What Is Rainbow Wallet? The Self-Custody App Behind $RNBW

Rainbow is made by Rainbow Studio, Inc. Its Terms of Use give a mailing address at 201 N. 8th St., Brooklyn, NY 11211 ⁶. The company says it has been building since 2019 and had 24 team members at the end of 2025 ¹⁰. In January 2026 it reported 209,677 monthly active users ¹⁰.

Ownership has an unusual layer. The Rainbow Foundation holds 20% of Rainbow's equity through a special share class, "Class F", and is described as its largest shareholder ⁷. Rainbow presents this as a way to tie the token to the company. Holding $RNBW does not, by itself, give you shares in Rainbow Studio.

Rainbow Studio says it is a software provider and is not regulated by any federal or state agency. Balances in the wallet are not covered by FDIC or SIPC ⁵.

Rainbow is a software wallet, not an account with the company. When you create a wallet, the app generates a 12-word secret phrase. The private keys are stored on your device ³. Rainbow Studio says it never has access to the phrase. It cannot move funds for you or restore a lost wallet ³.

Backup options:

• Write the phrase down and store it offline.
• Encrypted iCloud backup, built into the app ³. This is convenient, but the security of your backup then depends on your Apple account too.

Rainbow's support guides also cover importing an existing wallet, adding a wallet from a Ledger device and exporting your phrase or key to another wallet ¹². Rainbow's app code is published on GitHub ¹³. Its developer library, RainbowKit, lets other apps add a "connect wallet" button ¹³.

Rainbow now markets itself as a way to "trade any market from your phone" ¹. Its stated goal is to become an "onchain Robinhood" ¹⁰. The main features, as described by the company:

• Hold, send and receive tokens on supported EVM networks ².
• Swap tokens inside the app. Under its Terms, a swap is an interaction with a decentralized exchange, and Rainbow charges a swap fee ²⁴.
• Buy crypto with fiat through third-party payment processors such as card or Apple Pay providers, under those providers' terms ⁴.
• Perpetuals on crypto, the S&P 500, gold and oil, up to 50x leverage, powered by Hyperliquid ¹.
• Prediction markets from Polymarket, on sports, elections and other events ¹.
• Token launchpad, run with Liquid Protocol since April 2026 ⁷.

Perps and prediction markets run on third-party protocols with their own rules and eligibility. Leverage can wipe out a position quickly. Prediction markets may be restricted where you live. Check the provider's terms before trading.

Rainbow said in February 2026 that it supports 30 EVM chains, after adding 17 in 2025 ¹⁰. Because these are EVM chains, your wallet address is the same on Ethereum, Base, Avalanche C-Chain and other supported EVM networks. A token sent on the wrong network still arrives at your address on that network, but you need that chain's gas token to move it. The Terms describe Rainbow as an Ethereum-based wallet supporting ERC-20 tokens ²⁴.

The Terms list three cost layers ⁴:

• Rainbow's fee on swaps (and on other in-app transactions), shown in the app before you confirm. Rainbow can change it.
• Network (gas) fees, paid to the blockchain, not to Rainbow.
• Card, bank or processor fees on fiat purchases, which may be netted out of what you receive.

Rainbow did not publish a fixed swap-fee percentage on the pages reviewed. Read the quote screen. Users who don't stake $RNBW get 10% of their swap fees back as Rainbow Rewards. Stakers can get back 25% to 100%, depending on tier ⁸.

$RNBW is Rainbow's token on Base. It has a fixed supply of 1 billion and launched on February 5, 2026 ⁷. Its main use is in Rainbow's rewards and staking program.

Distribution ⁹:

The airdrop was based on past Rainbow usage. That included Rainbow Points, a program that started in December 2023 ¹¹.

Staking runs in the mobile apps. Staking 5,000, 10,000, 15,000 or 20,000 RNBW earns back 25%, 50%, 75% or 100% of your trading fees, paid as more staked RNBW. You can unstake at any time, but you pay a 10% exit fee that goes to the remaining stakers ⁸. Rainbow buys RNBW on the market for these rewards "at management's discretion", not on a schedule ⁸. Rewards therefore depend on company decisions and the token price. As of October 23, 2026, about 157 million RNBW was circulating ⁷.

• You are the only backup. Lose the phrase and the device, and the funds are gone ³.
• Transfers are final. A wrong address or network cannot be reversed by Rainbow ⁵.
• Approvals and dapps. Connecting to a malicious site and signing a request can drain a wallet. Rainbow says it makes no guarantees about third-party dapps ².
• Impersonation. Rainbow support is reached through the app, [email protected] or @rainbowdotme on X ¹². No one from Rainbow needs your secret phrase. See crypto phishing.
• Dated terms. The current Terms of Use date from December 2023 and do not describe perps, predictions or RNBW staking ².