Ethereum Wallet MetaMask: Token launch will not be a “money grab”

Ethereum Wallet MetaMask: Token launch will not be a "money grab"

In short

  • MetaMask is the most popular Ethereum wallet, as measured by average monthly users.
  • Unlike some other Web3 projects, it has not yet tokenized its protocol.

Almost every major Web3 project has recently been bombarded with questions like “Wen token?” Tokens deposited on platforms such as Uniswap and Ethereum Name Service have turned users of the crypto platform into partial owners, with lucrative assets in their name.

But MetaMask, the biggest Ethereum wallet with over 30 million reported monthly users, has so far resisted the siren call.

“We believe really deeply in incremental decentralization and doing it over time and doing it in a meaningful way – and doing it in a way that’s not a cash grab,” Metamask COO Jacobc.eth says Decrypt at ETH Denver. (Disclosure: ConsenSys funds both MetaMask and an independent editorial Decrypt.)

Although he said a token would be “an important aspect” of being “community-owned”, he sought to temper expectations of when that would happen and what it would mean for the wallets of people. people.

“It’s not something we’re going to pilot and it’s also not something where we’re going to put our project at risk from regulators or give governance to ‘droppable farmers’ or anything like that,” a- he said, referring to a process by which people or companies (including venture capitalists) create multiple wallets to maximize earnings before new tokens are distributed to users.

Many cryptocurrency projects are, by necessity, centralized companies when they start out, with a central team driving the protocol until it gains traction. Once enough people are using the product, the team can then choose to shift responsibilities to users in exchange for compensation via a governance token. This token is used to vote on protocol changes and decisions regarding treasury allocations.

Decentralized exchange Uniswap had one of the first token drops for a Web3 token when, in September 2020, it distributed 400 UNI tokens to anyone who had ever used the protocol. At the time, UNI was trading at $3 on the stock exchange. In May 2021, it hit an all-time high of $44.97, according to CoinMarketCap. This means that anyone who has ever traded Ethereum for an Ethereum-based token on the DEX even once could have cashed out $18,000.

So, one could see why people would be asking for a MetaMask token. But the ConsenSys-born project is currently busy adding to its product, including the acquisition of the Ethereum wallet MyCrypto at the beginning of February. MyCrypto Founder and CEO Taylor Monahan has often highlighted the risks decentralized finance, an area that MetaMask and Uniswap have helped make usable. She also doesn’t want to see MetaMask messed up with a cash grab.

She said Decrypt at time of acquisition: “The ecosystem I want is actually very decentralized. It’s really about empowering people. No greed, no quick bucks.”

And to empower the entire cryptocurrency ecosystem, you need to start with the wallet used to hold those crypto assets.

Jacobc.eth said, “It’s important that this wallet belongs to all of us.”

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