What is a Destination Tag/Memo?
A Destination Tag/Memo is an additional address feature necessary for identifying a transaction recipient beyond a wallet address.
Why is this needed?
For cryptocurrencies that use destination tag/memo technology, most centralized exchanges (like Coinbase) use one wallet address for all traders. The tag/memo is used to determine the individual account a transaction should be credited to.
Example: Wallet address + unique destination tag/memo = correct recipient
Which cryptocurrencies use Destination Tag technology?
The following cryptocurrencies supported on Coinbase use destination tag technology:
Cryptocurrency | Feature Name | Description |
---|---|---|
Memo | Numeric only | |
Memo | Numeric only | |
Memo | Numeric only | |
Memo | Alpha-numeric | |
Tag | Numeric only |
When is a tag/memo not required?
The only exception to the requirement to include a destination tag/memo is when sending to a privately controlled cryptocurrency wallet.
A private wallet allows an individual to fully control (have custody of) both the public and private keys. Your Coinbase.com account is not a private wallet.
Examples of a private wallet include (but are not limited to):
Desktop: wallets downloaded and installed on a PC or laptop
Hardware: wallets stored on a hardware device like a USB, and are stored offline
Using a private wallet to send crypto that uses Destination Tag technology
If you are sending cryptocurrency that uses Destination Tag technology to Coinbase, you must input a correct Tag/Memo.
Both an address and a tag/memo are required to receive cryptocurrency. If you send funds without a tag/memo or with an incorrect Tag/Memo, your funds cannot be credited to your account.
If you are sending cryptocurrency off of Coinbase to a private/personal wallet, a tag/memo may not be required.
Do I need to include a Destination Tag or Memo when transacting with these currencies?
Yes. The Tag/Memo is mandatory for transactions for cryptocurrencies that use this technology. You must put in a correct Tag/Memo when receiving/depositing these funds into Coinbase.
For instructions on how to find or use a destination tag on Coinbase, go to our help page.