FAQ - Refunds
This page covers everything related to refunds.

Overview

Our refund system is designed to solve your concerns as a project creator and handles the following situations that are related to when project uses either the API or Pay-In address for their minting system. Both of these implementations respond on receipt of a transaction and thus there are scenarios where a refund will be issued (e.g. if the wrong amount of ADA is sent by the user).
The release of the Payment Gateway solved the majority of these potential issues and due to the way it works, the need for refunds should be very rare.
Note - we are not saying that errors are impossible, but the chances of our system not sending the NFT AND also not auto refunding someone are extremely low. Be VERY sceptical of people who claim this. If you are really convinced, then you can always ask the person to wait until you verify it with us.
Simply put, as long as the user sends the ADA to the right place, they either get their NFTs or their ADA back - automatically.
As a creator, you should be aware that if a refund is legitimately needed, then NMKR Studio will already automatically handle it.

Why Refund?

There are several scenarios where a refund will be initiated, some of which CANNOT occur if using the Payment Gateway:
  • User pays an incorrect amount for the NFT(s)
  • User sends several payments for the same transaction
  • User sends the transaction after the time has expired
    • Or they send it on time, but due to chain congestion it reaches after the time has expired (very rare now since the 2022 Q1 Cardano upgrades)
This guide will explain the specific situations that can occur for each of the available Payment implementations and will give you advice as to what to do, both as the project creator or as a customer user.
Quick Links (within this guide):
Note - refunds are always sent in full, minus the standard Cardano Transaction Fee (which is normally between 0.1 and 0.2 ADA)
Note - due to the immutability of the blockchain, refunds will NEVER be processed if the NFT is minted.
Note - funds sent to the wrong ADA address will NEVER be automatically refunded by NMKR Studio and are likely lost forever.

Refunds Explained

Reservation Address

The Reservation Address system works based on our NMKR Studio API and essentially makes a Wallet-NFT(s) pair for a set period of time. Crucially, the system checks to see if any NFTs are available BEFORE sending back the information, this means that users will NEVER be able to send funds once the project sells out. It also means that all users who send the payment on time will receive the NFTs. If during that time the paired wallet receives the correct amount of ADA, it mints the NFT to the ADA sender. It therefore has three variables to consider with regards to refunds:
  • The price/quantity selected by the user
    • If the user sends an incorrect (ADA amount that does not match the selected price/quantity) then the system will automatically refund the user with the ADA that they sent, minus the standard transaction fee. This works both for over and under payments.
Sending multiple transactions
  • If the user sends multiple, correct transactions (ADA amount that matches any of the active price/quantity pairs) then the system will mint the NFT(s) and then automatically refund the user for the additional payments.
  • The reservation expiration time
    • The Wallet-NFT(s) pair will only remain active for a set amount of time (this is usually at least 20 minutes but as the creator you can specify this amount and must make it clear to your users).
    • If a user sends the transaction after the time has expired, then they will receive a refund.
    • If the user sends the transaction close enough to the expiry time AND there is heavy blockchain load, it is possible that the payment will not arrive on time and again, will be refunded. With this case in particular (now very rare since the chain performance has improved) it may take time for the refund to be received, so it is advise-able to wait for at least one hour before being concerned.
    • You can check the blockchain load by visiting Pool.pm - performance issues tend to only happen at above 95% load.
Example blockchain load
  • The specific payment address that has been displayed to the user
    • This is the most important of all for the user to get right, as sending ADA to the wrong Address will mean the funds are lost FOREVER. There is absolutely no way to get these funds back and we will NOT provide a refund in this case. As a creator implementing the API/Reservation Address you must ensure the Address is very easy for your users to copy correctly.

Payment Gateway

The Payment Gateway is the industry standard for a minting mechanism on Cardano and as such provides the best user experience where the user never has to see the actual target wallet address and the UI handles the ADA amount. Because of these advantages, the only action for the user is to sign the transaction and thus, there is only really one scenario where the user will not receive their NFTs after sending the transaction:
  • The reservation expiration time
    • The reservation will only remain active for a set amount of time (this is usually at least 20 minutes but as the creator you can specify this amount and must make it clear to your users).
    • The Payment Gateway will NOT allow users to send a transaction after the expiry time, if they use the connected wallet.
      • If the use the 'other wallet' functionality after the time has expired, then they will receive a refund in the same as mentioned for the Reservation Address.
    • If the user sends the transaction close enough to the expiry time AND there is heavy blockchain load, it is possible that the payment will not arrive on time and again, will be refunded. With this case in particular (now very rare since the chain performance has improved) it may take time for the refund to be received, so it is advise-able to wait for at least one hour before being concerned.
    • You can check the blockchain load by visiting Pool.pm - performance issues tend to only happen at above 95% load.
Example blockchain load
Note - within the Payment Gateway there is a 'manual' function for instances where the user doesn't have one of the supported wallets. If they do this, then the above listed 'Reservation Address' comments apply.

Single Pay-In Address

The Single Pay-In Address is the simplest of all our offerings and essentially works by providing a single, fixed Cardano address for users to send in ADA to. On the back-end, the project owner sets up price/quantity pairs and must then ensure they communicate these to the users. Users then send in the amount of ADA required, to mint the number of NFTs they want to receive. Because it a single address, there is no reservation element, that also means it is up to the creator to communicate when the NFT's are sold out to avoid users sending unnecessary transactions.
There are therefore four variables to consider in terms of refunds for this implementation:
The amount of ADA sent by the user
  • If the user sends an incorrect (ADA amount that does not match any of the active price/quantity pairs) then the system will automatically refund the user with the ADA that they sent, minus the standard transaction fee. This works both for over and under payments.
Sending multiple transactions
  • If the user sends multiple, correct transactions (ADA amount that matches any of the active price/quantity pairs) then the system will NOT automatically refund the user and will instead mint the corresponding amount of NFTs. It is therefore advisable for users to check their transaction before considering sending another.
The amount of NFT's that remain
  • Due to the nature of the Single Pay-In Address, it results in users not being guaranteed to receive NFTs after sending the payment. The reason for this is that without any unique reference, NMKR Studiohas to listen for transactions and then check to see if any NFTs are available. If the transaction arrives and no NFTs remain, then the user will be refunded.
The specific payment address that has been displayed to the user
  • This is the most important of all for the user to get right, as sending ADA to the wrong Address will mean the funds are lost FOREVER. There is absolutely no way to get these funds back and we will NOT provide a refund in this case. As a creator using the Single Pay-In Address you must ensure the CORRECT Address is clear and very easy for your users to copy correctly.
Note - as a creator you also need to ensure that the communication of the address is well implemented as scammers may attempt to spread a fake address or other attacks.

Sale Conditions

Project Creators can also create sale conditions to allow them to limit the wallets that are able to mint NFTs from the collection. Common implementations include requiring the user wallet to contain an NFT from a certain Policy ID to be able to mint (Owning a Series 1 to be able to buy a Series 2), or limiting the total number of NFTs that one wallet can mint.
In these cases, NMKR Studio performs the check at the earliest opportunity:
  • Single Pay-In Address
    • Checks are done on the wallet that sends the funds, wallets that do NOT match the conditions will receive a refund.
  • Reservation Address
    • Checks are done on the wallet that sends the funds, wallets that do NOT match the conditions will receive a refund.
  • Payment Gateway
    • Checks are done on the connected wallet that before it the funds, wallets that do NOT match the conditions will simply NOT be able to send a transaction, thus will not require a refund.

Check Transactions

One of the benefits of the Cardano Blockchain is that naturally, all of the transactions are completely public, so you can look for them and verify what happened.
Cardano EUTXO Model instance of the more intuitive 'Ledger' which makes this a bit more complex than a simple 'Wallet A sent Wallet B 5 ADA', lets have a look:

As a User

With NAMI, you can check all of your transaction history by simply pressing the history button and then scrolling through until you find the transaction.
Nami History
Once found, you can open it and tap the transaction ID to open the transaction details in CardanoScan.
Transaction Example in Nami
Opening in CadanoScan looks like this:
Example Transaction in CardanoScan
You can review here to check the amount of ADA sent and where it was sent to, as well as the timestamp and the number of confirmations. The key thing to note here is to make sure you give the system (and the blockchain) a reasonable time to complete the minting process, particularly during peak loads on the Cardano Blockchain. Having said this, the NMKR Studio minting system has been known to mint and send the NFT within 19 seconds.
You should see:
  • A timestamp shortly after you sent the transaction
  • Your wallet address in the FROM ADDRESSES (INPUTS) section
  • Next to this, the amount of ADA you sent
  • The Address you needed to send the ADA to in the TO ADDRESSES (OUTPUTS) section
    • Note, users will never see this address if using the Payment Gateway as it is handled for them so you cannot check this (but wont need to).
Note - you may find some transactions hold more than one transaction (possibly from another wallet), this is normal but does make it a bit harder to confirm.
Other wallets will have a similar history function and may even provide the direct CardanoScan link like Nami. If not, you can always copy and paste the transaction hash into the search bar as shown below:
Search Bar in CardanoScan

As a Creator

You also able to review the transactions for every sold NFT in your console, simply navigate to the 'Manage NFT' page and select the Fingerprint to load the details in CardanoScan.
An Example NMKR Studio Transaction Fingerprint

WHERES MY NFT?

Note - as mentioned above, we are not saying that errors are impossible, but the chances of our system not sending the NFT AND also not auto refunding someone are extremely low. Be VERY sceptical of people who claim this. If you are really convinced, then you can always ask the person to wait until you verify it with us.
Simply put, as long as the user sends the ADA to the right place, they either get their NFTs or their ADA back - automatically.
If you believe something has gone wrong and have not yet been refunded, there are a few quick checks you should perform:
First of all, check if the NFT(s) have been received, in NAMI this is easy, simply click on the history button and see if any new transactions have arrived. You can also check the collectables to visually review the NFTs.
NAMI Collectables Button
NAMI History Button
Not all wallets can show NFTs, but they will show transactions, which you can check using CardanoScan as shown above. If you do find a transaction containing an NFT, you can then copy and paste your wallet address into Pool.PM to check the NFT.
As a creator, if someone does claim to have not received an NFT or a refund, you can always ask them for their wallet address as CardanoScan will also allow you to paste in wallets and see all of the history, thus allowing you to prove if the user really did send ADA.
Note - with the Payment Gateway neither you or the user will see the receiving address so you cannot check this. However, you should never need to.
After reviewing all of this information, if you still believe there is an issue with NMKR Studio please contact our support teams, providing as much information as possible, ideally:
  • Project ID
  • NFT ID(s) or the number of NFTs
  • ADA amount sent
  • User wallet Address
For support, please join the community on Discord: http://discord.gg/cGtHDxBuSJ
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On this page
Overview
Why Refund?
Refunds Explained
Reservation Address
Payment Gateway
Single Pay-In Address
Sale Conditions
Check Transactions
As a User
As a Creator
WHERES MY NFT?