MetaMask Wallet: features, functionality, security, cryptocurrency support, costs, commissions

The world of cryptocurrency is now accessible to all types of users, and the latest services and features make online trading easier and safer. One example is MetaMask Wallet, a digital wallet external to exchanges and online brokers that allows you to interact with the Ethereum blockchain and store your assets in a browser extension. How does MetaMask Wallet work and how can I use it on my devices?

What is MetaMask?

MetaMask Wallet is a browser extension associated with the Ethereum blockchain that allows you to store and manage your cryptocurrencies in a wallet outside an exchange or online broker. It is compatible with several browsers including Google Chrome, FireFox, Opera, Brave and Vivaldi.

This wallet connects dApps to the Ethereum network, Binance smart chaine, and others, allowing less experienced users to easily use decentralized applications and manage smart contracts. Thanks to its functionality, any trading can be done without launching the Ethereum software: all you have to do is connect to the Internet, open a browser and go to the MetaMask extension. It was created online in 2016 by ConsenSys, a blockchain software company based in Brooklyn and founded by Joseph Lubin (already known as one of the eight Ethereum co-founders).

Key Features of MetaMask Wallet

1. User-Friendly Interface: MetaMask Wallet is designed to provide users with a simple and intuitive interface, making it easy for both beginners and advanced users to manage their Ethereum assets.

2. Security: MetaMask Wallet is built with robust security features, including private key encryption, secure password protection, and two-factor authentication, to ensure the safety of users’ assets.

3. ERC-20 Support: MetaMask Wallet supports all ERC-20 tokens, allowing users to manage a wide range of Ethereum assets from a single platform.

4. Decentralized Application (dApp) Support: MetaMask Wallet is designed to work seamlessly with decentralized applications, enabling users to interact with dApps in a secure and convenient manner.

5. Network Compatibility: MetaMask Wallet supports multiple Ethereum networks, including the Ethereum Mainnet, Testnets, and custom networks, giving users the flexibility to choose the network that best suits their needs.

Benefits of Using MetaMask Wallet

1. Convenience: MetaMask Wallet provides users with a seamless and convenient way to manage their Ethereum assets and interact with dApps.

2. Security: MetaMask Wallet is built with robust security features, providing users with peace of mind knowing that their assets are safe and secure.

3. Compatibility: MetaMask Wallet is compatible with a wide range of dApps, enabling users to explore the full potential of the Ethereum ecosystem.

4. User-Friendly: MetaMask Wallet is designed with a user-friendly interface, making it easy for both beginners and advanced users to manage their Ethereum assets.

5. Flexibility: MetaMask Wallet supports multiple Ethereum networks, giving users the flexibility to choose the network that best suits their needs.

How does the MetaMask crypto wallet work?

MetaMask is a browser extension and mobile wallet that allows users to interact with decentralized applications (dApps) on the Ethereum blockchain. It serves as a bridge between users’ browser and the Ethereum network, enabling users to securely store, send, and receive Ethereum and other ERC-20 tokens.

To use MetaMask, users first need to download and install the browser extension or mobile app. Once the extension is installed, users can create a new wallet by generating a seed phrase, which serves as a backup and recovery mechanism for their account.

Once the wallet is set up, users can add and manage their assets by viewing their account balance and transaction history, sending and receiving cryptocurrencies, and exchanging assets directly within the wallet. MetaMask also has a built-in feature that allows users to interact with dApps on the Ethereum blockchain by connecting to the dApp and approving transactions.

MetaMask also has a number of security features in place to protect user’s assets, such as seed phrases, two-factor authentication, and hardware wallet integration. Additionally, MetaMask uses gas fees to cover transaction costs on the Ethereum network, and it’s free to use the wallet itself.

What is MetaMask for?

Ethereum, and BNB is showing active growth as a robust blockchain platform for the development of decentralized financial or DeFi applications. At the same time, Ethereum is also a platform for NFT development, which has recently gained enormous popularity. The demand for decentralized applications (dApps) can be clearly seen in the example of CryptoKitties, which caused the Ethereum blockchain crash.

Since many users have difficulty interacting with dApps and blockchain-based tokens, MetaMask seems to be a promising solution. It mainly aims to lower the entry barrier to the dApps market and introduce the decentralized network to the mass market.

How to start using Metamask

1. Install the Extension: The first step to using MetaMask Wallet is to install the browser extension on your preferred browser.

2. Create a Wallet: Once you have installed the extension, you can create a new wallet by following the on-screen instructions.

3. Add Funds: Once you have created a wallet, you can add funds by sending Ether or ERC-20 tokens to your wallet address.

4. Interact with dApps: You can interact with dApps by clicking on the MetaMask Wallet icon in your browser and selecting the dApp you want to use.

To install MetaMask, you need to go to the browser section dedicated to installing extensions and plug-ins or follow the link. After searching for a wallet, you should click on the “Install” tab.

After installing the plugin in the browser to access it, you need to create a new wallet (or storage)

choose a password and save it with Security seed (a feature that allows you to easily and securely store your access key in the browser): by activating account synchronization, you can use the extension on any device and restore MetaMask on another PC, smartphone or tablet, if you lose your access key.

After configuring the wallet, the extension is ready to use. Among the main functionality of the wallet, the ability to receive and send ETH or other ERC20 tokens stands out. As mentioned above, you can use this plugin to connect to any decentralized application connected to the Ethereum or Smart chain network and use it to buy, exchange, and sell tokens (e.g., by accessing blockchain-based online games). To buy new tokens, click on the “Buy” tab in the wallet interface, select one of the available exchanges (such as Coinbase, PancakeSwap or ShapeShift) and enter the necessary information to complete the transaction (type of token desired and amount to invest).

MetaMask main screen

You will then be able to access the list of assets on the Assets tab and view your transaction history on the Activity tab.

Sending transactions is simple: click the “Send” button, enter the recipient’s address and amount to send, and select the transaction fee. You can also manually adjust the transaction fee using the “Advanced Settings” button, using information from ETH Gas Station or similar platforms to select a more appropriate gas price.

After clicking “Next” you can confirm or reject the transaction on the next page.

MetaMask transaction screen

To use MetaMask to interact with a DApp or smart contract, you typically need to find the ‘Connect to Wallet’ button or similar on the platform you are trying to use. After clicking on it, you should see a prompt asking if you want to let the DApp connect to your wallet.

The example above is for Panckakeswap, but a similar process should be observed for other DApps. Simply connecting to a DApp means that it can browse your addresses – it cannot access your assets. Once connected, you will be able to interact with the DApps and use its features.

What cryptocurrencies does it support?

Being connected to the Ethereum blockchain, the MetaMask wallet supports a limited number of cryptocurrencies. These include Ethereum (ETH) and any type of ERC20 token. Almost all known cryptocurrencies are supported on the Smart chain network.

What are the benefits of MetaMask?

•  Popularity – it is widely used, so users only need one plugin to access a wide range of Dapps.
• Simplicity – instead of managing private keys, users only need to remember a list of words, and transactions will be signed on their behalf.
• Saves space – Users do not need to download the blockchain because it sends requests to nodes outside the user’s computer.
• Integrity – Dapps are designed to work with it, so sending Ether in and out becomes much easier.

What disadvantages does it have?

• Third-party wallet – MetaMask stores private keys in the user’s browser. It is less secure than a hardware or paper wallet. It is a reasonable compromise for ease of use.
• External nodes – Instead of being a complete node, it relies on external nodes that sometimes have downtime, which can cause MetaMask to stop working.

What are the commissions in MetaMask?

By default, MetaMask runs on the Ethereum network and charges for transactions in ETH (“gas”). The exact amount of the fee depends on the network load at the time of the transaction.

Transaction fees in Ethereum have been too high lately. To pay less for transfers, you can use another network – such as Polygon, Fantom or BNB Chain.
What is MetaMask?

In the advanced version of the app, you can change the commission rate. The higher the price, the faster the transaction is executed. However, we don’t recommend to make the commission too low, otherwise the transaction might take a very long time or get “stuck” at all.

Features: How do I use dApps?

MetaMask allows its users to access any dApp running on the Ethereum blockchain, Binance smart chain, without opening special software. But what are these dApps?

• Compound and other DeFi protocols: these dApps allow you to lend or borrow tokens by charging interest on transactions.
• Cryptokitties: game dApps with animated graphics that allow you to create, buy and sell kittens.
• OpenSea: is an eBay-like platform for trading digital objects related to the world of cryptocurrency.
• Blockchain arcades: designed for online players, allowing them to use their tokens to participate in tournaments on supported video games.
• Digital Art and NFT tokens: is a very popular dApp among cryptocurrency users; thanks to this you can auction off any collectible item.

Is MetaMask safe?

MetaMask is a cold wallet, i.e., external to the network. Hot wallets operate within the blockchain software and are generally considered more secure and reliable. However, since its launch, MetaMask has not been subject to any notable theft or hacking attacks. It relies on Backup HD technology for its security protocols and uses a large community of developers to constantly update its open source code.

What coins can you hold on MetaMask?

Initially MetaMask only had Ethereum, but today all popular Ethereum Virtual Machine (EVM)-compatible networks have been added to it. You can connect new mainnetworks in the application settings.

As of early May 2022, MetaMask supports all cryptocurrencies of the following networks: Ethereum, Polygon, Fantom, Avalanche, Optimistic Ethereum, Arbitrum One, Aurora Network, Cronos, Harmony, Celo and EOS.

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Price, costs and commissions

MetaMask Wallet is a completely free browser extension. No money is required to install it and use it. This does not apply to transactions made within the wallet or to transactions made when interacting with dApps. Here it is possible, depending on the transaction performed, to charge fees or commissions, which vary.

The future of MetaMask

MetaMask definitely has many promising advantages when you think about the ease of connecting to dApps and the expanding DeFi ecosystem. It also provides better integration opportunities, as new dApps are developed with wallet compatibility in mind. On the other hand, it’s reasonable to wonder “is Metamask secure,” especially when the platform stores private keys in the user’s browser. So you may have to compromise on security for the sake of greater ease of use and interaction with dApps.

Alternatives to MetaMask

• Parity – Another browser-based wallet that provides access to Dapps and Ethereum transactions.
• Mist browser – A browser designed to access Dapps that works with the Mist wallet, a full Ethereum node wallet.
• MyEtherWallet is an equally popular online wallet based on Ethereum coins and tokens. It allows you to make transactions without having to download the Ethereum blockchain, but it does not integrate into Dapps in the same way.

Does MetaMask have its own token?

At the moment, the MetaMask project does not have its own token. However, in November 2021, Joseph Lubin, head of ConsenSys, hinted that this might change. The company commented again on this story just a couple of months later. COO Jacob Cantale called the introduction of a management token in MetaMask “an important aspect” in the decentralization process that will help put project management in the hands of the community.

At the same time, Cantale urged against counting on a generous airdrop of the token.

What are the advantages of MetaMask crypto wallet?

MetaMask application has a number of obvious advantages: a famous developer, a large number of cryptocurrencies, support service, additional functions and laconic design.

In addition, MetaMask is a non-custodial cryptocurrency wallet: its developers do not collect users’ private keys and Sid phrases. That is, address owners have full control over their funds.

The MetaMask plugin is partially open source – this allows independent developers to participate in the development of the application and to check and identify potential vulnerabilities in the program.

The role of MetaMask in dApp development

MetaMask’s open platform also plays a key role in driving Ethereum-based dApp development for coders and technologists. For developers building a dApp, Metamask is pre-loaded with fast connections to Ethereum and multiple test networks via Infura. These built-in connections allow developers to start building a new dApp on Ethereum without having to set up and run a full network node. This can be useful for aspiring entrepreneurs who want to start building right away, whether they are building a simple browser-friendly user interface (UI) or a full-fledged, network-ready dApp that will support an entirely new decentralized marketplace.

In addition, since MetaMask extensions are compatible with such popular browsers as Chrome, Firefox and Safari, the application makes it easier for developers to create new applications designed to work in traditional browsers. Thus, MetaMask’s role in ensuring dApp adoption is twofold: it provides a portal for end users to access dApps, and it also allows developers to simplify their path to bringing these applications to market.