How Do Bitcoin Transactions Work?

How to Send and Receive Bitcoin

• To send bitcoin, you need to have the bitcoin wallet address of the receiver.

Here’s how a typical transaction looks:

1. Input: A record of the original bitcoin sent to the new sender’s wallet address.

How Long do Transactions Take?

The creation of a block on the blockchain takes about 10 minutes, which is one confirmation. Some platforms require three or six confirmations, which would take approximately 30 or 60 minutes.

One More Caveat

Since bitcoins only exist as records of transactions, you can only send the same amount that you previously received. If Johnny sent you .25 BTC but you want to buy something for .1 BTC, your wallet has to send the whole .25 BTC, and then you get the remaining .15 BTC back, recorded as a separate wallet transaction (your “change”).

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The world’s leading operator of two-way Digital Currency Machines (DCMs), more advanced Bitcoin ATMs.