Batching
wallet · efficiency
Constructing one transaction with outputs for multiple payments so transaction overhead is shared.
Payment batching places several recipient outputs in one transaction. Compared with sending the same payments separately, it can use fewer bytes because version, locktime, inputs, and other fixed fields are shared. The actual saving depends on the selected inputs and output types.
Batching can delay urgent payments while a batch fills, place several recipients in the same public transaction, and make their confirmation and fee-management outcome interdependent. Wallets should balance byte savings against timing, privacy, coin selection, and the ability to fee-bump or retry a payment.
Related terms
Transaction Fee
→The amount paid to miners or validators for including a transaction and consuming scarce block space or execution resources.
blockchain · technical · basics
Unspent Transaction Output (UTXO)
→A discrete spendable output on a UTXO blockchain, similar to a digital coin that must be spent whole.
technical · blockchain
Coin Selection
→The algorithm a wallet uses to choose which UTXOs to spend, impacting fees, privacy, and change.
wallet · fee · privacy
Privacy
→The ability to transact without revealing sensitive information about identity, balances, or counterparties.
security · principle