Consensys acquires wallet infrastructure provider Web3Auth, with the specific amount undisclosed at this time

BlockBeats News, June 3rd, According to The Block, blockchain software development company Consensys announced the acquisition of wallet infrastructure provider Web3Auth, with the transaction amount undisclosed. This acquisition aims to enhance the user experience of its MetaMask wallet.

Consensys stated that this move is particularly aimed at addressing one of the "biggest risks" in self-custody processes — the mnemonic phrase management issue. According to data, approximately 35% of users have not backed up their mnemonic phrase, putting their funds at risk of loss. By integrating Web3Auth, MetaMask users will be able to create and recover wallets using familiar Web2 login methods (such as social accounts and device authentication) without the need to manually back up mnemonic phrases, thereby reducing the risk of fund loss.