Keep wallet apps and your device software up to date.
- Use a hardware wallet integration where possible.