Wallet and browser extension for decentralized finance (DeFi) MetaMask has teamed up with three crypto-focused custodians to attract more institutional capital to the market.
On Tuesday, the company announced new partnerships with BitGo, Qredo and Cactus Custody focused on MetaMask Institutions – a new product that gives institutional investors access to a wide variety of assets in the DeFi market.
ConsenSys, the Ethereum developer behind MetaMask, presented MetaMask Institutions in May. When asked how MetaMask Institutions works alongside the product’s existing functionality, a spokesperson told Cointelegraph:
“MetaMask Institutions offers the same functionalities and features as MetaMask – ie connectivity to a decentralized financial (DeFi) ecosystem consisting of 10,000 locations for trading, staking, lending and lending on all EVM compatible chains (Ethereum Virtual Machine). “
The biggest difference between MetaMask Institutions and the company’s main browser and wallet extension is how private keys are stored. The spokesman stated:
“In MetaMask, the keys are stored in the extension (unless the hardware wallet is linked to MetaMask). [MetaMask Institutional] built a software development kit (SDK) and application programming interface (API) that connects to qualified supervisors and monitoring technology stacks. This gives organizations unparalleled access to DeFi with the most trusted wallet in DeFi along with the private key storage the organization needs. “
The institutional offering also has integrated compliance functions to carry out know-your-deal analyzes across DeFi pools.
Decentralized finance has emerged as one of the most promising use cases in blockchain technology and cryptocurrencies. At the time of writing, nearly $ 195 billion in the total value of the DeFi ecosystem was tied up. According to industry data, Ethereum-based protocols make up almost 69% of the total. A new study by DappRadar published last week shows that the amount locked in DeFi has increased 936% over the past year.
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DeFi’s growth was driven by an increase in active users of MetaMask and other browser extensions. As Cointelegraph reported, MetaMask exceeded 10 million active users in August, a nineteen-fold increase in just over a year.