ConsenSys founder Joseph Lubin has officially confirmed that MetaMask will launch its own token and DAO. What exactly does that entail?
The developers fully control the popular MetaMask Web3 wallet, a team operating under the ConsenSys Software Inc. umbrella. ConsenSys has been at the forefront of Web3 and blockchain development for many years, with a strong focus on Ethereum-based tools and the associated infrastructure. As the most popular browser-based Web3 wallet, MetaMask notes thousands of users worldwide.
However, the ConsenSys team acknowledges it is time to take things to the next level. MetaMask will form a Decentralized Autonomous Organization (DAO) to achieve that goal. It will serve as a new way to fund the future growth of this wallet solution. Most people see DAOs as alternative governance models, yet they can achieve many different needs and goals. It is crucial to understand that the MetaMask DAO will not dictate project growth but serve as a funding mechanism.
What on Earth is a DAO? Check out our definitive guide.
Such a funding-oriented approach is not new in the DAO industry. Several donation-focused DAOs have popped up, including Endaoment, Charity Blockchain DAO, etc. In addition, MetaMask DAO aims to acquire external funding through its DAO, although no further specific details have been unveiled.
Read more on the complete overview of the DAOs ecosystem.
How Can I Contribute to the MetaMask DAO?
No information has been made available on how the MetaMask DAO will operate exactly. As it is not a traditional governance-oriented DAO, user participation will remain rather limited aside from financial contributions. Nevertheless, it is commendable to see ConsenSys pursue decentralization for the project and improve its utility, although many unknown factors exist.
Traditionally, users can contribute to a DAO through proposals and voting. The MetaMask DAO will — seemingly — have neither of those features. Instead, the team opts for a DAO to help fund "novel new pieces of MetaMask."
What Is the MetaMask Token?
It is common for Web3 and blockchain projects to create native tokens. Such a token can either offer exposure to project dividends or unlock additional utility. MetaMask will launch its token shortly, although details remain scarce. There is no indication of how the token will be distributed exactly. Users have high hopes for a Uniswap-based approach, where all users receive free tokens.
One aspect has been confirmed: The MetaMask token will not serve as a "cash grab." However, it is unclear what that means exactly, as recipients will look for ways to convert their MetaMask token to real money from day one. Moreover, the many decentralized exchanges can facilitate the trading of this token from the moment it is released, as anyone can set up liquidity pools with ease.
Metamask lead of operations Joseph commented on the token during ETHDenver:
"It's not something that we're going to wing and it's also not something where we're going to put our project in jeopardy of either regulators or give governance to 'airdrop farmers' or something like that."
For now, ConsenSys does not offer a specific release date for the token, nor have they mentioned whether the token would play a role in its DAO.
Should you come across a MetaMask token today, rest assured that is not a legitimate offering. Over the years, there have been numerous fictitious MetaMask tokens, as persistent rumors regarding such an asset grew stronger over time. Until the team — or ConsenSys — offers more details on how the distribution will occur and what the token entails exactly, there is no official token to speak of.
How Can I Get the MetaMask Token?
ConsenSys has yet to reveal how the MetaMask token will be distributed. However, it is plausible to assume the token will run on the Ethereum network, as MetaMask is an Ethereum-focused Web3 wallet solution. However, the team can airdrop the token to existing MetaMask addresses automatically, use a website for users to claim tokens, or take an entirely different approach.
Until more details are announced, there is no point in worrying over how to get the MetaMask token. However, the wallet has over 30 million active users, making the distribution a tricky logistical affair.
Will This Impact My MetaMask Wallet?
Neither the DAO nor the token will change the way people use MetaMask today. The Web3 wallet will retain all of its functionality and enable users to access decentralized applications (DApps) across all supported blockchains. CensenSys CEO Joe Lubin has confirmed that the team will change the overall user interface, which is rather clunky today.
No official release date for the new interface has been announced yet. However, it will - probably - come in the next update for the plugin, and users will automatically gain access to the new interface whenever that update is released.
Is This Related to ConsenSys Raising More Funding?
Some people may draw parallels between the MetaMask DAO/ token news and ConsenSys securing 4450 million in Series D funding. It is hard to say if one has to do with the other, although the funding will certainly aid ConsenSys in achieving goals and enhancing its overall product line. The $450 million in Series D funding puts ConsenSys's valuation at $7 billion.
The MetaMask token mustn't be a "cash grab" at that valuation. ConsenSys may also explore very unusual options to bring the token to life and distribute it accordingly. The token will reflect on the company and vice versa, and the stakes have recently been raised.
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