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The web is moving toward decentralization. Decentralized applications, or dApps, are forming an ever-growing ecosystem that promises new ways to use the web.
dApps like Uniswap allow you to buy and sell tokens without having to trust a middle man, giving users full control of their assets.
The De-Fi space (decentralized finance) gives you new ways to crowdfund, loan, and invest without having to go through a bank.
For the uninitiated, it might be difficult to navigate this space.
Where do I buy Ethereum?
How do I send my tokens to a peer?
How do I establish an identity in web3?
Applications like crypto wallets allow users to easily interact with the Ethereum blockchain and the thousands of dApps in its ecosystem.
It abstracts complex protocols into a simple interface accessible straight from your browser.
This article will go over what crypto wallets aim to do and provide a comparison between two popular wallets: MetaMask and Brave Wallet.
What is a Crypto Wallet?
Crypto wallets are applications that allow you to store and retrieve digital assets. They help with keeping your private keys secure yet easily accessible by users.
Crypto wallets don’t necessarily store your cryptocurrency the same way a wallet might store cash. Think of them more like a secure vault that contains proof that you are the owner of a certain amount of digital assets.
You can treat a crypto wallet like your own personal bank (not a bank account, but the whole bank itself!).
This allows you to make payments in dApps like Uniswap.
Connecting your wallet to these apps allows them to charge your wallet fees for doing certain tasks, like swapping coins or making a trade.
Both Brave Wallet and MetaMask serve as crypto wallets, but they differ in how they’re set up.
In the next few sections, we’ll take a look at each of these wallets and compare their features, advantages, and disadvantages.
Metamask
Metamask is a browser extension that allows you to easily interact with the Ethereum dApp ecosystem. It also serves as a crypto wallet for your ERC-20 tokens.
It can be installed in Google Chrome, Firefox, and Edge like any other extension or plugin.
After installing, MetaMask will ask you to write down a 12-word backup phrase. This phrase is needed if you ever need to back up and restore your account on a different browser or device.
The main MetaMask page looks similar to what you might find in an online banking application. MetaMask allows you to create multiple accounts, free of charge.
Since most dApps run on Ethereum, having some ETH in your wallet is a must.
MetaMask offers multiple ways to deposit Ether into your wallet. Their partnership with Wyre and Transak gives you the option to use debit cards to buy ETH yourself.
If you have another wallet with ETH or you bought some on an exchange like Binance, you can directly deposit some Ether by sending it to your account’s wallet address.
You might be asking yourself, how does MetaMask earn money?
Most revenue comes from swap fees, which are charged when users compare and swap tokens within the MetaMask app itself. A swap fee, or service fee, of 0.875% is automatically factored into each swap.
Swapping ETH with other tokens gives you even more flexibility when it comes to using dApps that require tokens other than ETH.
Key Features
Here are some key features of the MetaMask app:
- Buy, Sell, and Swap cryptocurrencies
- Easily connect to dApps
- Store NFTs and other digital assets
- Support for multiple chains
- Android and iOS mobile apps
- Easy to use interface. No need to provide an email address.
- Community Support
Pros
- Cross-Platform – MetaMask is available on a wide number of platforms including the App Store, Google Play, and browsers such as Google Chrome, Edge, and Firefox.
- Token support – As an Ethereum wallet, it is capable of interacting with most Ethereum dApps. The wallet also supports tokens from other blockchains, including Binance Smart Chain.
- Community Support. As of 2021, MetaMask has over 10 million monthly active users globally.
Cons
- As an extension, it is easy for anyone to provide a spoof download of MetaMask, leaving the victim at risk.
- MetaMask relies on external nodes which may have downtime.
- Since MetaMask leaves information on your device, it’s still prone to be hacked. However, this is the case with all hot wallets.
Brave Wallet
The Brave Wallet is the latest addition to the Brave Browser ecosystem. Brave is most famous for its BAT token, which aims to provide a blockchain solution to digital advertising and tipping your favorite creators.
The main difference between MetaMask and Brave Wallet is that the latter is built into the Brave Browser.
Brave argues that a browser-native solution addresses several risks that come with extensions. They also claim that it requires less CPU and RAM to run.
The wallet supports all ERC-20 tokens and tokens that are native to EVM-compatible chains and Layer 2 systems. This, of course, includes Brave’s own Basic Attention Token.
Comparing it with MetaMask, Brave Wallet looks remarkably similar in terms of features.
The wallet has some useful information on its main page. For example, you can view the price fluctuations of Ethereum without having to leave the app.
Similar to MetaMask, the Brave Wallet also comes with Buy, Send, and Swap options. The swap fee is equal to the fee used by MetaMask.
Key Features
Here are the key features of Brave Wallet:
- Buy, store, and trade digital assets
- Buy crypto with fiat using Wyre
- Connect to other web3 dApps
- See live market data from CoinGecko
- Import hardware wallets like Trezor and Ledger
Pros
- Easy to use interface
- more secure over extension-based wallets
- Built-in DEX aggregator
- You can add custom networks such as Polygon and BSC.
Cons
- Does not support BTC
- Mobile device support is still in Beta
- lack of widespread adoption. Many dApps still do not have built-in support for Brave Wallet.
Verdict
If you’re already a Brave user and have confidence in the growth of their browser ecosystem, then the Brave Wallet is the best choice for you.
However, MetaMask currently has more integrations with web3 applications and browsers.
Since both applications are easy to install and set up, it’s good to try out both before settling on either to be your main wallet.
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