What is MetaMask and How does it work?

Key Takeaways

• MetaMask is a non-custodial wallet.
• It allows users to interact with Ethereum without the hassle of downloading the blockchain fully.
• MetaMask allows users to store and trade every ERC-20 token.

The decentralized internet, or what we commonly refer to as “web3”, is based on the basis of decentralized apps, or dApps, and cryptocurrencies. However, to use the web3, you need to have access to a user interface that is preferably intuitive, user-friendly, and sophisticated. Crypto wallets act as the linkage between crypto traders and exchanges, and MetaMask is one of them. This crypto wallet relies on browser integration to serve as the main gateway to DeFi, Web3, and NFTs.

What is MetaMask and how is it used? 

MetaMask is a popular browser plugin that serves as a non-custodial wallet on Ethereum. Metamask provides users with complete control over their crypto assets and can be installed like any other extension on your browser. Users can store, transfer, and trade Ether and ERC-20 tokens after installing this plugin to transact with an Ethereum address. The wallet is equipped with a key vault, secured login, and token exchange – everything that you require to manage your digital assets.

As a trader, you can connect MetaMask to the Ethereum-based decentralized apps where you may choose to spend them in games, trade those coins on DEXs, or stake them in gambling applications. MetaMask also helps users enter the world of DeFi by acting as a gateway to DeFi apps.

If you are questioning, “is MetaMask safe?”, well, this browser extension is completely secure and free to read and interact with the Ethereum blockchain. Users can get access to passwords and keys that are generated by MetaMask and are only accessible to traders.  

Getting started with MetaMask 

MetaMask is known as one of the popular wallets that allows you to store and trade ERC-20 tokens. Owing to its popularity, one of the most common searches on the web is “How to use MetaMask in India.” Although it may seem overwhelming at first, it is, in reality, one of the simplest Ethereum wallets you can get your hands on that can be configured in just a few steps.

Step 1: Install the MetaMask extension on your browser

You need to install the plugin first to create a new wallet on MetaMask. You can easily find different marketplaces depending on which browser you are using. Visit the stores of the browsers, whether you are using Chrome, Opera, or Firefox. For example, go to the Chrome Webstore and click on the install MetaMask and add it to Chrome.

Or you can simply go to MetaMask.io and click the “Download” button that will redirect you to the relevant store to install the extension or app, depending on the browser or device you are using.

Step 2: Creating an account on MetaMask

Upon installing, you will be redirected to a splash screen. Simply click on the “get started” button to start creating your Ethereum wallet with MetaMask. The next step would be creating a wallet where you would be prompted to give a password. Make sure the password you are giving is at least 8 characters long, unique, strong, and hasn’t been used anywhere else. Try using a blend of upper and lowercase letters along with symbols and numbers. Upon setting the password, continue to the next step by agreeing with the Terms of Use.

After finishing this step, MetaMask will give you a 12-word backup phrase that can be used in emergencies. This phrase is primarily meant to be used for recovering your wallet if you ever lose access to it. Make sure you write down the backup phrase carefully or store it somewhere safe, as anybody with this phrase can get access to your account.  After you have stored the phrase, click next to confirm and next on “All Done” to complete the setup process.  

You can now deposit funds with your newly created Ethereum account. Let’s look at that process.

Step 3: Depositing funds in your wallet

In order to deposit funds, simply login to your MetaMask account and simply click on the “view account” option. View or share the public address with others while also having the option to purchase coins simply with your wallet address.

If you need to buy tokens, click “buy,” where you can get access to different networks and payment methods based on the location you are living in. Similarly, you can also request funds by sending a request for payment, sharing your public address, or showing your QR code.

You can also view the list of assets in the “assets” tab along with the past transaction records in the “activity” tab.

Step 4: Using MetaMask for dApps

In order to interact with a decentralized application, you need to locate an option like “connect to wallet” on the platform you are using. Connecting your wallet with a dApp means it can only view your address; it won’t have any access to your funds. If a payment needs to be made within the dApp, simply confirm the transaction from your MetaMask account to complete it.

MetaMask allows an investor or trader access to a number of dApps, as well as conducting safe transactions and user-friendly usage.

With that in mind, the Binocs platform can easily sync with MetaMask,  helps traders in India to get a comprehensive look into all of their crypto assets, and allows a look at all trades on MetaMask easily and calculate taxes on them. Sync your wallet with Binocs today. 

Frequently Asked Questions

1. Do I need to have ETH to use MetaMask?

ETH and every type of ERC-20 token, like USDT, DAI, and USDC stablecoins, are supported by MetaMask. If the transaction involves smart contracts on Ethereum, then you only need to buy ETH.

2. What cryptocurrencies are supported by MetaMask?

All ERC-20 tokens and stablecoins are supported by MetaMask.