One-Time Address

Overview

Meaning and boundaries

One-Time Address is a receiving address intended to be issued for one payment, customer interaction, transaction, or limited purpose. A one-time address is allocated for a limited receiving purpose, such as a specific order or customer interaction. It can simplify attribution because incoming transfers to that address are associated with a known request. Its ‘one-time’ nature is an operational rule, not an inherent inability to receive additional on-chain funds.

How it works in practice

It improves attribution and can reduce address reuse, but the address may remain technically capable of receiving later funds. Operationally, systems generate the address from an approved wallet, bind it to an order or customer, define expiry behavior, and continue monitoring after use. The principal risk is that reissuing an address, stopping monitoring too early, or losing the derivation mapping can misattribute or strand deposits.

Checks and failure points

Monitor for repeat and late transfers even after the intended invoice closes. Maintain a mapping between generated addresses and their source wallets so funds remain recoverable through address rotation or system migration.

Operational evidence and decisions

Address allocation systems need a durable database of which request received which destination and when. If a derivation service is restored from backup, it must avoid accidentally reissuing an address for a different customer. Reconciliation must also recognize dust, unwanted tokens, and late follow-up deposits without disclosing private customer details.

How it differs from related terms

A one-time address is deliberately scoped to one receiving use; a static address is designed for continued or recurring use. Related entries: Unique Payment Address; Address Reuse.