Token-2022 transfer hook mints fail in wallets with custom program error 0x7dc8348c because ExtraAccountMetaList accounts are not appended

Symptom: a Token-2022 mint with the transfer hook extension transfers fine via the CLI but fails in Phantom, Solflare, and Backpack with

Error processing Instruction 0: custom program error: 0x7dc8348c

which decodes to Incorrect account provided. Pre-creating the destination ATA does not help. It looks as though the extension is not backward compatible — and in effect it is not.

Cause: a transfer hook requires the hook program plus every account listed in the mint's ExtraAccountMetaList to be appended to the TransferChecked instruction's account list. Ordinary instruction builders know nothing about the hook, so they emit the standard account list and the hook program rejects the call. The CLI works because it goes through the spl-token-client Rust crate, which resolves the extra account metas by reading the mint and the meta list before building the instruction. Stripping the meta-related code from the hook program does not avoid this: the resolution step is what is missing on the client side, not the accounts themselves.

Fix on the JS side — use the resolving builder rather than plain createTransferCheckedInstruction:

let instruction = await createTransferCheckedWithTransferHookInstruction( connection, source, mint, destination, owner, amount, decimals );

It takes the same parameters as transferChecked but is async, because it fetches the mint and meta list to append the accounts.

Practical consequence: any wallet, DEX, or dapp that has not adopted a hook-aware instruction builder cannot move a hook-enabled mint. Treat wallet support as an ecosystem prerequisite before shipping a transfer hook, and expect the failure mode to be an opaque hex error rather than anything mentioning hooks.

Source: adapted from a Stack Exchange answer by Jon C (question by LubWn), https://solana.stackexchange.com/questions/9119/transfer-hook-not-backwards-compatible-with-common-wallets — CC BY-SA 4.0