A crypto deposit moves coins from an external wallet into your exchange account. A withdrawal moves them out to an address you specify. Both are on-chain transactions: irreversible once confirmed, subject to a network fee, and lost permanently if sent to the wrong address or network. A Bitcoin deposit needing 6 confirmations takes roughly an hour, and sending over the wrong network is the most expensive avoidable error in crypto.
Why deposits and withdrawals differ from trades
Only at deposits and withdrawals does an exchange account touch a blockchain, which is the single fact that explains almost everything about why they behave so differently from trading.
Inside the exchange, trades settle in its internal ledger. No blockchain transaction occurs, no network fee applies, and nothing is irreversible. Moving funds in or out is different: to a real network, a real transaction is broadcast, confirmed by miners or validators, and recorded permanently.
That is why the same platform can execute a trade in nanoseconds and take twenty minutes to credit a deposit.
How a crypto deposit works
- In your exchange account, select the asset and the network you will send it over.
- The exchange displays a deposit address, and on some networks a memo or destination tag.
- From your external wallet, send the asset to that address over that exact network.
- The transaction confirms on the blockchain. The exchange waits for a set number of confirmations.
- Your account is credited.
At step one, most errors originate. The address you are shown is specific to the network you selected. On a different network, the same asset has a different address, and sending to the wrong one loses the funds.
How a crypto withdrawal works
- Select the asset and the network.
- Enter the destination address, and the memo or tag if the destination requires one.
- Confirm the amount, which will be reduced by the network fee.
- Complete the exchange's security checks, typically two-factor authentication and possibly an email or SMS confirmation.
- The exchange broadcasts the transaction. It confirms on-chain and arrives at the destination.
Regulated exchanges frequently add a delay for new withdrawal addresses, or require them to be whitelisted in advance. Both are protections against account takeover.
Confirmations, and why deposits take time
When it is included in a block, a transaction confirms. Each subsequent block adds another confirmation.
Before crediting a deposit, exchanges wait for multiple confirmations because a transaction with one confirmation could, in theory, be reversed by a competing chain. With more confirmations, that becomes progressively less plausible.
| Network | Typical block time | Confirmations exchanges commonly require |
|---|---|---|
| Bitcoin | About 10 minutes | 2 to 6 |
| Ethereum | About 12 seconds | 12 to 64 |
| Solana | Under 1 second | Varies, often finality-based |
| Tron | About 3 seconds | 19 to 20 |
A Bitcoin deposit requiring six confirmations takes roughly an hour. That is the network, not the exchange.
Network fees on withdrawals
Every withdrawal pays a fee to the network it travels over, which varies enormously.
Sending USDT over Ethereum during congestion can cost dollars. The same USDT over Tron costs cents. Whichever network you choose, the recipient must support it, since USDT on Ethereum and USDT on Tron are different tokens on different chains.
Before you confirm, exchanges usually display the fee. Deducted from the amount sent, it means the recipient receives slightly less than you entered.
Common deposit and withdrawal mistakes
- Wrong network. Sending an asset over a network the recipient does not support. The funds go to that network and recovery depends entirely on whether anyone controls that address there. Frequently nobody does.
- Missing memo or tag. Some networks, including XRP, Stellar, and several exchange deposit systems, require a memo to identify which account a deposit belongs to. Omitting it means the deposit is not credited automatically and may require a manual support process.
- Wrong address. A single mistyped character sends funds to an address nobody controls. Address checksums catch some errors, not all.
- Address poisoning. Copying a look-alike address from your transaction history that an attacker planted there. One victim lost $50 million this way in December 2025.
- Unsupported token. Sending a token the exchange does not list, even over a supported network.
- Clipboard malware. Software that swaps the address you paste for the attacker's.
How to avoid losses when sending crypto
- Match the network on both ends. Confirm the sending wallet and receiving platform both show the same network before anything moves.
- Send a small test amount first. Confirm it arrives, then send the rest.
- Verify the full address. Not just the first and last characters, which is exactly what address poisoning exploits.
- Include the memo where one is displayed, every time.
- Whitelist withdrawal addresses where your exchange supports it.
- Check the fee before confirming, and consider whether a cheaper network is available.
- Never withdraw to an address from a message. Type it, or copy it from the destination platform directly.
Where mb.io fits
Deposits and withdrawals are where mistakes become permanent, which makes the interface that guides them part of your security.
mb.io is a regulated crypto spot exchange backed by MultiBank Group, a financial institution founded in 2005 that serves more than 2 million clients across 100+ countries.
- Deposit and withdrawal flows that name the network explicitly before funds move
- Withdrawal controls that let you verify a destination before funds move
- Regulated by VARA in the UAE and AUSTRAC in Australia
- Institutional-grade MPC custody powered by Fireblocks, with segregated client funds
- 10/10 security score from Hacken, an independent blockchain security auditor
- 24/7 multilingual client support
Open your account and start trading on mb.io.
Frequently asked questions
How long does a crypto deposit take?
It depends on the network and how many confirmations the exchange requires. Bitcoin deposits needing six confirmations take roughly an hour. Ethereum and faster networks typically credit within minutes.
Why did my crypto deposit not arrive?
The most common causes are sending over the wrong network, omitting a required memo or tag, or sending a token the exchange does not support. Check the transaction on a block explorer to confirm it left your wallet and where it went.
What happens if I use the wrong network?
The funds go to that network. Recovery depends on whether anyone controls that address on that chain. Where the destination is an exchange, support can sometimes help. It is never guaranteed and often impossible.
What is a memo or destination tag?
An extra identifier some networks and platforms use to route a deposit to the correct account. Omitting it means the deposit arrives at the platform but is not credited to you automatically.
Why do withdrawal fees differ by network?
Because the fee is paid to the network, not the exchange, and networks charge very differently. USDT over Ethereum during congestion can cost dollars. Over Tron it costs cents.
Can I cancel a crypto withdrawal?
Not once it is broadcast to the network. Some exchanges allow cancellation during a brief internal processing window before broadcast. After that, it is irreversible.
Do trades on an exchange use the blockchain?
No. Trades settle in the platform's internal ledger, with no network transaction and no network fee. Only deposits and withdrawals touch the blockchain.
Why does my exchange delay withdrawals to new addresses?
As protection against account takeover. If someone gains access to your account, a delay or whitelist requirement gives you time to notice before funds leave.
