What is a transaction?

Blockchain transaction: what is it and how does it work?

A transaction is an exchange of information or assets between network participants. In the context of a blockchain, a transaction is a record of the transfer of cryptocurrency from one address to another. Transactions are the basis for the functioning of blockchain systems and ensure the security and transparency of operations.

How do blockchain transactions work?

In the blockchain, each transaction consists of the following elements::

• Sender (wallet owner)

• Recipient (recipient's wallet address)

• Transfer amount

• Transaction fee

To complete a transaction, the sender creates a new entry in the blockchain that contains information about the transfer. This record is verified by the network and added to the blockchain after confirming its authenticity and validity. After adding an entry to the blockchain, the transaction is considered completed.

Example of a transaction:

Imagine that you have a cryptocurrency wallet with a balance of 100 tokens. You want to send 50 tokens to your friend. To do this, you create a transaction in which you specify your wallet address, your friend's wallet address, and the transfer amount (50 tokens). Then you confirm the transaction and pay the transfer fee. After the transaction is verified by the network, it is added to the blockchain and your balance becomes equal to 50 tokens.

It is important to note that transactions on the blockchain are irreversible and cannot be canceled once they are confirmed. This ensures the security and reliability of operations on the network.

Thus, transactions are a key element of the work of blockchain networks and allow for safe and transparent operations with digital assets.