Although centralized exchanges provide convenient and diverse functions and services, to fully experience the cryptocurrency world and participate in DeFi, it is almost necessary to have a wallet under your own control to experience the charm and risks of decentralization up close.
Metamask is an EVM-compatible cryptocurrency wallet for IOS / Android / web browsers. As a tool for operating assets on the blockchain chain, crypto wallets have three main functions.
1 Generate private key
2 Initiate transaction
3 Use private key to sign transaction
Private key generates an on-chain address, which can receive and send encryption currency, store assets and initiate transactions.
Metamask Function 1: Store cryptocurrency and NFT. One of the functions of an encrypted wallet is to generate a private key. The private key can be used to calculate the public key, and the public key can be used to calculate the address. Only the corresponding private key can use the encrypted assets in this address.
Having an on-chain address with your own private key, you can store various encrypted assets in it, such as various cryptocurrencies or NFTs. The assets in the address can only be used by those who have the private key, so be sure to protect your privacy. Don't let the key go out.
Metamask supports the operation of the EVM chain. The address generated is the EVM address, which can only access the on-chain assets of the corresponding blockchain.
The second function of Metamask is to participate in DeFi operations. Using a crypto wallet, you can initiate transactions and sign them using your private key. You can manipulate the assets in this address, such as sending them to others or interacting with smart contracts. Only the owner of the private key can authorize these operations.
Decentralized finance (DeFi) is decentralized, peer-to-peer finance. The various interactions between addresses, addresses and contracts, and contracts are of great significance to us ordinary users. In other words, it is operated through the tool of encrypted wallet.
Currently, the number commonly used to compare the scale of DeFi is TVL (locked volume). According to data on DefilLama, Ethereum still occupies the most mainstream market, accounting for nearly 60%. Many of the remaining 40% are EVM-compatible chains, and almost all DeFi protocols on the EVM chain support Metamask. In other words, through the Metamask encrypted wallet, you can experience most of the current DeFi world.
Metamask Function 3: Supports cryptocurrency wallets of each EVM chain. One of the features of the Metamask wallet is that it supports EVM-compatible blockchains. In short, if it is an EVM-compatible chain, you can store and operate assets on the chain through the Metamask wallet.
EVM = Ethereum Virtual Machine
Ethereum is currently the most mainstream platform public chain, which can operate various smart contracts and Dapps on the chain. To roughly understand, EVM is like Ethereum The operating system of this chain.
Due to the mainstream status of Ethereum, many new platform public chains will choose to be compatible with EVM in order to facilitate people's development and migration, allowing people to use almost the same operating system in different areas. Operate on the blockchain, lowering learning and entry barriers.
Several common platform public chains, such as BSC, Polygon, Avalanche... are all EVM-compatible blockchains.
Through the Metamask wallet, you can operate cryptoassets on these blockchains at the same time.
Metamask itself is a real and very popular crypto wallet. Currently, there have been no large-scale security breaches. However, you still need to ensure that you have correct and safe usage habits to improve the security of your crypto assets.
Metamask is not a scam, but there are always criminals who will use Metamask to commit fraud. The most common way is to pretend to be an official unilateral party through email or other channels, asking you to Enter tags on the fake Metamask website.
Keep in mind the official website of Metamask. All other fake websites are not the official website of Metamask, and the official website will basically not contact any users. If you have any doubts, you can first seek confirmation from the official website team.
Tips: Never download and install wallet apps from unknown sources.
Create a new wallet: Be sure to back up the mnemonic phrase
When you open the App or browser extension for the first time, there will be two options:
● Create a new wallet Create a new wallet
● Import an existing wallet Import an existing wallet
After selecting to create a new wallet, the You need to set a password. If you are a novice using the wallet for the first time, there is an important concept that you must understand clearly: the wallet password is not the private key!
The password set here is mainly for an additional layer of lock protection. Every time you open the App or browser extension in the future, you will need to enter the password to unlock it before you can use it to prevent others from using the wallet through your device without your consent. This The password is stored on the App or browser.
It is not the private key. The private key is the key to controlling the wallet. The password is just an extra layer of protection on this device.
Lost private key> Lost control of this wallet and can no longer use the assets inside.
Lost password> I just cannot log into the wallet software of this device. You can still restore the wallet by reinstalling it or importing a mnemonic phrase into another device.
Tips: Regardless of the private key or password, Metamask will not officially save it. If you forget it, there will be no customer service to assist you in logging in. Please be sure to back it up and save it properly.
Backup mnemonic phrase: Mnemonic phrase is another way of presenting the private key, please be sure to back it up safely.
If you want to transfer the coins in the wallet, you must first confirm three things
Which chain is the coin to be transferred on?
Which address do you want to go to?
Which coin do you want to transfer?
Make sure you have answers to all three questions before starting the transfer.
How to directly use Metamask’s built-in Swap to exchange cryptocurrency?
There are various decentralized exchanges in DeFi, one of the common types is Swap exchanges, in which various tokens can be used to exchange for other tokens. But even if you don't use other exchanges, Metamask has built-in Swap function.
Just select Swap on the interface.
Select which currency you want to use (from) and which currency (Swap to). If successful, you can directly exchange the selected currency into the specified currency. The amount is according to Price exchange rate at that time.
Metamask itself is not a decentralized exchange. This function is similar to an aggregator. It cooperates with multiple decentralized exchanges at the same time. When someone places an exchange transaction request, the system will automatically calculate the current The best transaction path (that is, the most cost-effective transaction method), and then the transaction is completed through smart contracts.
The advantage is that it is convenient and fast, but the disadvantage is that sometimes the handling fee will be higher.
Although the Metamask Little Fox wallet itself is safe, if used improperly, the encrypted assets in the wallet may still be stolen or defrauded.
Tips: Please be sure to download the Metamask plug-in from the correct website at the beginning
The three most basic things to avoid being stolen or defrauded in an encrypted wallet:
Do not leak your private key Mnemonic phrase
Do not use phishing websites
Do not authorize fake smart contracts
Private keys and mnemonic phrases must not be leaked out. In addition, always ensure Devices using the Metamask wallet are safe. If the computer or mobile phone is infected or has a Trojan horse installed, the risk of theft increases. Also make sure that the websites you connect to are genuine official websites. Check the authorization content before authorizing the smart contract. Remember to remove the authorization if you have any concerns about risks.
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