Stakeholder Glossary

Overview

This glossary explains key terms you will see as an administrator in Coinbase Token Manager, especially when working with escrow, vesting schedules, and stakeholder payouts.

Connected wallet balance

Connected wallet balance is the total token balance pulled from your connected admin wallet (for example, a personal wallet or multisig signer wallet). It reflects the assets currently held in that wallet, not in escrow.

Escrow balance

Escrow is a secure smart contract that holds deposited tokens until vesting and unlock conditions are met.

Your escrow balance is the amount of tokens currently held in escrow. It should be kept high enough to cover past‑due and upcoming payouts so stakeholders can receive tokens on time.

On‑chain

An on‑chain transaction is a transaction that:

• Occurs directly on a blockchain

• Is validated and included in a block

• Permanently updates the state of the blockchain

Examples include sending tokens, interacting with a smart contract, or publishing a vesting schedule on‑chain.

Off‑chain

An off‑chain transaction is a transfer or action that:

• Occurs outside the blockchain (for example, internal ledger movements, off‑platform accounting entries)

• May later be settled or reflected on‑chain

Off‑chain actions can sometimes be faster, cheaper, and more private, but they are not inherently recorded on the public ledger until settlement.

Wallet address

A wallet address is a unique string of letters and numbers representing a blockchain account. It is often called a public key and can be safely shared, similar to an email address.

Example format: 0xOcEym6j2rq1y4v1Ss2zhaS (example only, not a real address).

ENS (Ethereum Name Service)

ENS (Ethereum Name Service) assigns human‑readable names such as "example.eth" to machine‑readable identifiers like Ethereum addresses. Instead of sharing a long wallet address, you can share an ENS name that resolves to that address.

Tokens withheld

Tokens withheld are the number of tokens your company retains from a grant or payout in order to cover the stakeholder’s tax obligations, according to your configured tax withholding rules.

Claimable tokens

Claimable tokens are the number of tokens a stakeholder can receive after accounting for:

• Vesting and unlock status

• Any tokens withheld for taxes

These are the tokens available for the stakeholder to claim or for the admin to pay out.

Token plan

A token plan defines how stakeholders receive tokens and gain ownership in your protocol or network. Token plans can be:

• Token grants – a specific number of tokens promised over time

• Token warrants – a right (but not an obligation) to purchase tokens at a set price in the future

Token plans include details like vesting schedules, cliffs, and lockups.

Token grant

A token grant is a form of token plan where tokens are released to the stakeholder after a defined vesting period. Once vesting milestones are reached (and unlock conditions are met), tokens become deliverable or claimable.

Token warrant

A token warrant is a right, but not the obligation, for a stakeholder to purchase tokens at a specific exercise price in the future. Tokens are released or delivered after the warrant is exercised and vesting or lockup conditions (if any) are satisfied.

Token quantity

Token quantity is the total number of tokens to be released to the stakeholder if all vesting requirements are met. It represents the full grant size before any withholding or forfeiture.

Tax withholding

Tax withholding is the percentage of tokens your company withholds from a grant or payout to account for the stakeholder’s tax obligations. The exact percentage is determined by your company’s tax policy or legal guidance.

Calculate tax using

Calculate tax using refers to the token price source or method you choose when calculating how many tokens to withhold for tax purposes (for example, price at vesting, an average price, or another reference price).

Price at vesting

Price at vesting is the price of your token at the moment a vesting event occurs. It is often used as one possible basis for:

• Calculating the fair value of vested tokens

• Determining tax withholding amounts, depending on your policies

Average high‑low price

The average high‑low price is the average of the highest and lowest prices of the token on the date of vesting.

Example:
If the token’s high is 50.00 and the low is 40.00 on a given day, the average high‑low price is 45.00.

This can be used as an alternative price reference for valuation or tax calculations.

Fixed vesting

Fixed vesting means the same amount of tokens vests at each vesting event. For example, a grant that vests an equal number of tokens every month over 24 months uses a fixed vesting schedule.

Weighted vesting

Weighted vesting means tokens vest according to a custom schedule, where different periods may vest different proportions or amounts (for example, 10 percent in year one, 20 percent in year two, 70 percent in year three).

Cliff

A cliff is the initial period of time that must pass before any tokens are released. Before the cliff date, no tokens vest; after the cliff date, vesting begins.

Cliff duration

Cliff duration is the length of time before tokens are first released (for example, a 12‑month cliff). After the cliff duration ends, tokens may:

• Vest all at once for the cliff portion, and

• Continue vesting periodically over the remaining vesting schedule.

Cliff percentage

Cliff percentage is the percentage of the total grant that is released once the cliff duration has passed. For example, a grant may vest 25 percent at the cliff date and the remaining 75 percent over subsequent periods.

Token address

A token address (or token contract address) is the on‑chain address of the token’s smart contract. It identifies:

• The specific token

• Total supply

• Symbol and other token‑level properties defined in the contract

This address is used by wallets, dApps, and explorers to identify and interact with your token.

Vesting contract address

The vesting contract address is the on‑chain address of the vesting smart contract that manages:

• Vesting logic

• Unlock schedules

• Rules for distributing tokens to stakeholders

This address can be viewed on a blockchain explorer and is used when interacting with the contract programmatically or for audits.