What is MetaMask? How to trade with Metamask wallets

What is MetaMask?

MetaMask, one of the most widely adopted browser extensions, was founded by Aaron Davis and blockchain company ConsenSys. It serves as a crypto wallet connecting to the Ethereum blockchain. With the significant utilities, users are able to to interact with the Ethereum ecosystem, which hosts a universe of decentralized applications (Dapps) without downloading an entire blockchain on their device.

Therefore, it is one of the best Ethereum wallet solutions to gain quick access to decentralized applications (DEX), game platforms, betting sites and many other applications.

MetaMask wallets are compatible with popular browsers such as Chrome, Firefox, Brave, and Microsoft Edge. It not only stores ETH funds but also holds tokens built on the protocol’s ERC-20 and ERC-721 standards.

MetaMask serves as a crypto wallet connecting to the Ethereum blockchain

History and key features

MetaMask gained 400,000 users from the time it created the wallet in 2016 to September 2020. In October 2021, it acquired one million monthly active users. Prior to 2019, the Ethereum online wallet was only available as a desktop browser plugin for Firefox and Chrome. In September 2020, ConsenSys released the first official MetaMask mobile app for mobile devices on Android and iOS.

According to an audit by the Least Authority, Ethereum online wallets offer top-notch features and functions in terms of security and design.

What makes MetaMask more and more popular is its outstanding encryption technology, which securely stores passwords and personal keys in each user’s device.

Furthermore, users have capability to connect multiple wallets and switch between the Ethereum main network, the main testnets, and even the Binance Smart Chain.

How to install and create Metamask wallets on Chrome browser

Step 1: Go to https://metamask.io/, click [Download Now]

Step 2: Click [Install MetaMask for Chrome]. After that, you’ll be redirected to Chrome’s online store.

Step 3: Select [Get Chrome Extension] ⇒ [Add to chrome] ⇒ [Add] ⇒ [Done]. You’ll see an icon on the browser like this.

Once you're done adding, you'll see metamask's icon on the browser like this. — You’ll see an icon on the browser like this

Step 4: Click on the Metamask icon as above. Then click [Get Started], press [Create a wallet] to create the wallet.

Then click Get Started, click Create a wallet to create the wallet. — Click [Get Started]

Step 5: Enter [Import wallet] if you already have a wallet and remember “Private Key”. If not, click [Create a Wallet] to create a new wallet.

Read the terms carefully and select I Agree (I agree). — Read the terms carefully and select [I Agree]

Step 6: Read the terms carefully and select [I Agree]. Then enter the new password 2 times to confirm. Tick [I have read and agree to the Term of use].

Enter the password select for the wallet and confirm, and then agree to the terms — Enter the password for the wallet and confirm, and then agree to the Terms of Use

Step 7: Next you need to save 12 secret backup phrases, they are very important to back up and restore your wallet. Write this phrase on a piece of paper and store in secure location. If you want even more security, write it down on multiple pieces of paper and store each in 2 – 3 different locations. Anyone with this phrase can take your Ether forever.

Save these 12 phrases and be absolutely confidential. — Save 12 secret backup phrases

Step 8: You are required to reconfirm these 12 phrases, select the words in the correct order and press [Confirm] to end the wallet creation process.

How to trade with Metamask wallets

1. How to add an ERC-20 token to your wallet

To add ETH or ERC-20 tokens into your MetaMask wallet from another exchange or wallet, you just need to send the address of the account you want to receive the token.

Note: The ERC-20 network always defaults on Metamask wallets, the gas fee usually ranges from 20-50 USDT, depending on the trading volume and time of transaction. Your ETH balance in Metamask wallet should be always available to make gas fees.

To add token to the wallet, you just follow 2 extremely simple steps.

Step 1: Access to the extension and log in to open the wallet.

Step 2: Click [Add token], then enter the name of token that you want to add. Here’s the example of USD.

Click [Add token], and then you type the token name you want to add. — Click [Add token] then enter the name of token that you want to add.

Step 3: After you successfully add the token, hover over the account name. [Copy to clipboard] will appear on the screen.

Click [Copy to clipboard] to copy your account address and send it to the transferer.

You can take the same steps on the exchange where you want to transfer token to MetaMask wallet.

* Note: Remember to choose the right network of the receiving wallet to transfer from Metamask to the exchange or from the wallet to the wallet. If you choose the wrong network, your coin/token may be lost permanently.

Step 4: After entering the wallet address, you can completely choose the gas fee. The higher the fee, the faster the transaction.

One issue to note when using this wallets or DEX wallets is the gas price. The low GWEI adjustment has a direct impact on the pending transfer for quite a long time. One of significant features of this wallets is that you can adjust gas fees at will, as well as speed up transactions.

You are able to select the level of transfer such as: slow, average, fast. In the [Transaction Fee] section, click [Advanced Options]. You can customize gas here then click [Save]. Then enter the detail information and click [Next].

2. How to add custom tokens

Step 1: At the main interface of the Metamask wallet, select [Add token] >> [Custom Token]

Step 2: Enter the token address in the [Token Contract Addres] box. Then, select [Next] and you’ll add the token to it.

3. How to create more accounts on MetaMask wallet

If you want to manage many different accounts, you can create more accounts on MetaMask wallet quite easily as follows:

Step 1: Select account icon at the right corner, and then select [Create Account].

Step 2: Fill in the name you want in the [Account Name] box to facilitate management. Then click [Create] to finish the process. Try it, it’s quick and easy.

Fill in Account Name then click [Create]

MetaMask Mobile

The mobile version offers the same functions as desktop browser-based extensions. Therefore, it provides a key vault, secure login, token wallet, and token exchange and allows users to browse DApps based on Ethereum. Despite a hot wallet that was connected to the Internet, MetaMask makes it easy to connect to cold wallets such as Ledger, CoolWallet, KeepKey and Trezor.

What is metamask fee?

MetaMask offers the default gas fee for every transaction, depending on the state of the Ethereum network. In addition, users are given the option to change gas fees and gas limits through an advanced tab for customization of parameters.

The difference between the fee and the limit: the fee is the cost of processing the transaction, while the gas limit is the highest gas fee that the user are willing to pay.

Note that gas fees determine speed of transaction processing on the second largest decentralized blockchain. The higher the price, the faster the confirmation time. MetaMask divides gas fee options into “Fastest, Fast and Slow.”

Is MetaMask safe?

The online nature of MetaMask limits its level of security compared to cold-storage offline wallets such as Trezor and Ledger. However, the significant feature of MetaMask is the quick access to Ethereum DApp with easy setup and availability on both desktop and mobile platforms. In fact, it’s hard to imagine how the DeFi field would have evolved without MetaMask.

According to MetaMask, they do not have any control over personal or private data on their servers and everything is protected or encrypted on the user’s browser and password.

However, MetaMask is still considered as a hot wallet, because it is a software wallet connected to the Internet to store crypto assets. Hot wallets are often less secure than cold wallets, which are offline storage of crypto assets on hardware, the most secure form of crypto asset storage.

In addition, the wallet’s option to set gas limits above or below the average fee allows users to choose the transaction speed and fee they have to pay.