2.2 Bitcoin Blockchain: Transaction Structure

Bitcoin

________ is a permissionless Blockchain where you dont need to set up an account.

Transaction details

________ are sent to all or as many nodes in the network.

Input

________: This is a record of which Bitcoin address was used to send the Bitcoins to a receiver in the first place.

private keys

The public and ________ are generated by the wallet.

Blockchain

________ ensures that any modification in the block will lead to recomputing of the following blocks.

Output

________: This is sent to the senders address as a change.

Pseudonymity

________ is the near anonymous state in which users have disguised identities and do not disclose their true identities.

Transaction structure

________ in Bitcoin reflects double entry bookkeeping.

Bitcoin

The ________ address corresponds to a public key based on ECDSA (Elliptic Curve Digital Signature Algorithm) used in ________.

Scenario

Person A wants to send 5 BTC to Person B

Here is a sample Bitcoin address

1PHYrmdJ22MKbJevpb3MBNpVckjZHt89hz

Bitcoin Transactions

UTXOs UTXO or Unspent Transaction Output is the fundamental building block of Bitcoin

Input

This is a record of which Bitcoin address was used to send the Bitcoins to a receiver in the first place

Amount

This is the number of Bitcoins that the sender sends to the receiver

Output

This is sent to the senders address as a change

Double Spending Problem

Spending the same Bitcoins in more than one transaction is called the double spending problem.

What are the security measures which prevent double-spending in Blockchain?

Transaction details are sent to all or as many nodes in the network
Blockchain is constantly growing, and each peer maintains a copy of the Blockchain
Blockchain ensures that any modification in the block will lead to recomputing of the following blocks
Anyone can validate the transactions and this validation prevents double spending