Understanding the Metamask Transaction Lifecycle: A Step-by-Step Guide
Metamask is a popular web wallet and decentralized application (dApp) platform that allows users to interact with various Ethereum-compatible applications without having to worry about the complexities of transaction verification. However, when sending funds from one address to another using Metamask, multiple transactions take place in the background, which can be overwhelming for new users. In this article, we will break down the Metamask transaction lifecycle and explain what happens during each step.
Step 1: Transaction Creation
When you click “Send” in your MetaMask wallet, a new transaction is created to send funds from address A to address B. Here’s what happens:
- The transaction is initiated by your MetaMask app, which sends a request for a new transaction to the Ethereum network (Ethereum.org).
- The EVM (Ethereum Virtual Machine) creates a new transaction and generates a unique identifier called a “transaction ID”.
- A transaction structure is created that includes the sender’s address, the recipient’s address, the gas limit, the gas price, and other relevant information.
Step 2: Gas Price Calculation
Before the transaction is sent, MetaMask calculates the optimal gas price for your transaction, taking into account factors such as:
- The complexity of the transaction (e.g. using complex contract functions or calling external libraries)
- The number of gas units required to execute the transaction
- The estimated gas prices on the Ethereum network
MetaMask uses a smart contract called “gasPriceEstimator” to estimate the optimal gas price. This contract takes into account several factors, including:
- The user’s MetaMask balance (to ensure sufficient funds for the transaction)
- The sender and recipient addresses (to minimize gas costs)
- The transaction structure and complexity
Step 3: Gas Payment
Once the gas price is estimated, MetaMask will request a gas payment from your MetaMask account. This includes:
- Sending a request to the Ethereum network to pay for the amount of gas
- Using the gas prices calculated by “gasPriceEstimator” as the basis for payment
Step 4: Transaction Verification
After the gas price is paid, the transaction is verified and executed on the Ethereum network:
- The EVM checks the transaction structure and makes sure it follows the specified rules
- The transaction is sent to the network for validation and confirmation
- If the transaction passes validation, it is added to the blockchain and a “block” is created
Step 5: Block Creation
When multiple transactions are combined into a single block, they are bundled together and created as a new block. This process is called “block merging.”
Step 6: Transaction Settlement
Once a block is created, it is submitted to the Ethereum network for verification and settlement:
- The EVM verifies the contents of the block and makes sure everything is correct
- The transaction is re-verified on the network (if applicable)
- Once verified, the block is added to the blockchain
Step 7: Confirmation
The final step in the Metamask transaction lifecycle is confirmation. This is when:
- If the sender’s funds are sufficient, a “confirmation message” is sent back to MetaMask indicating that the transaction was successfully processed
- The transaction is marked as completed and added to the blockchain
To summarize, when you send 1 ETH from address A to address B using Metamask, there are multiple transactions taking place in the background. From creating the initial transaction request to verification and settlement on the blockchain, each step plays a critical role in ensuring the smooth execution of your transaction.
Note that this is a simplified explanation of the Metamask transaction lifecycle.