This content is for educational purposes only and should not be considered financial advice or an inducement to buy, sell, or trade cryptoassets.
When receiving Bitcoin from Swaps within Magic Eden Wallet, or when transferring funds over from CEXs, it is possible to receive UTXOs with inscriptions on them.
Do I have inscriptions in my payment wallet?
To check if you have inscriptions on your payment wallet balance, simply look up.
For example, if you are located outside of the United States: https://magiceden.io/u/YourPaymentWalletAddress
If you are located inside the United States it will be: https://magiceden.us/u/YourPaymentWalletAddress
The effect of inscriptions in a payment wallet
Having inscriptions on your payment wallet can be an issue. Magic Eden Wallet safeguards users by blocking the spending of UTXOs when inscriptions are detected in a payment wallet.
UTXOs with inscriptions in your payment wallet are also not reflected as part of your whole balance. For example, if an inscription on your payment wallet has an output value of 0.1 BTC, that entire 0.1 BTC will not be spendable.
What should you do next?
Users are advised to isolate and extract any inscriptions out of the payment wallet, and send them to the Ordinals wallet.
We'll unpack how to do that in the section below.
Extracting inscriptions out of your payment wallet
To get inscriptions out of your payment wallet, we'll be using the 'Isolate UTXO' tool on https://magisat.io/.
Isolating your payment wallet
Since the Magic Eden wallet automatically connects the Taproot address to any dApp, you will only be able to access assets on your Ordinal wallet if you connect to Magisat. You will need to restore your wallet to a wallet provider that only uses one single address type - The Unisat wallet does just that.
The Unisat wallet does not segregate the payment and Ordinal wallets, so you are able to isolate and only restore your Native Segwit address (payment wallet).
By doing this, your payment wallet will be the only available address when connecting to Magisat.
Connecting to Magisat
Once you have restored your payment (Native Segwit) wallet on Unisat, head over to https://magisat.io/isolate and connect using Unisat wallet.
Adding the UTXO containing the inscription
Locate and select the UTXO that contains the inscription, it should be fairly easy to identify.
Here we can see that a Valentine Box #357 is in my payment wallet, I'll need to add this UTXO and isolate the inscription.
Assigning appropriate address types for isolation
Magisat will isolate any inscriptions and automatically assign an output value of 546 sats to it. By doing so, these UTXOs abide by most wallet type's Dust Limits, while also freeing up more sats to maximize your Bitcoin balance.
Send your inscriptions to your Ordinals wallet.
Send any common sat UTXOs to your payment wallet.
Isolating the inscription
Lastly, once everything looks good, select your desired fee rate, click 'Isolate' and sign the transaction.
Once the next block confirms, the inscription should now be sent to your Ordinals wallet, your Bitcoin balance should appear correctly, and any blocked BTC should now be spendable.
You can now proceed using your Magic Eden Wallet as per usual.