What is UMA?

UMA stands for Universal Money Address network. It enables anyone in the world to send and receive any currency or digital asset 24/7, with near real-time value settlement, and at a very low cost.

Does Xapo Bank support UMA deposits and withdrawals?

Xapo Bank is one of the founding members of the UMA network. We support UMA withdrawals, while UMA deposits will be enabled later in 2024.

How can I get a UMA address?

You have to be an approved Xapo Bank member. Your address will be visible in the profile section of the Xapo Bank app.

Is getting a UMA address free?

Yes. All approved Xapo Bank members will have their UMA addresses for free. 

Can I change my UMA address? 

No. This is not possible.

To which financial institutions I can send funds via the UMA network? 

The list of all network participants is constantly increasing. At the moment, you can send funds from Xapo Bank to Ripio or CoinsPH.

Can I receive traditional currencies and crypto via UMA?? 

The UMA can be used to send and receive traditional currencies and cryptocurrencies. Xapo Bank currently only supports UMA withdrawals (sending funds from Xapo Bank to Ripio).

Deposits are expected to be enabled in 2025. It eliminates the need for having an IBAN or long and unfriendly crypto addresses. 

Please configure the UMA currency you want to receive on your third-party app. You always withdraw Bitcoin from Xapo Bank, which is automatically converted to traditional currency or crypto, depending on your preference. Xapo Bank doesn’t support UMA deposits. 

How the conversion rate is calculated? 

UMA enables Xapo Bank members to withdraw from their BTC wallets to their local currency, such as Argentine pesos or Brazilian real. The conversion rate is always visible on the confirmation screen when withdrawing from Xapo Bank. There, you can either accept the conversion rate or cancel the withdrawal. 

The conversion rate is provided by the UMA counterparty, and Xapo Bank doesn’t control it. If you don’t want UMA to convert your UMA withdrawal automatically, please configure this on your third-party app by selecting Bitcoin as your preferred currency for receiving UMA transactions. 

How to make a UMA withdrawal?

Withdrawing funds via the UMA network is simple and fast. You need to ensure you hold the Bitcoin amount in your wallet. If you don’t have Bitcoin, Xapo Bank offers the option to exchange Bitcoin from your USD balance.  

There are 4 steps for withdrawing via UMA:

• Select UMA network as a withdrawal option from the Xapo app home screen
• Add the receiver UMA address
• Select the amount you want to send
• Confirm the withdrawal

What are the UMA withdrawal fees? 

Xapo Bank charges 15 SAT per UMA withdrawal, which doesn’t represent a profit for us but only covers the network fees. Your counterparty app may charge deposit fees, but you can see the exact amount you will receive when you confirm the withdrawal from Xapo Bank.   

How does UMA work?

UMA transactions are processed on top of the Lightning Network, ensuring instantaneous transactions with near-zero fees. Xapo Bank enables withdrawals from your BTC wallet, which can be automatically converted to your local currency, such as Argentine pesos or Brazilian real. 

Who is the UMA network owner? 

UMA network doesn’t have a single owner. It’s a decentralised network supported by all network participants.  

How does the UMA network work? 

UMA network enables anyone in the world to send and receive any currency or digital asset 24/7. All UMA transactions are processed on top of the Lightning Network (LN). All you need is a Universal Money Address from which you can send and receive funds.