Backpack Review: What Makes Solana’s First CEX Project Stand Out?

Backpack Review: Backpack is a blockchain wallet built to assist users in storing and minting xNFTs (Executable NFTs) on the Solana blockchain. Additionally, Backpack launched a CEX platform called Backpack Exchange in February 2024, which is currently very popular due to its points mechanism for airdropping to its users.

Table Of Contents

What Is the Backpack?
Products Of Backpack Review
Asset
Trade
Drop
Team
Partners
Investors
How To Create A Backpack Wallet On iOS?
How To Register An Account And Verify On Backpack Exchange?
Conclusion

What Is the Backpack?

Backpack is a blockchain wallet that supports the storage and minting of xNFTs on Solana, offering features such as token/NFT storage, messaging, connection with cold storage, and buying crypto with fiat. Furthermore, Backpack has expanded with its own CEX, Backpack Exchange, after being licensed by VARA. This exchange attracts attention with a “point” mechanism based on trading volume to airdrop to users.

Products Of Backpack Review

Backpack Wallet

Backpack Wallet is a cutting-edge crypto wallet that offers secure storage and innovative features. With support for Solana and Ethereum, Backpack lets you easily send, receive, and swap crypto assets. Plus, safeguard your NFT collection with locking mechanisms and explore the exciting xNFT ecosystem within the wallet. With complete control over your private keys and real-time on-chain transactions, Backpack is your go-to solution for managing crypto and NFTs. Key features include:

sending and receiving crypto assets
swapping crypto tokens
viewing and securing NFTs
connecting with Ledger (and other hardware wallets)
interacting with xNFTs
users own their private keys
on-chain transactions in real time
wallet recovery process
embedded mint and claim
token-gated chats
soulbound inventory
loyalty rewards
…and many more

Backpack Exchange

Backpack is a regulated centralized crypto exchange operating worldwide, offering streamlined KYC processes and multi-party computation for enhanced security. It ensures low latency order execution and enables customer self-custody. While spot trading is available, advanced features like margin trading and derivatives are upcoming.

The exchange operates under the Virtual Asset Service Provider (VASP) license from the Dubai Virtual Assets Regulatory Authority (VARA), the world’s first independent regulator for virtual assets. This ensures compliance with robust KYC requirements, investor safeguards, and regular audits.

Built on a private blockchain, Backpack Exchange guarantees security through decentralized consensus on all transactions. Founder Armani Ferrante emphasizes their commitment to high standards and innovation in centralized finance.

Audited by external researchers like OtterSec, Backpack’s smart contracts undergo routine scrutiny for security. Additionally, zero-knowledge proof of reserve smart contracts will soon be implemented, enhancing transparency.

Asset

Here is a comprehensive list of all the coins and tokens supported by Backpack Exchange for trading, including SOL, JUP, PYTH, BONK, JTO, MOBILE, WIF, HNT, RENDER, and USDT.

Trade

This is the platform where users can trade the tokens listed above. Backpack Exchange currently only supports spot trading with two types of orders: limit and market. Users will incur a transaction fee of 0.1%, and all trading pairs are linked to USDC.

Drop

This is where updates on transaction events specifically for Backpack Exchange will be posted, such as Refer and Earn (invite friends to trade), Trade and Earn, …

Team

Backpack was established by the crypto infrastructure company Coral, the organization behind the success of the NFT collection Mad Lads. Some notable members include:

Armani Ferrante: Founder

He graduated with a Bachelor’s in Computer Science from the University of California, Berkeley.
He worked at Apple as a Software Engineer from 01/2017.
In 04/2018, he moved to work as a Software Engineer at Counterfactual.
He joined Oasis Labs on 09/2018 as a Software Engineer.
He founded Coral and now serves as its CEO.

Tristan Yver: Co Founder

He graduated with a Bachelor’s degree in Finance from the University of Hawaii.
He worked at FTX in various roles such as Head of Special, Head of Strategy from March 2020.
By April 2022, he joined Coral and is currently the Co-Founder of Coral.

Partners

Backpack is currently collaborating with several high-quality projects on the Solana ecosystem such as Wormhole, Tensor, Zeta Markets, Banxa, etc. Additionally, Backpack is one of the projects committed to supporting Solana Mobile 2.

Investors

Backpack has successfully raised 37 million USD from 2 funding rounds.

Strategic round: Backpack successfully raised 20 million USD in September 2022 from investment funds such as: Jump Crypto, Multicoin Capital,…
Series A: Backpack successfully raised 17 million USD in February 2024, increasing the company’s valuation to 120 million USD from investment funds such as Placeholder, Amber Group, Wintermute, etc. Backpack will use this money to serve the future expansion strategy for Backpack Exchange.

How To Create A Backpack Wallet On iOS?

Step 1: Visit this link on the App Store

Step 2: Install the application

Step 3: Open the app and click “Get Started”

Step 4 – Choose the blockchain you desire here. CoinCu selects Solana, then chooses “Create a new wallet”

Step 5 – Backup your recovery phrases to a safe place, then click “Next”

Finally, after the setup, users can use the Backpack wallet to store or trade with tokens/NFTs

Currently, Backpack Exchange has a point system based on user transaction volume. The more a user trades with higher volumes, the more points they accumulate, thus increasing their chances of receiving an airdrop.

How To Register An Account And Verify On Backpack Exchange?

Step 1 – Go to https://backpack.exchange/ and choose “Sign up”

Step 2 – Enter your email and password

Step 3 – Verify Your Email

Step 4 – Choose your account type, here CoinCu will select Individual

Step 5 – Fill in your personal information

Step 6 – Verify your identity

Step 7 – Select the personal document you want to verify, then follow the instructions

After completing KYC, the successful interface will be displayed as shown below, and you can start trading

Conclusion

In this Backpack Review, Backpack is a specially designed blockchain wallet that supports users in storing and minting xNFT on the Solana blockchain. The launch of a CEX called Backpack Exchange in February 2024 has generated significant interest from the community, thanks to a points system for airdropping to its users. This is why the Backpack project is becoming hot on Solana.

CoinCu evaluates this as one of the top projects in the upcoming Solana ecosystem, following notable names like Jupiter. Trading on this CEX exchange is especially recommended to accumulate points for future airdrops. The Backpack airdrop could be “the next big airdrop” due to its potential.

DISCLAIMER: The information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.

William

In the fast-paced world of day trading, I've honed my skills for over six years using technical analysis tools and crafting short-term strategies. My expertise isn't from textbooks but from the trenches of online trading communities. I excel at reading chart patterns, applying technical analysis, and mastering risk management. "The market is about probabilities," I declare. As Editor at Coincu, I empower readers with the insights and strategies to conquer the dynamic world of day trading.