Understand the concept of destination tag (for Ripple) or memo (for certain cryptocurrencies) and how to use them during transactions to ensure accurate and smooth fund transfers.
A destination tag (or memo) is a unique identifier used in certain cryptocurrencies to ensure that deposits are correctly credited to the intended recipient. It is an additional piece of information required when making deposits to exchanges or services that utilize shared wallet addresses.
No, a destination tag/memo is not the same as a wallet address. While a wallet address identifies the general location of a wallet, a destination tag provides additional information to direct the funds to the specific user or account within a shared wallet. Both the wallet address and the destination tag are necessary for a successful deposit.
At Uphold these cryptocurrencies employ destination tags/memos to differentiate transactions and ensure that funds are accurately allocated within a shared wallet:
When making a deposit to Uphold or another service that requires a destination tag, you need to provide both the destination wallet address and the corresponding destination tag. The destination tag helps identify the specific user or account associated with the deposit, ensuring that the funds are properly attributed.
No, not all deposits require a destination tag. Only deposits made to exchanges, like Uphold, or services that explicitly request a destination tag will require you to provide one.
- Go to your portfolio and choose the crypto account associated with the asset you want to deposit.
- Tap on the ellipsis (...) or the additional options menu.
- Select "Wallet Address" to generate a page displaying the crypto address and the destination tag/memo.
If you forget to include or enter the destination tag/memo when it is required, there is a risk that your deposit will not be properly credited to your account.