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- 1 Account Abstraction is a development that has been made in Ethereum; how will this enhance user experience?
- 2 The AA will address the issues that Ethereum accounts face; will transactions be simplified?
This article discusses how account abstraction will be convenient for developers and users of dApps. Which kind of development will be enhanced and what kinds of problems will be solved associated with Ethereum wallets?
Externally owned accounts are the accounts that users use to make transactions or execute a smart contract. There are limits to how individuals interact with Ethereum. For instance, the number of transactions that can be conducted on Ethereum is limited. Individuals also cannot do transactions without gas fees. Account Abstraction is the technology that came to solve these issues. How will smart contracts achieve these? This article will discuss how account abstraction will bring an effective user experience to Ethereum.
Account Abstraction
Account abstraction is a blockchain technology that permits users to use smart contracts as their accounts. EOAs (externally owned accounts) were the traditional default accounts used in blockchain. The EOAs require private keys for individuals to access their accounts; they use the Ethereum Virtual Machine (EVM) as their default account. For users to become familiar with EOAs, they need vast knowledge of what blockchain is and how to use it. The main objective of the account is to make transactions simpler and enhance users’ experiences by streamlining transactions and interactions in Ethereum.
The account abstraction enhances security and how users interact with the Ethereum technology in the blockchain. For instance, it has brought advancements; for individuals to transact, they are required to pass through multi-signature transactions and account abstractions.
How many of us have passed through challenges when creating a wallet account? What if all these problems are going to be solved by a single development? What if storing seed phrases and adding and switching networks manually were no longer a problem? As for developers, they need more sophisticated functionality than to prompt dApp users to sign a transaction for every small action within the application or keep a bunch of assets handy before even starting to use a dApp.
The article will discuss the major concerns of AA in Ethereum accounts. There are two types of accounts: EOAs and smart contract accounts. It will be looking at how AA technology has come to solve some problems associated with the two accounts. It will first look at the two types of Ethereum accounts.
- External Owned Account (EOA)
This is an Ethereum wallet account that is governed by private keys that are generated by a phrase seed. They do not enter codes, like smart contracts, for the smooth running of the wallet. For instance, let’s say that one owns an EOA account. The private key is everything in that account. The private is like a 256-bit, 32-byte number. This is a long number that one is required to keep since it’s the private key to their account. The EOA account is usually created to provide transactions and ETH management. One can generally classify EOAs accounts as software wallets; for instance, MetaMask, Trust Wallet and Rainbow Wallet fall into this software EOAs wallet and they can also be classified as hardware wallets. They were both developed to offer Ethereum services in decentralized wallets and enhance the user experience.
- Smart Contract Account
A smart contract account is executed when a smart contract system is deployed in the system. The system is created using codes linked to a blockchain account with a certain address key. They operate in a complex manner; for instance, for a transaction to be carried out, certain logic codes are sent to the system that carries input data. Unlike EOAs that should have private keys, the smart account has a unique address. The smart contract can invoke methods in other contracts that can incur internal transactions. The smart account cannot carry out transactions on its own.
Account Abstraction In Ethereum
The account abstraction came to link the knowledge of AA and EOAs. There are certain problems that EOAs have and AA accounts can comfortably solve these problems through account abstraction; the limitations that are posed by EOAs can be facilitated by smart accounts.
There are problems associated with EOAs. What are these issues?
For instance, creating and maintaining an EOAwallet is critical; beginners find it difficult to pass this process. The private key being the backbone of the account, it is not easy for new users to keep their private key safe. Additionally, if users by mistake lose their private key, there is zero chance of recovering the wallet; therefore, the digital assets that were in the account will be permanently lost. Moreover, heavily decentralized applications can be challenging for developers to maintain in EOAs; for instance, there is a need for an EOA account to automate processes that often write data in the chain.
Furthermore, for users using EOAs, gas fees cannot be paid by any other account other than the one responsible for transactions. Additionally, individuals cannot batch transactions. Let’s say an individual needs to swap or bridge two transactions. This will be costly since the two transactions are signed by the EOA account separately.
Importance of Account Abstraction
Account abstraction technology can curb some problems that Ethereum wallets face. For instance, the decentralized application will be enhanced in terms of security. For instance, one cannot transact a huge volume of assets since there are limitations. For instance, if an account is lost, one can recover it.
For instance, smart contract accounts can pay gas fees for other users, unlike EOA accounts. AA can ensure that individuals can transact or pay their gas fees without tokens. This improves users’ experiences. Additionally, since the AA enables users to batch transactions, users can now save on transaction costs.
Conclusions
Account Abstraction is a young project, but there are clear visions that it will improve users’ experiences and cover the pain of creating a wallet account. The technology will enable developers to make it easy for users to create accounts by providing the right directions and steps. With improved security, the wallet will encourage investors to invest in their cryptocurrencies since one can also recover their account in case they lose their private keys.
Adarsh Singh is a true connoisseur of Defi and Blockchain technologies, who left his job at a “Big 4” multinational finance firm to pursue crypto and NFT trading full-time. He has a strong background in finance, with MBA from a prestigious B-school. He delves deep into these innovative fields, unraveling their intricacies. Uncovering hidden gems, be it coins, tokens or NFTs, is his expertise. NFTs drive deep interest for him, and his creative analysis of NFTs opens up engaging narratives. He strives to bring decentralized digital assets accessible to the masses.
