MetaMask To Start Logging User IP, Ethereum Wallet Addresses With This New Policy

Zinger Key Points
  • ConsenSys updates privacy policy of MetaMask to collect users wallet and IP addresses, receives flak.
  • MetaMask has over 21 million active users.

MetaMask will start logging users' IP addresses and Ethereum ETH/USD wallet addresses during on-chain transactions, according to an updated privacy policy agreement released by the wallet's developer ConsenSys.

The data will only be collected if users use Infura, the default Remote Procedure Call (RPC) application provided by MetaMask, according to ConsenSys. 

Infura is a developer of blockchain tools and APIs that Consensys acquired in October 2019.

A software communication mechanism known as RPC enables Web3 apps to communicate with blockchains remotely.

Users who are utilizing their own Ethereum node or an external RPC provider will not be subjected to the ConsenSys privacy policy released on Nov. 23.

Instead, the other RPC provider's terms will be applied to them.

Also read: New FTX Chief Appalled By Mismanagement At Crypto Exchange Under Sam Bankman-Fried

User Information Can Be Provided To Affiliates, Law Enforcement

ConsenSys further stated that the information obtained may be provided to affiliates, during business transactions or to satisfy law enforcement-mandated Know Your Customer and Anti-Money Laundering regulations.

With more than 21 million monthly active users, MetaMask is presently one of the most popular self-custody wallets available.

Reacting to the announcement, Adam Cochran, partner at Cinneamhain Ventures, stated, “There is nothing more important than consumer privacy, especially when it comes to your financial data — you have a right to be anonymous. Metamask has provided a great free service for a long time, but their decision to log IPs and tie it to transactions is unacceptable.”

Hayden Adams, inventor of the Uniswap protocol outlined that neither the decentralized exchange nor any third-party tools on the network are able to trace IP addresses.

Next: El Salvador President Nayib Bukele, Tron's Justin Sun To Buy 1 Bitcoin A Day

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