ConsenSys, the company that operates the MetaMask cryptocurrency wallet, said the update does not change the data the platform collects from users, only the wording.
The statement was made in response to critics who said the company had expanded its collection of personal data.
On Friday, ConsenSys said in a blog post that the updated language is designed to better communicate the user data the company has collected, including the IP addresses of the computers used and the wallet addresses. each time the transaction is completed.
The company says this is necessary for the wallet to be able to provide better services.
Some users argue that this is not allowed because one of the main tenets of blockchain and cryptocurrency is privacy and anonymity.
The move also comes as the crypto community is pushing harder to store assets on cold wallets — following the collapse of FTX.
“Protect your privacy!” Twitter user, @0xBiZzy, wrote, “Given the recent news that Metamask/Infura is collecting your IP address and wallet, I suggest you take the time to change your wallet.”