A transaction is a record of the exchange of an asset from a set of input addresses to a set of output addresses, stored on the blockchain ledger. Each transaction includes a miner fee, a small extra amount incentivizing miners to confirm the transaction.
1.1 Bitcoin Transaction
In a Bitcoin transaction, if Alice wants to send 1 BTC to Bob, she creates a transaction where her address is the input, Bob's address is the output, and the amount is 1 BTC. She also includes a miner fee to incentivize miners to include her transaction in the next block.
Transactions on the blockchain can take many forms and can be crafted in numerous ways. While the most typical transaction involves one person sending funds to another, the structure of transactions allows for much flexibility.
2.1 Multisignature Transaction
A multisignature transaction requires signatures from multiple addresses to validate the transaction. This can be used for shared wallets, where multiple parties must agree on a transaction before it can be executed.
Transactions can also include additional data, providing space for second layer protocols, such as Simple Ledger Protocol (SLP) tokens.
3.1 SLP Token Transaction
An SLP token transaction includes additional data in the transaction that specifies the type and amount of tokens being transferred. This allows the Bitcoin Cash blockchain to support a variety of tokens, each with their own properties and uses.
* All terms and definitions may update as the Cryptionary improves.