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Transactions with bitcoins

PostPosted: Thu Apr 17, 2014 10:36 am
by chetan
How do bitcoin transactions work?

Re: Transactions with bitcoins

PostPosted: Sat May 24, 2014 12:11 am
by kyletorpey
When you send bitcoins to someone else, you are really just making a change to the global Bitcoin transaction ledger. At any one point in time, there is a Bitcoin ledger that says who owns which bitcoins. The only way to move bitcoins from one account to another is to sign a message with a private key that's directly tied to the public Bitcoin address. In reality, you are not sending bitcoins from one computer to another when you make a Bitcoin transaction. All you are doing is making an alteration to the Bitcoin ledger that is distributed to many different computers around the world.