How to Transfer Funds from Coinbase to DeFi
Many of your friends might have told you about this up-and-coming technology called DeFi. This guide is meant for people that are interested in taking that first step to onboard into the DeFi ecosystem. We will walk you through how to set up a MetaMask wallet, transfer ETH from Coinbase to MetaMask, and then finally use that ETH to interact with DeFi on Zapper.
Setting Up MetaMask
In order to interact with DeFi you must first have a cryptocurrency wallet. Note, if you are planning on storing large amounts of crypto assets, we recommend setting up a hardware wallet, but storing small amounts on MetaMask is common.
First, you will need to download the MetaMask Chrome extension. Once you have finished downloading it, you will be prompted to set up your wallet.
Next click Create a Wallet and then enter in a secure password to protect your funds. It is important that you save this password because there is no customer support that can reset it for you.
Lastly, you will be asked to secure your backup phrase. Please keep this phrase in a safe spot. You will need it to recover your wallet if you ever forget your password or lose your device.
NEVER share the backup phrase with anyone because it grants access to the funds in your wallet.
Once all these steps have been completed, you will now have your very own cryptocurrency wallet.
Sending Funds from Coinbase
Now that you have a wallet, you can transfer your ETH from your Coinbase account to MetaMask. First, you will need to copy your address from MetaMask by clicking on the address in the extension. A wallet address is similar to an email address, where it is unique to you and it is necessary to provide when sending funds to your wallet.
Then, you will need to log into your Coinbase account and click on the Send/Receive button in the top right of the screen.
Next, you will see a pop-up that will ask you for a wallet address and an amount of ETH to send. Paste in your wallet address from MetaMask and make sure that you have selected ETH as the asset to send. Please note it is a best practice to make sure that the first 4 and last 4 characters in your MetaMask wallet address match what you have pasted into Coinbase before sending the funds.
Click Continue and you will be prompted to confirm the details. Lastly, the funds will be sent out of your Coinbase account to your MetaMask wallet address. You've now successfully funded a cryptocurrency wallet with ETH 🥳
Getting Started with DeFi
Now that you have a wallet with ETH, you are ready to take your first steps into DeFi. In this section, you will learn how to interact with PoolTogether, a popular DeFi app that enters you into a weekly lottery when depositing stablecoins. Luckily Zapper makes it easy to enter into PoolTogether with just ETH.
You can now go to Zapper and click Connect Wallet to get started.
Select MetaMask and you will be logged in with your wallet address. You will then be able to see your ETH on the dashboard.
Now that you are logged in, you can use your ETH to interact with DeFi applications. If you click the Pool option on the left-hand navigation bar, you will be taken to the Pool page, where you will see different DeFi opportunities that are available on Zapper.
Type in "PoolTogether" in the search bar and it will filter all the PoolTogether opportunities. If you click Invest, it will open an option to add assets to that specific pool.
Even though this pool is in USDC, Zapper allows you to join with just ETH. Then enter the amount of ETH that you would like to add to this pool. Finally, click Confirm, and a popup message from MetaMask will ask you to confirm the transaction.
Once that transaction has been completed on the Ethereum blockchain, you will be able to see the funds deposited into PoolTogether on your Zapper dashboard. Congratulations on kicking off your DeFi journey 🚀