
A Brief Guide to Bitcoin Transactions
A Bitcoin Transaction is in essence the transfer of electronic data from one person to another. When a Bitcoin transaction is initiated, the new owner sends a digital signature to the seller’s public address. This signature proves that he owns that private key and can authorize transactions on his behalf. In return, the seller transfers a certain amount of Bitcoins to the buyer’s public address through a payment processing service like Bitpay or Coinbase. Bitcoin transactions are not processed by a bank, they are processed by the peer-to-peer Bitcoin network. This is because there is no central authority involved in their transaction processing. The transaction is broadcasted to the entire network where it is verified by other people on the network and then added to a public ledger or blockchain. A Bitcoin transaction is not processed by a central bank or government, which means that it is not controlled by any one institution. This leads to a decentralized currency that can be used worldwide since it doesn’t depend on the financial state of a country. That’s why many people are attracted to this form of currency because they do not have to worry about the rules and regulations in different countries.