Wallets, Security & Custody

What is a token approval in crypto?

A token approval is permission you grant a smart contract to spend a specific token from your wallet on your behalf. It is required because decentralized applications cannot move your tokens without explicit consent, so you sign an approval before swapping or staking. For example, before a decentralized exchange can trade your USDC, you approve its contract to access a set amount. The approval persists until you change or revoke it, which means a contract can keep spending access long after you finish using it. Reviewing what you have approved is basic wallet hygiene.

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