Skip to content

API Key Permissions

What software may do on an exchange account. Read, trade and withdraw are separate rights, and almost no tool needs the third.

An API key is a credential that lets software act on an exchange account without a password, and its permissions decide how much it can do. Venues typically separate reading, trading and withdrawal, and the separation is the whole safety mechanism: a key with read access can report balances, a trading key can move positions, and only a withdrawal-enabled key can send funds off the platform. Most third-party tools need reading and trading and nothing more, so a request for withdrawal permission is worth refusing outright. Two further controls matter where they exist — restricting a key to specific IP addresses, and giving it an expiry — because a leaked key with neither is usable by anyone, from anywhere, indefinitely. Keys are also independent of the account password and of two-factor authentication, so changing a password does not disable a key that has already been issued.

Related terms

More in Wallets & Security

Account Takeover · Address Poisoning · Anti-Phishing Code · Bridge Exploit · Bug Bounty Programme · Clipboard Hijacking · Cold Storage · Collection Approval (setApprovalForAll) · Crypto Phishing · Wallet Drainer · Warm Wallet · Wrench Attack