What are minimum balance requirements?
Some blockchains require accounts to maintain a minimum balance of the native coin in order to remain active or store data. These rules exist to protect the network from spam and ensure fair use of resources.
Why do blockchains require minimum balances?
Prevent spam - stops attackers from creating thousands of empty accounts.
Optimise resources - ensures storage and processing power are only used for active accounts.
Maintain fairness - spreads the cost of network operation across all participants.
Without minimum balance rules, blockchains would be vulnerable to resource exhaustion or slowed performance.
Which blockchains have minimum balance requirements?
Different networks use different terms for their minimum balance rules. Here are some key examples supported in Wraith Wallet:
XRP Ledger (Reserve Requirement) - requires ~1 XRP to activate and maintain an account. This reserve is refunded if the account is closed.
Polkadot (Existential Deposit) - accounts must hold ~1 DOT to remain active. Falling below this threshold may cause the account to be deactivated (“reaped”).
Solana (Rent) - accounts must hold a small amount of SOL (about 0.001 SOL for a basic account) to be rent-exempt. Without it, accounts may pay ongoing rent until deactivated.
Ethereum - no fixed minimum balance, but you must always hold enough ETH to pay gas fees.
Cardano (Minimum UTxO Balance) - every unspent transaction output requires ~1 - 2 ADA to prevent inefficient transactions.
Cosmos chains (Minimum Balance) - ATOM and other Cosmos tokens require small balances to discourage spam.
NEAR Protocol (Storage Staking) - accounts must lock NEAR to cover storage costs. If the balance runs out, the account may be deactivated.
Algorand (Minimum Balance) - accounts need 0.1 ALGO, with increases based on the number of assets or contracts held.
Are minimum balances locked?
In most cases, the required amount is part of your wallet balance but cannot be spent while the account is active.
XRP reserves are released when you close the account.
Solana rent is refunded if you delete an account.
Polkadot deposits are returned if the account is reactivated.
How do these rules affect Wraith Wallet users?
You may not be able to send your balance down to zero on some chains.
Small amounts of tokens may appear “stuck” - these are reserved by the blockchain, not by Wraith Wallet.
Always keep enough of the native coin in your wallet to cover both minimum balances and transaction fees.
Key points to remember
Minimum balances are small but essential for using certain blockchains.
They are usually refundable if the account is closed or deactivated.
Wraith Wallet will notify you if your balance is too low to meet requirements.
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