In response to evolving cryptocurrency regulations, platforms are implementing robust compliance measures like the Satoshi Test—a verification method to confirm user control over private wallet addresses. This guide explains its purpose, process, and best practices for seamless completion.
Understanding the Satoshi Test
The Satoshi Test is a cryptographic verification process where users send a random amount of cryptocurrency (typically 1–10 USDT worth) to a specified address within 90 minutes. This confirms ownership of the withdrawal address and complies with the Travel Rule under FATF guidelines.
👉 Learn why the Travel Rule matters for crypto compliance
Key Criteria to Pass the Test:
- Origin: Deposit must come from the address being verified.
- Destination: Funds sent to the OKX-provided verification address.
- Amount: Exact match of the specified test amount (excluding network fees).
- Timeframe: Completed within the 90-minute window.
Note: Failed deposits may require submitting sender details to unlock funds.
Pros and Cons of the Satoshi Test
| Pros | Cons |
|---|---|
| ✔ Reliable address control verification | ✖ Multiple criteria for success |
| ✔ Broad network support (except BTC Lightning) | ✖ User bears network fees |
Step-by-Step Verification Process
1. Initiate the Test
- During withdrawal, select Private Wallet as the destination.
- Choose Satoshi Test if Digital Signature isn’t available for your network.
2. Start Verification
- A countdown begins once you click Start Verification.
- Complete the deposit within the allotted time (displayed on-screen).
👉 Explore how OKX simplifies crypto withdrawals
3. Deposit the Specified Amount
- Select the correct token matching the withdrawal network.
Enter:
- Sending Address: Your private wallet address.
- Receiving Address: OKX-generated verification address.
- Deposit Amount: Exact value instructed (add network fees separately).
- Click I’ve Made the Deposit after sending.
4. Submit Address Owner Details
- Provide the owner’s Country, First Name, and Last Name.
5. Check Verification Status
- Success: Proceed with withdrawal.
- Pending: Withdrawal held until verification completes.
- Monitor status under Asset Overview.
6. Completion
- Verified addresses remain valid for 6 months.
- Pending withdrawals process automatically post-verification.
- Timeouts require re-attempts (network fees non-refundable).
FAQ
Q1: Why is the Satoshi Test necessary?
A1: It ensures compliance with anti-money laundering (AML) regulations by verifying wallet ownership, reducing fraud risks.
Q2: What happens if I send the wrong amount?
A2: The deposit locks until you submit sender details for manual review.
Q3: Can I bypass the Satoshi Test?
A3: No—it’s mandatory for private wallet withdrawals when Digital Signatures aren’t supported.
Q4: How long does verification take?
A4: Typically minutes, but complex cases may take longer.
Q5: Are Satoshi Test deposits refundable?
A5: Only successful verifications release funds; failed attempts incur irreversible network fees.
Best Practices
- Double-check addresses to avoid errors.
- Factor in network fees to ensure the exact amount arrives.
- Use Digital Signature where available to save costs.