LegalCenter
Home Wallet Architecture

Wallet Architecture

Technical breakdown of our Web2.5 Hybrid Ledger, Proof of Attention (PoA), and Gas-Free economy.

Educational Platform: All content on CoinBelieve is for educational and informational purposes only and does not constitute financial, investment, or trading advice. Always conduct your own research (DYOR).

The Web2.5 Thesis

CoinBelieve operates on a Hybrid Ledger (Web2.5). We utilize centralized efficiency for micro-transactions (XP/rewards) and decentralized rails (USDT/USDC) for settlement. This eliminates gas fees for users while maintaining cryptographic auditability.

1. Architecture Comparison

Why we chose a Hybrid Model over pure Web3 for the internal economy:

Feature Web 2.0 (Traditional) Web 2.5 (CoinBelieve) Web 3.0 (Pure DeFi)
Transaction Cost Free Zero Gas Fee $2 - $50 (Gas)
Speed Instant Instant (< 100ms) Slow (15s - 10m)
Micro-Rewards Not Possible Supported ($0.001) Unviable (Cost > Value)
User Onboarding Email/Password Seamless (No Wallet Req) High Friction (Keys/Seed)
Security Model Database (Opaque) Cryptographic Audit Chain Decentralized Consensus
Custody Platform Platform (Until Withdraw) Self-Custody

2. Why Web2.5? (The Rationale)

The Benefits

  • Zero Friction XP: Users earn "Proof of Attention" (PoA) rewards instantly while reading. Web3 would require signing a wallet transaction for every paragraph read.
  • Cost Effective: We absorb the infrastructure costs. In pure Web3, distributing $0.05 in rewards would cost $2.00 in network fees.
  • Recovery: If you lose your password, we can recover your account. In Web3, losing a seed phrase means funds are gone forever.

The Trade-offs (Valid Losses)

  • Centralized Custody: Unlike Web3, you do not hold the private keys to your CBX balance until you withdraw to an external wallet. You must trust the platform.
  • Closed Loop: CBX balances are internal to the CoinBelieve ecosystem until settlement. They cannot be traded on DEXs directly from the dashboard.

3. Proof of Attention (PoA)

We utilize a proprietary mechanism to validate organic engagement.

View Duration
Time-on-page analysis
Scroll Depth
Content consumption metric
Bot Filtering
Traffic integrity check

4. Security & Auditing

While centralized, our ledger mimics blockchain integrity protocols to prevent manipulation.

  • Cryptographic Chaining: Every transaction row contains the hash of the previous row. Altering a past record invalidates the entire chain.
  • HMAC Signatures: Balances are signed with a server-side secret key. Database injection attacks cannot forge valid balances.
  • Automated Reconciliation: An internal audit script runs every minute to verify the mathematical integrity of the total supply vs. wallet sums.

5. Legal Disclaimers

Important information regarding ownership and risk:

  • Custody: CoinBelieve maintains custody of the internal wallet keys. You hold a claim to the balance, not the private keys.
  • Risk Allocation: Users are responsible for securing their account credentials (2FA). CoinBelieve is not liable for unauthorized access due to user negligence.
  • Governing Law: All disputes are governed by the laws of India.
  • Settlement: Withdrawals are processed via USDT/USDC networks. Network congestion may delay settlement.
  • KYC Obligations: High-volume withdrawals (> $500 USD) may trigger Know Your Customer (KYC) identity verification requirements.