Hassan Maishera
TL;DR
-
Consensys has completed the acquisition of wallet infrastructure provider Web3Auth in an undisclosed deal.
-
The acquisition will help improve the user experience on MetaMask
Consensys Completes Web3Auth Acquisition
Blockchain software developer Consensys has completed the acquisition of allet infrastructure provider, Web3Auth, for an undisclosed amount. The acquisition seeks to enhance MetaMask's user experience.
According to Consensys, Web3Auth will address seed phrase management, one of the biggest risks in self-custody. Thanks to this acquisition, MetaMask users can create and recover wallets using Web3Auth's familiar web2 login methods, like social and device-based authentication.
This feature eliminates the need to back up seed phrases manually and lowers the risk of losing funds. The firm added that the acquisition speeds up MetaMask’s support for non-EVM chains like Solana and Bitcoin. MetaMask added support for Solana on its web-based browser extension a few days ago and is working on offering full Bitcoin support in the next quarter.
The acquisition also allows developers to embed wallet SDKs and key management tools for a smoother onboarding experience. While commenting on this latest development, Consensys co-founder and CEO Joseph Lubin stated that,
"Integrating Web3Auth's cutting-edge authentication technology aligns with our mission to make web3 universally accessible. This integration enhances MetaMask's capabilities significantly, embodying our belief that the best web3 wallets will seamlessly integrate an infrastructure that supports a wide range of empowering features. These include frictionless onboarding, customizable interfaces, extensive ecosystem connectivity reminiscent of a mycelium network, configurable security for varying needs, and maximal protections in high-security contexts."
Web3Auth CEO Zhen Yu Yong added that
"This is a monumental step forward for the team at Web3Auth. We are proud to join forces with Consensys to bring our wallet infrastructure to millions of MetaMask users, simplifying access to web3 through seamless and secure authentication. We're excited for this next chapter, which unlocks powerful new capabilities for developers, including deeper integrations into MetaMask and the wider web3 ecosystem for their users."
According to Consensys, MetaMask's Web3Auth integration will roll out in phases, starting with a focus on developer tools and seamless embedded wallet adoption. The initial phase includes integrating Infura's JSON RPC capabilities into Web3Auth's wallet solutions, connecting Web3Auth embedded wallets with the MetaMask Delegation Toolkit, and enabling two-way access between the MetaMask for Developers and Web3Auth dashboards. The team is planning to integrate all features over the next few weeks.
