Verify a Stakeholder's Wallet

Overview

Coinbase Token Manager includes a wallet verification feature that lets you send a small test transaction to a stakeholder to confirm that their wallet address is correct. After you send the test transaction:

• The stakeholder receives an email prompting them to log in and verify their wallet

• Once they confirm, the wallet is marked as verified in your Stakeholders view

This helps reduce the risk of sending live payouts to an incorrect wallet address.

If you are using a custody integration (for example, Coinbase Prime, Anchorage Digital), do not use this feature. Instead, follow the custodian‑specific test transaction guides provided for your integration.

Before you start

• This feature applies to on‑chain or smart contract accounts in Coinbase Token Manager, not to qualified custody accounts

• For the best stakeholder experience:

  • Make sure the stakeholder has a valid email address configured in their profile before you initiate the verification flow

• Test transaction source:

  • Test tokens are sent from your Coinbase Token Manager account owner or treasury wallet, not from your escrow contract

  • Ensure the source wallet has enough tokens to cover all test amounts you plan to send

If a stakeholder does not have an email address on file when you run this process, you can still send a test transaction, but you may need to manually mark their wallet as verified after confirming they received the test amount.

Step 1 – Open the Stakeholders page

1. Sign in to Coinbase Token Manager as an admin.

2. Go to the Stakeholders page.

3. Locate the stakeholders whose wallets you want to verify.

Step 2 – Send test transaction(s)

1. In the Stakeholders list, select the rows for the stakeholder or stakeholders you want to send test transactions to.

2. Open the Actions dropdown.

3. Select the option to send test transactions.

4. In the pop‑up modal:

   • Enter a unique test transaction amount for each stakeholder or use a consistent amount according to your internal policy

   • Choose values that are:

     • Small enough to limit risk

     • Distinct enough to be easily recognized by both your team and the stakeholder

5. Click Send to initiate the on‑chain transaction.

6. When prompted by your wallet or signing interface (for example, MetaMask, a hardware wallet, a multisig signer):

   • Review the transaction details

   • Approve and sign the transaction

During this process you may see:

• A transaction pending message while the transaction is being broadcast

• A confirmation message once the transaction has been successfully submitted

Test transaction source behavior:

• Externally owned account (MetaMask, Rabby, other single‑wallet provider):

  • The source of test tokens is the same wallet that owns the Coinbase Token Manager account

• Safe (multisig):

  • The source of test tokens is the Safe itself, not an individual signer wallet

• Fireblocks:

  • The source of test tokens is the configured Fireblocks vault associated with your Coinbase Token Manager account

Step 3 – Stakeholder verification flow

After the on‑chain test transaction is sent:

1. The stakeholder receives an email from Coinbase Token Manager asking them to verify their wallet.

2. The email includes a link labeled Verify wallet or similar.

3. The stakeholder:

   • Clicks the link in the email

   • Logs in to Coinbase Token Manager using the wallet address or email that you registered for them

   • From their portfolio or account view, confirms that the wallet address receiving the test transaction is correct

Once they complete these steps, the wallet verification status is updated in your account.

If the stakeholder does not receive the email:

• Ask them to check spam or junk folders

• Confirm that their email address is correctly set in their stakeholder profile

• Resend the verification email if supported by your configuration

If the stakeholder does not have an email on file:

• Ask them to confirm receipt of the test transaction through your normal communication channels

• You can then manually mark their wallet as verified using the Stakeholders page and the relevant action (for example, manually mark as verified).

Step 4 – Confirm wallet verification in Coinbase Token Manager

After the stakeholder has confirmed their wallet:

1. Return to the Stakeholders page.

2. Find the stakeholder whose wallet you tested.

3. Check the wallet column or verification indicator:

   • A visual indicator (for example, a green check mark) should appear next to the wallet address

   • A label such as Wallet verified may also be shown

If the wallet is not marked as verified after the stakeholder confirms:

• Confirm the transaction succeeded on‑chain in your Transactions or Activity view

• Confirm that the stakeholder logged in with the same wallet address that received the test transaction

• If needed, use the manual verification option where allowed by your configuration

Once verified, you can proceed with higher‑value distributions to that wallet with increased confidence.

Overview

Coinbase Token Manager provides a wallet verification flow that uses a small test transaction to confirm that a stakeholder’s wallet address is correct. This is the recommended approach, because even a small typo in a wallet address can result in irreversible loss of funds.

In some situations, however, you may choose not to send a test transaction and instead rely on your own internal verification (for example, direct confirmation with the stakeholder). In those cases, you can manually mark a stakeholder’s wallet as verified in the admin UI.

When to use manual verification

Use manual verification only when:

• You have already confirmed the wallet address through a trusted internal process

• You cannot or do not want to use the test transaction flow (for example, specific compliance constraints or off‑platform verification steps)

Whenever possible, use the test transaction–based verification flow first, then reserve manual verification for exceptions.

Steps to manually mark a wallet as verified

1. Go to the Stakeholders page

   • Sign in to Coinbase Token Manager as an admin

   • Navigate to the Stakeholders page

2. Select the stakeholder

   • Find the stakeholder whose wallet you want to mark as verified

   • Use the checkbox or row selection mechanism to select that stakeholder

3. Open the Actions menu

   • At the top of the Stakeholders table, click the Actions dropdown

   • Choose the option labeled Mark wallet as verified (or equivalent wording in your UI)

4. Confirm the verification

   • A confirmation dialog or pop‑up will appear

   • Review the stakeholder and wallet address details

   • Click Mark as verified to confirm that you want to manually verify this wallet

5. Check the updated status

   • After the confirmation, the wallet verification status will update

   • You should see an indicator (for example, a label or icon) showing Wallet verified next to the stakeholder’s wallet address in the Stakeholders page

Best practices and cautions

• Double‑check the wallet address with the stakeholder before manually verifying

• Document the internal approval or confirmation process you used (for example, who approved and how it was validated)

• Consider using manual verification primarily for:

  • Stakeholders verified via trusted off‑platform processes

  • Exceptional cases where test transactions are not feasible

Using test transactions where possible helps reduce the risk of sending production payouts to an incorrect address.