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Solflare Launches Shield Hardware Wallet as Solana Ecosystem Matures

December 18, 2025

Video Transcript

We're at Salana Breakpoint here in Abu Dhabi, and I'm super excited to be joined by Philip Dragoslavich.

He's the co-founder and the co-CEO of Software.

Philip, thanks for coming on the show.

Thanks for inviting me.

So you've had some exciting announcements this week.

Maybe we start with those.

Tell me a little bit more.

Um, so today we basically announced our hardware wallet.

It's called the Sofa Shield.

We're very excited about them because we're in the wallet business for more than 5 years now.

You've seen everything and especially how both software wallets and hardware wallets have been developing.

Let's start with wallets.

Like, what does that actually mean?

What is their role in all of this ecosystem?

Uh, the role of wallets.

So, um, you need a wallet to basically connect to anything.

So, at the, at the forefront we have, uh, basically at the foundation layer we have the chain.

Then a part, uh, on top of the chain, you have the wallet, and then with the wallet, you can connect to any different apps out there.

So in order for you to actually experience Solana or any, any other different chain, you need to have a wallet.

So, in, in that wallet, you're basically storing all your assets.

So, all your assets in the wallet, this is how you interact with apps, and uh, the wallet is basically your window into the blockchain.

And There are software wallets and hardware wallets.

Software wallets are apps like software that you have on your, on your phone, and hardware wallets are an extension, as are, are an security extension to those software wallets.

So, the, the primary job of hardware wallets is to keep your private keys.

So, the, the information that, that information that you use to uh basically control your wallet, to keep it in an offline chip.

And never expose it when you're signing transactions.

Um, and that's like a huge step, uh, a huge security increase when it comes to the security of your assets.

That's why hardware wallets like are a staple of this industry.

So, whenever you, uh, as a crypto user, whenever you do like your first steps, immediately have someone you need to get a hardware wallet just to basically be extra secure.

Um, and that was like a natural progression for us, um, because we've seen, uh, as I said, the progression of both software wallets and hardware wallets, and we've seen that hardware wallets have become, um, unnecessarily complex.

So, the thing is, Uh, the current hardware wallets out there, they want to be supported by many different software wallets and on many chains, and when they want to be supported by all of them, they also need to basically compensate for some of these software wallets' shortcomings.

So, the hardware wallets actually rely on the underlying software wallets for security, and when the security is not there, then they, then they needed, uh, then they felt the need to step in.

That's why hardware wallets transformed from an offline chip to a whole device.

It has a screen that needs to charge, that needs to be connected to a cable or Bluetooth, and it's not truly portable because there are devices now.

And um we've seen that, uh, if we, if we remove those.

Uh, complexities.

If we just have a hardware that is just connected to software, we have peak security.

It can stay an offline chip, so that means you have way better UX.

There's no cables, no batteries, no Bluetooth.

It's just like tap the sign, you just tap it to your phone and it's, and its signs the transaction, and we can actually make it affordable.

So, uh, it, there's no point when a safe crypto journey starts at $150 because that automatically prices out so many people, uh, in the world.

So our hard wallet starts at $49.

It's like a third of that while you're still getting.

The peak security elements with the better UX, yeah, I mean, I think any friction points that you can reduce to bring more people into the space is a positive, right?

So that's 100, 100%.

And where do you see like the, the future of DI going with all the changes that have been taking place, whether that's on the regulatory side or with some of the improvements on the hardware side?

What's most exciting for you?

Uh, DIA, I, I think that we're going to see like the, the true emergence of DI next year.

Because, um, all of those protocols that have been around for years are now completely battle tested, um, so there are billions and billions of dollars being deposited into them, uh, without any hiccups whatsoever.

We've seen.

Uh, huge market volatility where DA protocols actually operated on the highest level and centralized services like exchanges actually had a lot of liquidation problems in the fact that basically didn't happen.

So I think that the world is waking up to uh the fact that those decentralized solutions where all the rules are known because they're in the code that you can read are better than centralized closed source uh alternatives.

Um, the regulatory aspect is also one that is getting way better, of course, uh.

Uh, with massive help from the US administration, who then pushes other administrations to think in that way because they don't want to basically fall behind.

And, um, with all of this combined, and the third thing is, uh, again, uh, making it all easier, as you said, remove friction.

So, I think that's one of the key, um, tasks for us as wallets because, um, we are the ones who are basically owning the customer relationship.

Uh, to make it as easy for people to use the 5.

So not jump through 6 or 7, steps, hoops to get anywhere, but make it as easy as a one click something to, I don't know, for example, um, Lend out your soul, so basically use your soul as collateral and use UDC um to make payments.

I think the collateral thing is a huge step, right?

Once you can start having more utility and doing things like that with your assets, I think it opens up a whole more financial markets, as it were.

Personally, I haven't sold.

I'm in the crypto business for what?

I, I, we started sold for 4 years ago.

I'm in crypto since 2017.

I stopped selling my soul, like, I think a year ago, because it just doesn't make sense.

I can loan it out, I can give it as collateral, well, still gives me 66.5% yield, and I borrow USDC or stables for 2.5%.

So that means that I basically get a loan for negative interest rates.

I wouldn't give away your arbitrage to everyone, then, then it might disappear.

I know we're definitely doing this and giving it to all software users because it's so cool.

Like that arbitrage opportunity alone is, is, is awesome.

Like it's if you tell that to a, to a regular person who's just used to the, to the banking ecosystem, their minds break.

They do, they can't even comprehend something like that.

But with DFA it's possible.

We just need to make it even more accessible for everyone.

I love that.

And then closing question, obviously we're here at Solana Breakpoint.

Your name is Sol Flair.

We have spoken about the arbitrage opportunities available in Seoul.

What it is, is it about Solana, the ecosystem, the, the layer one itself, like, why are you using that specifically?

So we are a salonna exclusive wallet, so we're never I know, I won't say never going to go multi-chain, but we believe we have a firm conviction that, uh, basically 90% of everything of value in crypto will be built on Solana, and that's because of two things.

So, one is, um, just the, the sheer technical capabilities of Solana.

Uh, there's no possibility for another chain to come in and be orders of magnitude better than Solana.

Because Solana is already operating close to, to the speed of light, especially with the newestops that are about to come.

So it can be faster.

We all, I mean, uh, the system is reliable at this point, and, uh, just there, there's no way something, someone can come in and basically be 10 times better than Solana is.

Like Solana came in when Ethereum was about, so Sona was.

I can't say 10 times is better, but in orders of magnitude is better than, than E competitive.

That's the technical part.

The second part is just the sheer breadth and um vibrancy of the ecosystem and the community.

So Solana has been around for a long time now.

Uh, we have a ton of apps on Solana, a ton of successful apps on Solana, successful apps that make revenue, that's something.

Which is usually in crypto quite unheard of.

Everybody's launching a token and then selling that token, but well Solana, we have actually a ton of apps that are making real revenue.

And uh with that, um, they provide a lot of value to users, that's why they're making a revenue.

So we have a lot of users, we have a, a vibrant ecosystem that actually makes money, and then combine that with the technical capabilities, you have the perfect flywheel for Solana to be really one of, if not the, the most dominant ecosystems in crypto.

Amazing.

Well, thank you so much, Philip, for coming on the show, for sharing your exciting news with us and for giving us those insider industry tips.

We really appreciate it.

Thank you so much.

It's a pleasure.

Thank you.

At Solana Breakpoint in Abu Dhabi, innovation across the cryptocurrency ecosystem was on full display, highlighted by new developments from Filip Dragoslavic, co-founder and co-CEO of Solana-focused wallet provider Solflare. Among the announcements drawing attention was the launch of Solflare Shield, a newly introduced hardware wallet designed to simplify how users secure and interact with digital assets.

The introduction of Solflare Shield is aimed at both experienced crypto users and newcomers. Drawing on five years of experience in the wallet space, Dragoslavic emphasized the critical role wallets play within the blockchain ecosystem. Wallets serve as the primary interface for interacting with blockchain networks, enabling users to store assets securely and authorize transactions. Every crypto transaction, he explained, fundamentally depends on a wallet, making it a core piece of blockchain infrastructure.

There are two primary types of wallets in the market. Software wallets typically operate through mobile or desktop applications, while hardware wallets provide an additional layer of security by keeping private keys offline. Hardware wallets are essential for protecting private keys, which represent the most sensitive cryptographic credentials tied to asset ownership. However, Dragoslavic noted that many existing hardware wallets have become increasingly complex, expensive, and intimidating for new users.

Solflare Shield was designed to address those challenges. Priced at $49, the device aims to lower the barrier to entry for crypto ownership. The wallet eliminates many common pain points by removing the need for cables, batteries, or Bluetooth connections, while still maintaining a high level of security. According to Dragoslavic, the goal was to strip away unnecessary features and focus on ease of use without compromising asset protection.

Beyond wallet innovation, Dragoslavic shared optimism about the future of decentralized finance. He believes the coming year will bring meaningful growth in DeFi adoption, driven by the increasing reliability and maturity of decentralized protocols. These protocols have continued operating through volatile market conditions, in contrast to some centralized services that have faced disruptions. Dragoslavic noted that users are becoming more aware of the advantages of decentralized systems, where rules are transparent and verifiable on-chain.

He also pointed to improvements in the regulatory environment surrounding digital assets. Positive signals from U.S. policymakers have helped create a more constructive backdrop for innovation across the crypto industry. Solflare’s broader mission, he said, centers on reducing friction for users, simplifying crypto interactions, and making advanced tools such as lending and collateralized borrowing more accessible.

Enhanced utility within DeFi was another major theme. Dragoslavic highlighted how users can now leverage digital assets to earn yields through lending without needing to sell their holdings. This capability represents a significant shift from traditional financial models and opens new opportunities for capital efficiency. Making these tools intuitive and widely available remains a key focus for Solflare.

Dragoslavic also reaffirmed Solflare’s exclusive focus on the Solana blockchain. He expressed confidence that a significant share of future crypto value creation will occur within the Solana ecosystem. Solana’s speed, reliability, and technical performance, he said, differentiate it from competing chains and position it for long-term growth.

He further pointed to Solana’s expanding ecosystem of revenue-generating applications, which remains relatively rare in the broader crypto market. This environment supports a growing community of developers and users while creating tangible economic activity across the network.

As the crypto industry continues to mature, products like the Solflare Shield may play an important role in expanding adoption by making security simpler and more affordable. Combined with advances in decentralized finance and the growing strength of the Solana ecosystem, Dragoslavic believes these developments are laying the groundwork for broader participation in digital assets and the future of decentralized financial infrastructure.

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