Homework on Bitcoin Transactions and UTXO - Questions

Blockchain and Bitcoin 101
#5928
  1. UTXOs are the remainder of transactions with multiple inputs and/or outputs.
  2. Send the remainder back to a personal wallet.
  3. Fee = Input - Output
#5929

Yes, they will be registered as new inputs.

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#5930

what do you mean by sending the reminder back?? And what happened to answer number 4.

#5931
  1. Describe what Unspent Transaction Outputs (UTXO) are.
    The inputs and outputs of transactions. Transactions that are received and can be send.
  2. What would happen if you don’t have any single UTXO that is large enough to cover for your transaction?
    The transaction will not be validated by the minors and will not go throught.
  3. How would a bitcoin wallet specify the transaction fee when creating a transaction?
    If Inputs = Outputs + Tx fees than TX Fee= Input- output
  4. How could you use the notion of transaction inputs and outputs to increase privacy in your transaction?
    Use of the private blokchain
#5932
  1. UTXO is the Output that you receive from a previous transaction that has not been used as Input in another new transaction (basically the amount you haven’t spent yet).
  2. I guess the UTXO amount will add up with other UTXO in your wallet so that the total amount would be sufficient to cover your transaction + fee.
  3. A bitcoin wallet specifies the transaction fee according to the network state. If the network is congested at the moment of transaction, you are supposed to pay more fees to finalize the transaction as the miners would operate for someone willing to pay more fees.
  4. Because of the fact that no one can know the recipient’s identities based solely on the transaction ID.
#5933

You can use multiple UTXOs as inputs to a new tx. If you don’t have enough your transaction would be declined.

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#5934

Since users usually have to reveal their identity in order to receive services or goods, Bitcoin addresses cannot remain fully anonymous. As the block chain is permanent, it’s important to note that something not traceable currently may become trivial to trace in the future. For these reasons, you should use a new Bitcoin address each time you receive a new payment.

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#5935
  1. Describe what Unspent Transaction Outputs (UTXO) are. BTC coming into your wallet
  2. What would happen if you don’t have any single UTXO that is large enough to cover your transaction? you would use a combination of 2 or more UTXOs.
  3. How would a bitcoin wallet specify the transaction fee when creating a transaction? by how big the binary representation is
  4. How could you use the notion of transaction inputs and outputs to increase privacy in your transaction? I’m not sure what the correct answer is for this question.
1 Like
#5936

Use a different address for each receiving transaction.

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#5937

1.They are the transactions that are unspent after someone completes a transaction. Like change left over.
2.If the UTXO isn’t large enough the wallet will use a 2nd and 3rd until the total is greater than or equal to the amount needed.
3. The fee is calculated from remainder of inputs minus the outputs
4.Use different addresses to receive transaction.

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#5938
  1. the amount of balance left in the wallet
  2. the transaction will not go through
  3. the input minus the output will get u the fee
    4.you can use multiple addresses when recieving a transaction
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#5939

  1. Bitcoin balance left in your wallet.

  2. You can use the multiple smaller UTXO’s to cover the transaction amount.

  3. It would be the input minus the output and you will get your transaction fee.

  4. You can always send the outputs to different addresses and not just one so its hard to tell if transaction went back to the original sender.

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#5940

1- UTXO are the balance left in your wallet that ready to use.
2. The tx would be declined.
3. Depend on the blockchain, the wallet checks the blockchain and figures out the correct fee.
4. Using different addresses and transactions.

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#5941

You can use multiple UTXOs as inputs to a new tx. If you don’t have enough your transaction would be declined.

#5942

  1. Unspent UTXO’s are outputs that are available to be used as inputs for a transaction.

  2. If you don’t have a single UTXO that is large enough, your wallet will combine multiple UTXO’s until you have enough to process the Output plus fee.

  3. A bitcoin wallet will create a separate output specifying the transaction fee in the transaction. All outputs will equal all inputs.

  4. you could using multiple UTXO’s as inputs and multiple UTXO’s to send bitcoin back to you, so there is additional confusion on where the money is going.

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#5943
  1. Describe what Unspent Transaction Output (UTXO) are.
  • A transaction that you received, but didnt spent yet.
  1. What would happen if you don’t have any single UTXO that is large enough to cover for your transaction?
  • The transaction will be invalid, unless you have more UTXOs in your wallet.
  • If you have more UTXOs, you can add more UTXOs together and to cover the transaction. Because you need to spent a whole UTXO, there is a big chance you have more funds than you need. The change you sent back to yourself.
  1. How would a bitcoin wallet specify the transaction fee when creating a transaction?
  • It will choose the best fee for you, that will get you in the blockchain fast enough.
  • The fee is already included in the output. Input = output + TX fee
  1. How could you use the notion of transaction inputs and outputs to increase privacy in your transaction?
  • By sending multiple ouput to adresses that you own.
1 Like
#5944

  1. Describe what Unspent Transaction Outputs (UTXO) are.
    Each transaction is a series of inputs and outputs, UTOX’s are basically what become the input for the next transaction. They can be thought of as your balance of how many coins you have to spend.

  2. What would happen if you don’t have any single UTXO that is large enough to cover for your transaction? The transaction would not go through.

  3. How would a bitcoin wallet specify the transaction fee when creating a transaction? It queries the blockchain, returns to the UTXO’s to determine what can be spent.

  4. How could you use the notion of transaction inputs and outputs to increase privacy in your transaction? Use multiple addresses, increase the number of output transactions.

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#5945

You can use multiple UTXOs as inputs to a new tx. If you don’t have enough your transaction would be declined.

#5946
  1. UTXO are the balance left in your wallet that it keeps track of.
  2. The transaction would be declined if your UTXO is not large enough to cover it.
  3. The wallet checks the blockchain and figures out the correct fee.
  4. Several addresses and outputs can result from one input.
1 Like
#5947

You can use multiple UTXOs as inputs to a new tx. If you don’t have enough your transaction would be declined.