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In this tutorial, Shawn Connolley from Rebrandly demonstrates how to edit the destination URL of a custom short link. This feature allows users to update branded links easily and frequently, ensuring the links direct to relevant information. Key benefits include correcting broken links, redirecting to new locations, and keeping static links updated, especially useful for platforms like Instagram. The process is quick and can be completed in seconds through the dashboard by selecting the desired link and clicking the edit button.