UTXOs are Unspent TX Outputs, the sum of your UTXOs represents your balance.
You can combine multiple UTXOs to make a tx. 
You can’t delete the history of txs. What are you talking about?
The sum of all your UTXOs is your balance. They can be used as inputs to a new tx.
You can use multiple UTXOs. If its still not enough, the tx will fail.
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Describe what Unspent Transaction Outputs (UTXO) are.
-UTXO are the amount of unspent bitcoin your wallet have recived.
What would happen if you don’t have any single UTXO that is large enough to cover for your transaction?
-You can use other UTXO automatically combined by your wallet that construct the transaction.
How would a bitcoin wallet specify the transaction fee when creating a transaction?
-The fee will be the difference by the input and output and it is adjusted to previous transancion fee on the blockchain.
How could you use the notion of transaction inputs and outputs to increase privacy in your transaction?
-Using different adress to make it difficult to track the transaction.
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i don’t remeber how it works, but i remeber that you can do a transfer to the new adress wich will not have history. something to do with the miner
- Utxo’s are the bitcoin in the blockchains that is associated to your private key, that you have received but not sent.
- You need to have 2 or more utxo’s that together can cover the transaction.
- The wallet checks the blockchain and gives you a correct fee, so that your transaction doesn’t take to much time to be confirmed by miners.
- Use diferente addresses when receiving transactions
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UTXO is the balance in your wallet u have available for TX
TX will be declined
UTXO input minus the Output (difference between input and output) = fee
Make use of different adresses
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- The UTXO is the amount of our balance remaining after a transaction is done.
- The transaction would be declined.
- Fee = Input - Output
- Sending the amount splitted in several transactions generating new outputs addresses.
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Unspent Transaction Outputs are inputs stored on a wallet that are available to spend.
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If you don’t have a single UTXO that is large enough to cover your transaction you can pool the UTXO’s together to meet the input requirement for the desired output. The other scenario is that the transaction does not take place.
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The bitcoin wallet specifies the transaction fee by subtracting the output from the input of the UTXO’s.
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You can use inputs and outputs to increase privacy on the blockchain by generating multiple addresses.
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- Unspent Transaction Outputs (UTXOs) are outputs from previous transactions made to your address.
The collection of all the UTXO’s make up the available funds in the wallet. When creating a new transaction, all the UTXO’s are combined into one or more outputs and the remaining amount is used for the transaction fee. - If the combined total of all UTXO’s exceeds the output amount, the transaction will not be propagated through the network - the nodes will reject it as an invalid transaction.
- The remaining difference between total outputs and inputs will be used as the transaction fee (Outputs - Inputs = Transaction Fee).
- One can combine inputs to create many random amounts of outputs. Additionally, the use of newly generated wallets and delaying of transactions can increase anonymity. All these techniques serve to obscure the web of public transactions on the blockchain - often used by tumbler services.
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Describe what Unspent Transaction Outputs (UTXO) are.
Unspent transactions represent money that has been received by participants on the bitcoin blockchain which has not been spent. They are the unspent output of a transaction.
What would happen if you don’t have any single UTXO that is large enough to cover for your transaction?
The transaction would not be accepted by the blockchain nodes. This transaction would make no sense.
How would a bitcoin wallet specify the transaction fee when creating a transaction?
The fee would be listed as the difference between the input and output. In other words, the output plus the fee must equal the input. A wallet will decide the fee to get your transaction included in a block quickly. Fees can vary greatly and are driven by factors related to network competition and the transaction data size (not the transaction amount). The more traffic on the network, the larger the fee as users compete to get the attention of miners who must take the transaction out of the memory pool and, through the mining process, move this into a block. The larger the transaction data size, the more you’ll have to pay in fees as a means of providing compensation for taking up space in the block, which is capped at 1MB in size (if fees were the same, miners would always choose to process/verify transactions with smaller data sizes since these are easier to process).
How could you use the notion of transaction inputs and outputs to increase privacy in your transaction?
A wallet will automatically send back “excess” funds to the user sending the bitcoin using a change address. This address is different to the one that sent the bitcoin and therefore makes tracking transactions far more difficult. More generally, privacy is also ensured because nobody knows the identity of person behind a bitcoin address, which is derived from public-private keys.
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UTXO’s are the transaction that you have received and can be spend
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You would combine the UTXo that you have and send the balance of the transaction to yourself
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By using the following formula Input = Output + Transaction fee
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By using different address and sending it to sending multiple outputs.
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1. Describe what Unspent Transaction Outputs (UTXO) are.
UTXO is the summation of previous transactions that lead to the balance of a wallet.
2. What would happen if you don’t have any single UTXO that is large enough to cover for your transaction?
Multiple UTXO inputs associated to the wallet address will be utilized until the amount is large enough to cover the transaction. This will be an increase in data which will likely require additional miner fees to incorporate into a future block.
3. How would a bitcoin wallet specify the transaction fee when creating a transaction?
Advanced wallets suggest the user what transaction fees should be used to have a transaction completed in a future block quickly or cheaply.
4. How could you use the notion of transaction inputs and outputs to increase privacy in your transaction?
The user would have multiple bitcoin addresses where they can send multiple transactions to complicate the audit trail.
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thanks for that reminder…i completely forgot the increase of tx fee.
Homework on Bitcoin Transactions and UTXO - Answers
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Describe what Unspent Transaction Outputs (UTXO) are.
Answer: UTXO’s are the outputs of transactions which have not been spent yet. ie. They have not been used as inputs into other confirmed transactions. The bitcoin blockchain does not store how many bitcoin an address holds, only a list of UTXO’s associated with that wallet address. Its the wallet software that sums up the UTXO’s to show a balance. -
What would happen if you don’t have any single UTXO that is large enough to cover for your transaction?
Answer: The transaction will fail. -
How would a bitcoin wallet specify the transaction fee when creating a transaction?
Answer: Input = Output + Transaction Fee. So it’s the input minus the output. -
How could you use the notion of transaction inputs and outputs to increase privacy in your transaction?
Answer: You can create another wallet and send bitcoin to yourself.
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Describe what Unspent Transaction Outputs (UTXO) are.
UTXO´s serves as a mechanism to keep track of where coins are at any given time. They operate much like cheques and change. UTXO´s cannot be spent in small parts but you can make sure you recieve the change back. that will form a new UTXO. -
What would happen if you don’t have any single UTXO that is large enough to cover for your transaction?
If you have more single UTXO´s they will combine and send the change back to your address. If the combined balance cant cover the transaction, it will be declined. -
How would a bitcoin wallet specify the transaction fee when creating a transaction?
The fee will be specified by making a sum, Output-Input=Fee -
How could you use the notion of transaction inputs and outputs to increase privacy in your transaction?
After each transaction make sure the left over UTXO will be moved to a new wallet or use a different adress.
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- Received input/ your balance.
- A wallet calculates the total of all UTXO’s and will send a transaction if the balance covers this total. If not, the transaction cannot be executed.
- Input - output = transaction fee
- Use different addresses for each receiving transaction/ output address.
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Inputs or funds that you received and have not sent to any other address.
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the outputs would all go back to you.
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by subtracting the output from the input
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Using different addresses
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- Unspent Transaction Outputs are the balance of your wallet.
- Transaction would not be valided and completed.
- Input UTXO - Output = Fee
- The more outputs you generate the difficulter to track ownership of the outputs.
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You can always combine smaller utxo’s together in your inputs to cover for your transaction. Only if the sum of all your available utxo’s aren’t enough, the transaction will fail