Cryptocurrency, which is believed to be the future of the modern economy and will soon take over the money market, had a humble beginning. It wasn’t until the year 2016, that this industry took off to be the household name it is today. The vision to make it an imminent part of the economy has recently taken its first flight towards reality.
Today we use cryptocurrency in all its forms. Amongst them, the most widely popular are Bitcoin (BTC) and Ethereum (ETH), without which transactions are considered incomplete in the Non-Fungible Token market (NFT market). There are many more currencies available too. However, the above two are known for their popularity across the globe.
The market size of this industry keeps on increasing with a growth rate of 12.8% between 2021 and 2030. Furthermore, the current market capitalization has already surged and crossed the 2.1 trillion dollar mark. However, the discussion is not about cryptocurrency or its evolution, but rather about Metamask and Coinbase, the two most popular cryptocurrency wallets. Both of these wallets continue to hold people’s undivided attention, and that is why today an analysis will be performed to see which one among these two can be considered a better crypto wallet.
Let us first start this discussion by defining both the variables: Coinbase and Metamask
Defining Coinbase
Launched in 2012, Coinbase is an American company that is considered a leading crypto exchange in the USA. It is also considered to be the first crypto company to list itself on the US stock market in 2021. considered to be the most easy-going, user-friendly product range in the entire line. The wallet is accessible in most countries around the world.
The coinbase wallet is designed in such a way that it can store thousands of tokens, including non-fungible tokens, which allows it to make payments in all Defi spaces and decentralized applications such as BitTorrent, Tor, and many more. The most interesting aspect of this wallet is that it itself has custody features that enable its authorization through only a private key that can be accessed by you and you alone.
Another feature that will hold your attention is its advanced-level institutional-grade security. It also provides a smooth connection to all parts of its ecosystem, and the interface of the wallet is easily connected through a mobile application, browser application, or any other mode.
Coinbase Wallet Feature at a Glance
Wide Range of Digital Assets Storage
The Coinbase crypto wallet allows users to store more than 44,000 digital assets, including Bitcoin, Litecoin, Ethereum, Binance Smart Chain, Shiba Inu, Dogecoin, and many more. Along with that, it also allows various other Ethereum Layer-2 solutions like Optimism and Arbitrum.
Premium Level Security
The Coinbase Wallet focuses a lot on security. As the wallet is decentralized or non-custodial, only users can access their wallet with the help of their wallet’s private key.
Users can also turn on biometric verification and set a password or PIN as an extra layer of security.
Insurance Coverage for the Digital Assets
With the increase in cyberattacks, it becomes very essential for users that their deposits are safe and secure. Thus, with the help of the vendor’s insurance policy, Coinbase ensures that if the assets of the users are compromised in any of these attacks, they will reimburse the entire loss.
High-End Privacy and Anonymity
Users have complete control of their wallets as they are non-custodial wallets. Also, there is no need for users to provide details like:
- Name
- Email Address
- Other personal information.
which further adds to their high-end privacy and anonymity.
Defining Metamask
After launching in the year 2016, Metamask gained massive popularity among crypto enthusiasts and professionals. While it is considered to be a convenient and easy-to-use wallet, security and privacy are its top priorities, which makes sure that they don’t collect any data provided by users. This wallet is considered to be part of the Web 3 model, where safety and freedom are considered superior. It supports almost all kinds of Ethereum-based tokens. That’s why, for anyone who is starting fresh, Metamask is the first choice, as the tokens can easily be kept, transferred, given, and received through this wallet.
Now that we have a brief idea of the background of both the wallets, let us move to the salient features of the wallets.
Metamask wallet features at a glance
It doesn’t store any user data.
When making a MetaMask wallet, users don’t have to give any information that could be used to find out who they are. Such as:
- Name
- Address
- The Social Security Number
On top of that, no information is taken from the wallet’s history of transactions.
Security is of utmost importance.
The topmost priority of the MetaMask wallet is to provide the highest level of security to its users. Thus, the MetaMask wallet is protected by a unique 12-digit seed phrase in addition to biometric protection.
There is also no technical support if the user forgets the 12-digit seed phrase, which makes the security layer even stronger.
People who own wallets can use a fake name in the form of a wallet ID to protect their real identities.
Just like security, privacy, and anonymity are also one of the top priorities of the MetaMask wallet; thus, they classify exchanges as “pseudonymous.” Although the blockchain transactions made through MetaMask aren’t truly anonymous, the wallet ID is used as a pseudonym because the transactions on the blockchain are logged publicly.
Thus, there is a significant focus on the privacy and anonymity of users.
It is an easy-to-setup wallet model.
The setting up of the MetaMask wallet is very easy. Users can download the browser extension for Google Chrome, Safari, Brave, etc., or the phone app for iOS and Android.
After downloading it, users will be asked to connect to their existing wallet if they have one, and there will also be an option to create a new wallet.
The Differences and Similarities of Coinbase and Metamask Wallets
There are many ways in which these two popular crypto wallets are different and the same. For example, you can look at their technical details, functions, security features, availability, and how they work with cryptocurrencies, supported tokens, etc.
Below is the table which lists the differences and similarities between Coinbase and Metamask Wallets.
|
Factors |
Coinbase Wallet |
Metamask Wallet |
|
Cost |
Free |
Free |
|
Beginner-Friendly |
Yes | Yes |
| Transaction Fees | 1.49% to 3.99% |
0.3% – 0.875% |
|
Open Source |
No | No |
|
Available Cryptocurrencies |
500+ different assets | All ERC-20 Tokens |
|
Wallet Type |
Browser extension and software wallet |
Browser wallet |
|
Security |
High |
Medium |
|
Hardware Wallet Compatibility |
No |
Yes |
| NFT Support | Yes |
No |
Which One is a Better Wallet: Coinbase or Metamask?
Both can operate on all kinds of platforms such as Android, iOS, web browsers, and many more, and their types of transactions are fairly similar. However, when it comes to transaction fees, Metamask is less expensive than Coinbase.
Therefore, Coinbase surpassed its competitor in terms of crypto-currency storage with 500+ varieties of all kinds of tokens, whereas Metamask can only store Ethereum and Bitcoin. Therefore, it has a storage limitation. The security of Coinbase is higher compared to Metamask.
Coinbase can be accessed from any country around the world. Metamask, on the other hand, faces restrictions in operation and cannot be accessible from all around the world. However, it provides certain options in such cases.
Furthermore, Metamask doesn’t perform well in terms of mobile application interface as compared to Coinbase. It also doesn’t provide a built-in exchange, whereas Coinbase does have a built-in exchange.
The last point is not a difference, but rather a community between both wallets. Transfer of data from one platform to another by importing is not allowed. Hence, currencies need to be individually added to the platform.
Final Thoughts
After pointing out the various elements that differentiate these two wallets from each other, one point can be held to the conclusion that even after years of consumption and holding a great reputation, it is difficult to identify which wallet is superior. Both have their uniqueness and shortcomings. Both hold their domains strongly and rightfully, never failing to garner more people’s attention. Now that finding a superior wallet is difficult amongst these two competitors, it completely depends upon the usability of the wallet.
If we go by the statistics, Coinbase holds more of a high-profile international background, and as far as Metamask is concerned, it’s more of a low-profile wallet. Nevertheless, it still has the potential to give tough competition to its competitors, even if they are giants like Coinbase. That way, opting for any of these two works if you are clear with your use of the wallet.
How Does Prolitus Help You in Developing a Crypto Wallet?
All kinds of cryptocurrencies need a crypto wallet as it provides them a safe avenue where users can store their digital assets and exchange funds with each other. So if you are looking forward to leveraging your business by adding a cryptocurrency wallet service that comes with enhanced security, and private keys, and assures complete control of your digital assets, then connect with one of our crypto wallet experts today who will help you in making a better decision.
