How do bitcoin transactions work?

A transaction is a transfer of value between Bitcoin wallets that is included in the blockchain. Bitcoin portfolios hold secret information called a private key or seed that is used to sign transactions, providing mathematical proof that they come from the owner of each portfolio. The signature also prevents any modification of the transaction after it has been issued. All transactions are broadcast between users and usually begin to be confirmed by the network within 10 minutes by a process called mining. So let’s see what mining is.

WHAT IS A MINING?

Mining is a distributed consensus system that is used to confirm pending transactions by including them in the blockchain. It imposes a chronological order in the chain of blocks, protects the neutrality of the network and allows different computers to agree on the state of the system. In order to be confirmed, transactions must be included in a block that must correspond to very strict cryptographic rules that will be checked by the network. These rules prevent the modification of an earlier block because this would invalidate all subsequent blocks. Mining also induces the equivalent of a competitive lottery that prevents anyone from easily adding blocks consecutively in the block chain. In this way, no individual can control what is included in the blockchain or replace parts to cancel his own expenses.