diff --git a/packages/extension-ui/src/util/defaultType.ts b/packages/extension-ui/src/util/defaultType.ts
index bf3c39e28a..b4b55d150c 100644
--- a/packages/extension-ui/src/util/defaultType.ts
+++ b/packages/extension-ui/src/util/defaultType.ts
@@ -3,4 +3,4 @@
 
 import { KeypairType } from '@polkadot/util-crypto/types';
 
-export const DEFAULT_TYPE = 'sr25519' as KeypairType;
+export const DEFAULT_TYPE = 'ed25519' as KeypairType;
diff --git a/packages/extension/src/background.ts b/packages/extension/src/background.ts
index a79f1d3fa3..5cd226c348 100644
--- a/packages/extension/src/background.ts
+++ b/packages/extension/src/background.ts
@@ -42,7 +42,7 @@ cryptoWaitReady()
     console.log('crypto initialized');
 
     // load all the keyring data
-    keyring.loadAll({ store: new AccountsStore(), type: 'sr25519' });
+    keyring.loadAll({ store: new AccountsStore(), type: 'ed25519' });
 
     console.log('initialization completed');
   })