Infura RPC will start tracking the IP addresses and Ethereum wallet addresses of users who make transactions using Metamask.
On Nov. 23, ConsenSys released an updated privacy policy agreement that said that starting with on-chain transactions, MetaMask would start logging users’ IP addresses and Ethereum wallet addresses.
However, the wallet’s developer, ConsenSys, explains that using Infura, the default Remote Procedure Call (RPC) application provided by MetaMask, will exempt users from the data collecting.
Therefore, users of MetaMask who are utilizing their own Ethereum node or an external RPC provider are not covered by the most recent ConsenSys privacy policy. Instead, the other RPC provider’s terms are in effect.
In accordance with ConsenSys, information obtained in this way 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 well-liked self-custody wallets available.The cryptocurrency community has largely responded negatively. Adam Cochran, a partner at Cinneamhain Ventures, for instance, said:
“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.”
In response to questions, the creator of the Uniswap protocol, Hayden Adams, stated that neither the decentralized exchange nor any third-party applications on the network are permitted to track IP addresses. Due in part to more stringent laws, ConsenSys has joined the ranks of significant Web3 businesses like Coinbase that have adopted IP collecting.