Metamask has begun testing a new technology to help Ethereum users collaborate with third parties to improve the efficiency and economics of cryptocurrency trading. If successful, this feature will give users more control over how transactions are performed, effectively changing the power shift between validators and users.
The “Transaction Routing” feature is being developed in collaboration with Special Mechanisms Group (SMG), a subsidiary of Consensys. MetaMask’s parent company, Consensys, confirmed testing of this feature to CoinDesk. The development of this feature marks a change in the blockchain paradigm, allowing for more user-friendly and effective transactions.
ETH trading prices are high and not suitable for small amounts of money. ETH is currently in a losing position because there are better options.
From ‘how’ to ‘what’
As SMG Director Jason Linehan confirmed to CoinDesk, the “transaction routing” being developed will be a new type of intent-driven protocol. Rather than requiring users to specify how to perform a transaction, these protocols focus on helping users achieve specific goals when performing a transaction.
This means users can decide whether to sell their tokens at the best price, improve transaction efficiency or reduce gas fees. Traditionally, users had to find the right “recipe” of conditions to make that result happen.
“Transaction Routing” will make this a thing of the past by allowing a third party to participate in the process to achieve the desired outcome on the user’s behalf. This approach has already been explored by other parties and is often replicated in mempools (both private and public), but has not been widely adopted.
What makes MetaMask’s approach unique?
Not many details are known so far, but Linehan said MetaMask’s approach will not be a “centralized solution” or “vertically integrated” like other intent-driven protocols. Instead, an approach similar to an “auction-based optimization method” can be used to differentiate new features.
According to Linehan, the feature is designed to be permissionless and has mechanisms to ensure that “searchers, builders and solvers” of all sizes can collaborate. The feature is also likely to be available as open source, which will affect how the project is licensed once it reaches that stage.
Some of the elements developed for this new routing technology already support MetaMask’s “smart swap” feature. As technological development continues, the functionality of the feature will continue to expand while remaining optional.
MetaMask’s expansion beyond Ethereum continues
In a move that reflects MetaMask’s efforts to expand its reach, the MetaMask Snaps plugin has now entered the Hedera ecosystem. MetaMask’s 30 million users can now use the Hedera Wallet Snap plugin to access Hedera applications where MetaMask-based features were previously unavailable.
The Snaps plugin was developed by Tuum Technologies to extend the functionality of MetaMask by allowing developers to create custom plugins. This means developers no longer need to rely on the Hedera JSON-RPC Relay, simplifying the development process and making Hedera compatible with EVM-based applications.
Hbar Foundation CEO Shayn Hygdon labeled the launch ‘pivotal’ and said that ‘more features’ would be announced in the future as it was ‘just the first step’. By allowing developers to extend the functionality of MetaMask in this way, the HBAR Foundation was born.
The ETH trading price must go down one way or another. Otherwise there would be no market for small ETH transactions.