CDS Crypto News The Privacy Policy Scandal at ConsenSys
Crypto News

The Privacy Policy Scandal at ConsenSys

The Privacy Policy Scandal at ConsenSys
The Privacy Policy Scandal at ConsenSys

ConsenSys, the provider of Ethereum software solutions, has updated its privacy policy. However, the new additions seem to mean much less privacy for Ethereum users.

Silent Update

ConsenSys quietly updated its privacy policy on November 23. An article in it stating that Infura will collect more data from Ethereum transactions did not go unnoticed. Infura is a toolkit used for the creation of applications that connect to the Ethereum network. ConsenSys is the company behind Infura and MetaMask, the world’s most popular Ethereum wallet.

Now when using Infura, the default Remote Procedure Call(RPC) provider in MetaMask, your IP address and Ethereum wallet address will be processed as information data when you send a transaction. The update was noted by the Chinese industry organization Wu Blockchain. Several leading crypto experts commented on the update as ‘those who use their own nodes or RPC providers will not be subject to data collection’.

ConsenSys: Violation of Ethereum Privacy

Crypto communities showed their reaction quite quickly and harshly. The fact that a web3 application or platform collects user data is completely against the philosophy of blockchain, making this type of reaction predictable.

DeFi developer ‘Foobar’ has said it will stop using ConsenSys‘ apps. Also, the default provider cannot be removed from MetaMask, so users will “never be able to completely disable” Infura, he added.

“Zero reason to spy on users like this, assume malice until proven otherwise,”

Ethereum advocate Anthony Sassano suggested switching RPC providers, noting that it is “trivially easy”. Chris Blec, Web3 and decentralization campaigner, followed a tougher stance in his statement.

“Don’t ignore this stuff. This is how you will be canceled from the financial system in the not-so-distant future. This is how they’ll do it.”

The updated ConsenSys privacy policy contains other information about the data it collects in relation to the Codefi site and services. The data includes identity and contact information, financial data and transaction data, KYC information where appropriate. In addition, the system automatically logs data such as IP addresses, devices, browsers and operating system types.



Uniswap Incident

Uniswap had stirred things up with a similar update earlier this month. The updated new privacy policy revealed that DEX collects blockchain data and information about user devices, browsers and operating systems. However, unlike ConsenSys, Uniswap said it does not collect personal information such as names, IP addresses and email addresses. In response, privacy-focused crypto platform Firo issued a statement saying, ”This sets a dangerous precedent for DEXs.”



Written by

Yağız became interested in finance while studying international relations at Osmangazi University in 2014. He met blockchain technology in 2020 and never looked back. He is currently trying to participate in all blockchain events held in his region and develop himself in the field of blockchain.

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