Simplified reasoning on why passkey-based web wallets will win:
- Builders will prefer it because their activation rates will skyrocket.
- Users will prefer it because it's significantly easier.

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How does backup and recovery work with passkey based wallets?

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Passkeys can be saved to iCloud or 1Password - recovery is very easy. 

You will be able to add additional signers over time to your web wallet.

Capsule

Really varies by provider! /capsule has a non-passkey based backup in case you clear storage or lose your phone, but in some cases unfortunately you’ll lose the wallet