Term

Covenant

A script technique that restricts how coins can be spent in the future, enforcing policies at the UTXO level.

Type:
script
security
bch
1
definition

Covenants let a transaction output specify constraints on future spends (e.g., require certain outputs or destinations). On Bitcoin Cash, CashTokens enable covenant-like behavior within standard transactions.

2
usage
  • Vaults, rate-limited wallets, and decentralized apps
  • Enforced by script rather than off-chain agreements

All terms and definitions may update as the Cryptionary improves.