Digital Wallets, Blockchain Addresses, and Keys


This is module 2 of 10 for the Blockchain and Cryptocurrency course.

Module 1 << | >> Module 3

Readings

Cryptocurrency Wallets

Cryptocurrency Accounts

Public and Private Key

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Self-Directed Learning

  1. Set up a digital wallet. There are many different wallets out there. You should do some research about what is available. We will be using MetaMask later in the course, so if you are new to this, you may want to start by using MetaMask as your wallet.
  2. Buy some ETH. You should buy some ETH in addition to your Bitcoin. You can use the same seller as in module 1 or try a different seller.
  3. Transfer some AVAX or ETH into your wallet. Once you have a wallet (with an address), you should be able to transfer some AVAX or ETH into the account managed by your wallet. (You will be using AVAX in Module 3.)

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Online Discussion of Module Topic

Write down your thoughts and experiences while you’re learning. For this module, this should include writing about your experience of setting up a wallet and starting to use it. Here are some prompts for you to consider:

  • Why is it important to become familiar with wallets as it relates to keys?
  • How did you decide on a particular wallet?
  • What information did you need to provide to set up your wallet?
  • What information did you need to record when you set up your wallet? Why?
  • What types of fees did you pay for the transferring the cryptocurrency into your wallet?

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Technical Exercise

The technical exercise for Module 2 is an introduction to a toolset for developing applications and sending transactions on the Ethereum blockchain using Alchemy and Metamask. 

Step 1. Read “The Basics” on the ethereum.org article Sending Transactions using Web3

Step 2. Use the links in the Note at the end of “The Basics” to create a free Alchemy account and a Metamask account. (If you did not install Node.js and NPM in the Module 1 Technical Exercise, you should complete those instructions as well.)

Alchemy is a web3 development platform. It can be used to send transactions to the Ethereum blockchain. There are several options presented when you create an Alchemy account. It will ask you what type of project you would like to build:

This is not a critical choice, but selecting “Wallet” is a good place to start. It will ask you the blockchain on which you want to develop and Alchemy currently supports 6 chains: Ethereum (most popular), Solana, Polygon, Optimism, Arbitrum, and Astar. Start by selecting Ethereum. Lastly, when it asks how you heard about Alchemy, please put “DePaul University.”

Metamask is a digital wallet for Ethereum and several other blockchain networks. You can create a Metamask wallet either by downloading the application as a Google Chrome extension or by using the Metamask mobile app. When you create a Metamask wallet, you will be given a 12-word Secret Recovery Phrase. Make sure to write down this phrase in a safe place. There is no password recovery for Metamask, so your Secret Recovery Phrase is your account backup. Once you have successfully created a Metamask wallet, you will have your own address on the Ethereum blockchain! If you view “Account details” on Metamask, you will see your full address that begins with “0x.”

Step 3. Create an Alchemy App on the Goerli Ethereum Testnet, as explained in step 1 of “Steps to Sending Your Transaction.” The guide refers to the Rinkeby testnet, but we are going to use the Goerli testnet because Rinkeby has been deprecated (it is no longer supported). Here is an article about the Goerli testnet.

From the Alchemy site, click on the button “+ Create App”. You can then give your app a name and a description like the following:

Select the Goerli Network. Once you create the app, it will then be listed in your application dashboard on Alchemy.

Step 4. Request ETH from the Goerli faucet, as explained in step 2 of “Steps to Sending Your Transaction.” However, you do not need to use the “Alchemy Rinkeby faucet” link in the instructions, because it simply explains that the Rinkeby faucet has been deprecated. You can go directly to Alchemy’s Goerli faucet to get free testnet ETH by clicking here: goerlifaucet.com. To request testnet ETH, you will need to login to your Alchemy account using the button in the upper right of the Goerli site. Once your Alchemy account is connected, all you need is an Ethereum address from your Metamask wallet. Go to Metmask and copy your Ethereum address (begins with 0x) into your clipboard. Go back to the Goerli site, paste your address into the address field and click on “Send Me ETH.” Go back to your Metamask account, click on the down arrow next to “Ethereum Mainnet” and click on “Show/hide test networks”:

You should then see the Goerli test network listed. Select the network. You have successfully completed this step when you see 0.2 GoerliETH listed in your Metamask account. Congratulations!

Step 5. Fetch the Module 2 updates on the course GitHub repository. The course README includes instructions for Fetching Course Updates.

Step 6. Copy your PUBLIC Metamask Ethereum address and paste it in your Module 2 assignment on Github. The instructor will confirm receipt of the test ETH by this address using Etherscan.