MyEtherWallet Review: Features and How to use it?
MyEtherWallet is an easy to use wallet, mainly used for storing Ether. Today at BlockchainBiome, we look at MyEtherWallet review, how to send/receive tokens using MyEtherWallet, what is MyEtherWallet, how to set it up and the pros and cons of it. This comprehensive MyEtherWallet review and guide are all you need to get started with this service.
Myetherwallet is an open source interface that is used for storing cryptocurrencies. Initially starting with Ether (ETH), the number of cryptocurrencies that it supports has increased substantially over the years. Started in 2015, Myetherwallet has gradually grown to become one of the most trusted wallets in recent times.
Myetherwallet has no control over the users’ passwords and the users are solely responsible for the security and safety of their wallets. It does well to align itself to the principles of decentralization and removal of trusted third parties, which, were essential principles during the formative period of the blockchain.
So let’s start with MyEtherWallet review now.
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What is MyEtherWallet?
I can tell you what it is NOT: It most certainly is NOT a bank or a storage base. MyEtherWallet claims to be a simple interface that facilitates users in the process of sending cryptocurrencies such as Ether (ETH).
MyEtherWallet is convenient to use and has great support for hardware wallets. They provide you with a public key for carrying out transactions and a private key for managing, controlling and accessing your wallet.
MyEtherWallet claims to be an interface. It works by generating a set of cryptographic numbers. This set consists of a private key and a public key. The public key is an address through which other people can send cryptocurrency to your wallet.
The keys are handled inside the browser, that is, handling takes place entirely on the client side. MyEtherWallet has no control over how the private or public keys are stored. In fact, they have no way of accessing this information.
The users must be careful not to disclose their private key as this would enable other people to access their wallets. For transaction purposes, only the public key needs to be provided.
The interface that MyEtherWallet provides allows users to interact and participate in the blockchain. The blockchain is a distributed ledger that keeps track of all the transactions that take place. For example, an instance of some person sending you Ether would be recorded on the blockchain as a transaction. The entire system is stored and maintained by miners, who validate the transactions through cryptographic solving of the puzzle presented to them.
The data present in your wallet, including the balance, is a particular view of the blockchain. MyEtherWallet has no control over this data. They do not have personal systems that store any information.
Why MyEtherWallet is not a bank?
MyEtherWallet is merely a facilitating tool. On the other hand, a bank has complete control over the funds and transactions that you own.
In other words, you trust the bank to manage your money. The bank, in turn, can impose any form of restriction on the way you use your money. Banks also take a large chunk of the transaction costs as commission.
Contrary to a bank, MyEtherWallet does not impose any restrictions on your spending and does not take a commission.
Banks also keep track of the user’s information, such as passwords, personal information, balances and of course, the money. All operations involving the bank generally cost a hefty amount. Banks provide services for which users must shell out money.
MyEtherWallet does not keep any information. Like I have mentioned earlier, they merely provide you an interface that allows you to view the blockchain and transact.
Banks can also recover your lost passwords. However, once you lose your password (private key) with MyEtherWallet, there is no way of recovering your key or wallet. While a bank system is jointly responsible for the security of your account, with MyEtherWallet, the user is solely responsible for the security of the account.
The private key is used for accessing the wallet. Anybody with your private key can access your account and carry out any form of malicious activities. It is imperative that you do not lose or disclose this private key. The loss of this private key will invariably result in loss of access to the account.
The private key is also sometimes referred to as the mnemonic phrase or keystore file. There is no method set in place that would allow the recovery of your private key once you lose it.
Keeping your private keys safe
Conformity to the principles of the Blockchain
MyEtherWallet stays true to the concepts of distributed trust and decentralization of blockchain. It aims to remove authoritative entities such as banks, exchanges, and financial institutions and provide the user with complete control over the accessing and managing of their funds.
This results in the elimination of trusted third parties. As a result, this eliminates the need to pay an extra commission to these third parties.
It is also strongly supported by cryptographic security since it is a part of the blockchain network.
MyEtherWallet provides support for hardware wallets like TREZOR and Ledger Nano S. These keep the private keys secure.
How to Create a Wallet in MyEtherWallet?
The passwords you have stored on the USB or paper can also be lost. Some of the reasons for this loss can be lost USB drive, a lost piece of paper, wet paper or dead hard drive. It is, therefore, the responsibility of the user to be careful and mindful of the ways in which he/she chooses to store the private key.
How to Access Wallet on MyEtherWallet?
Once the creation of the wallet is done, you would need a way to access it. You would need your private key and the password you entered while creating the MyEtherWallet account.
Is MyEtherWallet safe?
It is recommended that you first send a small amount of Ether or tokens from your wallet on MyEtherWallet to test it before actually transacting huge amounts.
For additional safety, you could repeat this process for every transaction. That is, send a small amount of the tokens to the destination before actually sending the desired number of tokens.
MetaMask or EtherAddressLookup Chrome Extension, which, is the MyEtherWallet Chrome extension should be installed for enhanced security. These extensions protect you from malicious websites that aim to steal your private keys.
A hardware wallet would also be a great option to secure your keys. This option would cost you a little extra, but, if you plan on having large amounts of cryptocurrency on the wallet, you might as well spare some money to ensure its safety.
TREZOR and Ledger Nano S are supported by MyEtherWallet. Hardware wallets are more than handy in cases where users have misplaced, destroyed, or had their private keys stolen. Losing the private key would mean the loss of access to the wallet and to all the Ether and tokens present within it.
The hardware wallets are desirable due to their simplicity. If you want to ensure that you do not want to lose your funds, this is a must-have. MyEtherWallet recommends using hardware wallets for all users who have at least one week’s worth of salary stored in their wallets.
The integration of MyEtherWallet with these hardware wallets ensures that you can use interface(s) that you are already familiar with. The device signs transactions and holds the key. So, your private keys are never sent over the internet and phishers, hackers and malware cannot get to them.
The hardware wallets are extremely safe, but, these can be compromised too. But, the chances of that happening are extremely low and the additional safety net is definitely worth the money you would have to pay for it.
How to send tokens from MyEtherWallet?
How to receive tokens from MyEtherWallet?
To receive tokens on MyEtherWallet, all you would have to do is send the public address of your wallet to the sender. The sender would then have to carry out the steps mentioned in the ‘How to send tokens from MyEtherWallet’ section to send the tokens.
You will receive these tokens once the sender confirms the transaction and the transaction is validated on the blockchain.
MyEtherWallet supported tokens
Most ERC20 compliant tokens are available on MyEtherWallet. It has a wide range of tokens and these can be viewed using the ‘Show All Tokens’ option. You can even add a custom token by choosing ‘Add Custom Token’ while sending.
Wrapping up MyEtherWallet Review
So, is MyEtherWallet safe? It most definitely is. The wallet has a wide range of cryptocurrencies and has a good system in place. It is a reputed wallet and can be used without too many worries.