Always make sure to double check if the wallet you're sending to requires a destination tag to ensure funds get credited. If you do not enter a destination tag when it is required, this will result in your funds being lost.
What is a Destination Tag?
A destination tag is a unique identifier used in XRP transactions to specify which account should receive the funds. It functions similarly to a bank reference number, ensuring that the transaction is credited to the correct user within a wallet that supports multiple accounts.
Do All XRP Wallets Require Destination Tags?
Certain wallets, such as Poloniex and Gatehub, do not require you to have a destination tag when sending to their wallet. However, most exchange wallets, such as Kraken and Bittrex, require you to enter a destination tag when sending your XRP to their wallets.
What Happens If You Don’t Use a Destination Tag When Required?
If you send XRP without including a required destination tag, your funds may be lost. The transaction will still process, but the receiving wallet will not know which account to credit, leading to potential loss of access to those funds.
How to Find Your Destination Tag
To find your destination tag:
- Log into your exchange or wallet account.
- Navigate to the deposit section for XRP.
- Look for the destination tag associated with your XRP address.
Read here to know more about how to send and receive XRP.
Tips
- Double-Check Requirements: Always verify if the wallet you’re sending to requires a destination tag.
- Use Correct Information: Ensure you input both the XRP address and destination tag accurately.
- Test with Small Amounts: If unsure, send a small amount first to confirm everything works as expected.