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Who Cares if Crypto Wallet MetaMask Exposes Your Ethereum History?

Who cares if crypto wallet metamask exposes your ethereum history?

Who Cares if Crypto Wallet MetaMask Exposes Your Ethereum History?

Several outlets and crypto programmers have pointed out for a year or more that MetaMask, by default, broadcasts your Ethereum public key (address) to websites you visit. The assumption is that this is a privacy vulnerability – most sites have no need for such information, after all.

The Next Web’s David Canellis writes:

“Sharing Ethereum addresses with any tracking service that requests it is certainly a little unsettling, but there are wider implications. Think of your Ethereum address as a unique identifier, you want to keep it separate from the rest of your online footprint at all times.”

Public Addresses in Ethereum Are Static

Crypto twitter

I’m not concerned that my Ethereum transaction history is public. | Source: Shutterstock

I question this logic. Public addresses are public for a reason. Indeed, the information should only be available on request, which is why MetaMask created privacy mode. However, the actual next web – the blockchain-enabled internet – is going to require wallets like MetaMask, Shutter, and TronLink.

More and more websites are going to have uses for the data these extensions can provide. Public keys can be used for more than just sending money. Signatures can be granted. Do you know how you grant all those sits permission to store cookies by clicking a button? Compare that to a cryptographically secure signature, in a legal sense.

Personally, I look forward to the day that some form of cryptocurrency will be in use nearly everywhere I visit on the web. Not in a way that makes the web more expensive, but in a way that makes it more vibrant. We’re closer than you might think.

The Risks of Crypto Wallet Data Being Collected

MetaMask critics don’t do much to justify why it’s such a bad thing if an advertiser knows your public address. Let’s consider the actual risks.

If you’re a public person, advertisers may be able to figure out who you are, and target ads at you. Or, worse, sell your data – complete with your MetaMask Ethereum activity – to interested parties.

Simply having MetaMask installed and activated already puts you in a certain bucket of targeted advertising. However, I’d assume that most people who would be concerned about their public address would already use an ad blocker. As much as I have a disdain for ad blocking, it’s exactly this type of invasive advertising it’s designed to prevent.

If you happen to have a lot of money in your wallet, and the tracker figures that out, they may know you’re more well-to-do, and target ads based on that. They might learn what kind of games and tokens you’re interested in, based on your holdings.

MetaMask also allows the integration of hardware wallets. A dedicated snoop might figure out a lot about your finances by studying your transaction history.

Is This Something Advertisers Are Looking for Right Now?

Ethereum wallet

MetaMask critics don’t do much to justify why it’s such a bad thing if an advertiser knows your public address. | Source: Shutterstock

All of which presupposes that advertisers are tracking such information at this point. But Ethereum, like all of the blockchain ecosystem, is still a relatively small subset of the global internet.

In this space, we firmly believe that it’s one of the many technologies that will make up the next version of connected humans and devices. Instant, unmediated access to money and transactions will be a reality.

By the week, it seems like it will happen within my lifetime. I’m continually impressed at the freedom granted by these blockchains.

Freedom and privacy go hand in hand. However, as Canellis’ article points out, the main reason MetaMask doesn’t enable privacy mode by default is that it breaks some decentralized applications.

How to Enable Privacy Mode in MetaMask

MetaMask integrated an update to limit “message broadcasting.” You can easily enable privacy mode by clicking the top-right icon and going into settings. The page looks like this:

How to use ethereum wallet metamask privately

How to keep your Ethereum address private when browsing sites that don’t need to know it.

I’ve enabled it for this article. But I don’t want to break the behavior of decentralized applications I use, so I’ll disable it now.

In general, I think it’s bad practice to use the same browser for dApps that you use for everything else, at least at this point. I use Firefox for everything, but when I want to use Tron or EOS or Ethereum on the web, I open up Chrome. You can have a separate profile in Chrome, allowing you to basically have a dApp browser.

As one of the first people to write on the subject noted:

“Instead, you should try to separate your web3 activity from the rest of your browsing activity. Chrome and Chromium browsers make it really easy to create separate browser profiles. These profiles keep almost everything about your browsing experience separate.”

If you’re upset about the privacy implications of MetaMask at this point, you have alternatives. Scatter and Scatter Desktop are extremely advanced options that allow you to use more than one blockchain.

Published at Mon, 01 Apr 2019 18:13:15 +0000

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Russian National Arrested in Greece with Ties to Money Laundering, BTC-e, Mt. Gox Theft

Alexander Vinnik, 38, has been arrested in Greece on a U.S. warrant. While he is suspected of running one of the largest online money laundering operations, additional reports are emerging naming him as the mastermind behind the Mt. Gox heist that sent bitcoin spiraling out of control in 2013.


The Man Behind the BTC-e Exchange

For almost seven years, BTC-e has operated as one of the oldest digital currency exchanges in the world. During that entire time, the people behind the company have been completely anonymous.

Until today.

The alleged mastermind behind a multi-billion dollar money laundering scheme and, according to sources close to the exchange, a key person behind BTC-e has been unmasked as Alexander Vinnik, a Russian national who was arrested today in Greece. Vinnik is wanted in the United States on suspicion of money laundering at least $4 billion USD through bitcoin transactions.

Vinnik is currently being held in custody by Greek authorities pending a U.S. extradition request.

Greek police have stated:

An internationally sought ‘mastermind’ of a crime organization has been arrested. Since 2011 the 38-year-old has been running a criminal organization which administers one of the most important websites of electronic crime in the world.

With Vinnik’s extradition, the U.S. investigation will go into full swing. This is the latest in a series of U.S. efforts to curb cybercrime worldwide. Last week, a multi-national coordinated raid involving the U.S. and several other countries resulted in the takedown of the Darknet site known as Alphabay.

BTC-e have long been known for their lax regulations user identity verification and their uncooperative nature when it comes to anti-money laundering organizations. Perhaps coincidentally, the exchange has conspicuously been offline since last Thursday, with the website currently citing “unscheduled maintenance” as the cause of the interruption of service.

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A feed of tweets from the BTC-e is on the site as well to keep users informed.

Ties to the Mt. Gox bitcoin Hack

Vinnik was also found to be in control of a sizable number of Bitcoins that could possibly be traced back to the hack of the Mt. Gox exchange back in 2013. A group of security experts known as WizSec published a blog post earlier today detailing how the hack took place. The group maintains that Vinnik has been their prime suspect in their years-long investigation into the bitcoin theft and that the same conclusions about his involvement were made independently by other teams working to uncover what really happened.

WizSec explains:

In September 2011, the MtGox hot wallet private keys were stolen, in a case of a simple copied wallet.dat file. This gave the hacker access to a sizable number of bitcoins immediately, but also were able to spend the incoming trickle of bitcoins deposited to any of the addresses contained. […] By mid-2013 when the funds spendable from the compromised keys had slowed to a near halt, the thief had taken out about 630,000 BTC from MtGox.

Mt. Gox Where is Our Money

Not only can the Mt. Gox coins be traced to Vinnik, but other less known heists can be traced to him as well.

According to WizSec:

Coins stolen from Bitcoinica, Bitfloor and several other thefts from back in 2011 and 2012 were all laundered through the same wallets.

Vinnik has denied all accusations against him in a Greek court of law. More information on this story will surely be released in the coming days, so make sure to stay tuned.

Do you think that Vinnik will be extradited to the States? Or will other countries try and lay their claim to prosecute? Let us know in the comments below, and make sure to check back at Bitcoinist.com for more information on this story as it unfolds.


Images courtesy of Japan Times, Reuters/Alexandros Avramidis, Shutterstock

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