🏹Small UTXO

Everything you need to know about small UTXO

What is Small UTXO?

We classify a UTXO containing a small amount of SATs as a small UTXO. We strongly advise not to receive SRC20 tokens on addresses holding inscriptions or BRC20.

Why do we need small UTXO to list sell order?

The small UTXO creation function is designed specifically for sellers. When a seller lists on our platform, they need to sign a transaction authorizing the transfer of SRC20, which includes the authorized quantity (i.e., the order quantity). Moreover, the first input of a legitimate SRC20 transfer transaction must be the seller’s address. If the referenced UTXO is spent by the seller after the listing, the authorization transaction will become invalid. In addition, the authorization transaction will only be sent to the network when the buyer’s payment is received.

To ensure that the seller’s wallet can be used normally after authorization and to maintain the validity of the authorization transaction, we need users to create some small UTXO. This way, users can use their wallets normally without affecting the authorized listing orders.

Each sell order listing requires referencing a UTXO, so if you want have multiple listings at the same time, you’ll need multiple UTXOs. But don’t worry, once your order is fulfilled, the transaction process will generate another UTXO of the same amount for you, thus maintaining the quantity of your UTXOs, and the funds will also be returned to you. If you cancel an order, the UTXO occupied by this order will be released and can be reused. Simultaneously, we will delete the authorization transaction related to the cancelled order.

How to create small UTXOs

🎯Create Small UTXOs