Homework on Bitcoin Transactions and UTXO - Questions

[York]

-UTXO are a wallets balance
UTXO are amounts of bitcoin that have been sent to a wallet by one/various “spenders” and become inputs for a receiving wallet. UTXO remain UTXO until they have been constructed into new transactions and sent as Spent transactions by that next wallet, becoming another UTXO.
-UTXO are records of bitcoin ready to be traded onward.

2. Then you will need to acquire more UTXO by being AWESOME!

3. It would take the difference between the STXI and UTXO as the fee.
   Fee=input - output

4. By sending bitcoin to multiple wallets and back to ones self; also by sending to another private wallet you own and sending onward(New private key signature)

[odesseus011]

1. Describe what Unspent Transaction Outputs (UTXO) are.
   UTXOs are the sum of all inputs that have not been spent. Basically the total btc on the blockchain you can spend and see in your wallet.

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

3. How would a bitcoin wallet specify the transaction fee when creating a transaction?
   Most wallets would look at other transaction fees on the blockchain and figure out a fee that works.

4. How could you use the notion of transaction inputs and outputs to increase privacy in your transaction?
   One could split transactions up into multiples in order to make it more difficult to follow.

[Danny_Bradshaw]

Homework on Bitcoin Transactions and UTXO - Questions

1. Describe what Unspent Transaction Outputs (UTXO) are. The balance left in your wallet.

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

3. How would a bitcoin wallet specify the transaction fee when creating a transaction?
   The wallet will check the blockchain to figure out the correct fee.

4. How could you use the notion of transaction inputs and outputs to increase privacy in your transaction? When the transaction code is inputted all outputs will be different.

[Changfa_Lin]

1. Describe what Unspent Transaction Outputs (UTXO) are.
   just like money in your pocket that you haven’t spent. UTXO stands for the bitcoin you own.
2. What would happen if you don’t have any single UTXO that is large enough to cover for your transaction?
   Then it will use the 2nd, 3rd, etc to make sure that it will cover the transaction.
3. How would a bitcoin wallet specify the transaction fee when creating a transaction?
   You can set the transaction fee by yourself. If the fee is too low, the transaction can be registered slowly or be rejected.
4. How could you use the notion of transaction inputs and outputs to increase privacy in your transaction?
   Use multiple different inputs and multiple different outputs

[chakrit]

@ivan

Homework on Bitcoin Transactions and UTXO - Questions

1. Describe what Unspent Transaction Outputs (UTXO) are.
2. What would happen if you don’t have any single UTXO that is large enough to cover for your transaction?
3. How would a bitcoin wallet specify the transaction fee when creating a transaction?
4. How could you use the notion of transaction inputs and outputs to increase privacy in your transaction?

1. UTXOs are transactions which receive and can be spend.
2. The wallet adds all UTXOs then if it has enough UTXO’s, the transaction can be processed. If not, the transaction would be denied.
3. The total amount of UTXOs sent to other, including back to owner account will be added up and it is slightly less than the total amount of all UTXOs input. The difference is the transaction fee.
4. If you create new address every time when doing transaction, the remaining balance of unused amount will be moved to new address.

[CaliforniaDreamer]

• Describe what Unspent Transaction Outputs (UTXO) are.
  1.Unspent Transaction Outputs become the inputs for the next transaction. They are added up to get your starting balance on hand.
• What would happen if you don’t have any single UTXO that is large enough to cover for your transaction?
  2 the transaction won’t happen - it will not be approved
• How would a bitcoin wallet specify the transaction fee when creating a transaction?
  3 transaction fees are not specified - but mathematically they are the balance between the inputs and outputs of a transaction.
• How could you use the notion of transaction inputs and outputs to increase privacy in your transaction?
  4 send several outputs to multiple addresses, some of which you control, others you do not.

[mabrouk]

1-UTXO is what left in your wallet after a Tx.
2-if I don’t have any single UTXO that is large enough to cover for the transaction; It will sum next UTXO to cover it. If the sum is small then no Tx and if bigger than the extra will be left as an UTXO.
3- Bitcoin wallet recommend a reasonable fee, bases on the current and previous transaction fees. But you can select higher fees to be on the priority list of miners.
4- Generate frequently new address for input output to show only tx related to this one.

[rSatch]

1.evidence that you have a balance from input transaction
2. that transaction would invalid
3. input - output = fee
4. get multiple parties to jointly sign on an agreement to mix their coins when engaging in separate bitcoin transaction

[dbell101]

1. In a sense, UTXOs are one side of a transaction and can be considered a credit to your wallet’s balance.
2. You would have to use more than one UTXO to cover the transaction and send the balance back to yourself.
3. Most wallets will choose the fee that will get you on the blockchain in the most reasonable time. There are some wallets that allow you to choose the fee from several options.
4. A UTXO can have many recipients. Outputs can be fractured to many addresses that you may or may not control which obfuscates the real amount and the recipient.

[sneakyturtle]

• Describe what Unspent Transaction Outputs (UTXO) are.

UTXO can be described as spendable bitcoin.

• What would happen if you don’t have any single UTXO that is large enough to cover for your transaction?

Then the miners will reject your transaction from being processed.

• How would a bitcoin wallet specify the transaction fee when creating a transaction?

It automatically checkss for a matching fee that will get your transaction processed within a reasonable amount of time.

• How could you use the notion of transaction inputs and outputs to increase privacy in your transaction?

By using a new address every time you are about to receive a new payment.

[/quote]

[Luche]

Bitcoin Transactions and UTXO Homework

1. Unspent transaction outputs is what my wallet determines I can spend after considering the inputs I received.
2. If you don’t have a UTXO large enough to cover transaction then transaction is not culminated; it doesn’t go through.
3. A transaction fee is the input minus the output. In other words the input consists of the output plus the transaction fees.
4. The notion of transaction input and output increases privacy in a transaction because from looking at the address you can’t tell where it is going, if going to someone else or back to my wallet.

[guso]

1. Describe what Unspent Transaction Outputs (UTXO) are.
   Money that was received by a wallet and isn’t put into further transactions yet.

2. What would happen if you don’t have any single UTXO that is large enough to cover for your transaction?
   You add an other UTXO until it is large enough to cover your transaction, and you sent back to yourself the amount that is to much (minus the fees).

3. How would a bitcoin wallet specify the transaction fee when creating a transaction?
   Most wallets would look at other transaction fees on the blockchain and recommend based on that, on some wallets you can also choose by your self.

4. How could you use the notion of transaction inputs and outputs to increase privacy in your transaction?
   You can use multiple inputs and outputs, witch makes it difficult to understand in detail how the funds are constructed.

[laclaire]

1. Describe what Unspent Transaction Outputs (UTXO) are.

You are paid in bitcoin it becomes a UTXO. UTXO is money that you recieve that you have not spent yet (ie. Unspent Transaction Output).

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

You will need to combine enough UTXOs to cover the cost and the transaction fee.

3. How would a bitcoin wallet specify the transaction fee when creating a transaction?

The bitcoin wallet will look at the current block and propose and estimate of the fees required to reasonably assure that your transaction will get into the block .

4. How could you use the notion of transaction inputs and outputs to increase privacy in your transaction?

You could send the money to several addresses to cover who is the real recipient.

[Katsu]

1. utxo are the amount that you can spend

2. the transaction can’t be finalized

3. The fees are the difference between inputs and outputs

4. by using many outputs to different addresses

[Rasselas_Wildcat]

1. UTXO: Wallet balance. All inputs accumulated until now.
2. Transaction cannot happen. Need to wait until enough UTXO in wallet.
3. The wallet will reference other transactions and suggest the appropriate amount to facilitate the transaction in a timely manner.
4. Other people can’t know who sent the transaction. Identity is blocked in the blockchain.

[Leone]

1. UTXOs are Outputs from public keys that have sent you bitcoin that you yourself have not spent.

2. Your wallet will pool together other UTXOs to cover your transaction plus fee. You may also receive some change that is sent back to your private key.

3. It would check the blockchain and pay similar price to previous transactions. Some wallets can select specific fee.

4. You can send many transactions at once to many different addresses, including yourself.

[yycshane]

1. UTXO’s are the unassigned inputs received into your wallet or the amount you have to spend.
2. The transaction would be invalid and rejected
3. total inputs minus outputs, but some wallets allow user to specify fee
4. Generate new output addresses each time, so if sending transactions to self, the blockchain will not identify a connection.

[cryptocrom]

@ivan

• Describe what Unspent Transaction Outputs (UTXO) are.
• What would happen if you don’t have any single UTXO that is large enough to cover for your transaction?
• How would a bitcoin wallet specify the transaction fee when creating a transaction?
• How could you use the notion of transaction inputs and outputs to increase privacy in your transaction?

1. UTXOs are basically representations of income. Since the wallet doesn’t actually store coins, it isn’t a physical income amount but rather a digital record of what coins are available to be used by you in transactions.

2. If you don’t have a single UTXO large enough to cover a transaction, your wallet will combine multiple UTXOs until it has enough to cover the cost of the transactions

3. The transaction fee is specified by the difference of the total UTXO amount and the transaction amount. For example 10 mBTC is used to purchase 8mBTC worth of goods or services, the difference of 2mBTC would be the amount paid on fees.

4. In order to increase privacy, you could have more than one input and output for a transaction, this way it is harder to determine what the actual transaction amount is. For example, let’s say you want to buy 50mBTC worth of something from Fred, instead of just sending the exact amount directly to Fred, you could sent 200mBTC from multiple UTXOs to multiple destinations…say 50mBTC to Fred and 3 x 50mBTC (150mBTC) to 3 different addresses that your wallet controls. Therefore you have sent Fred his funds and you have sent the rest to yourself but to anyone else looking in, it would seem that you have just spent 4 lots of 50mBTC to 4 different destinations…therefore increased anonymity.

[bisks]

• Describe what Unspent Transaction Outputs (UTXO) are.
  Transaction inputs owned by your private key that have not yet been sent as transaction outputs or spent

• What would happen if you don’t have any single UTXO that is large enough to cover for your transaction?
  Your wallet would combine enough UTXO’s to cover the transaction including the fee. Any remainder would be sent back to you as a new UTXO.

• How would a bitcoin wallet specify the transaction fee when creating a transaction?
  It looks at the size of your transaction in bytes and does a “black magic” calculation to work out the fee based on how quickly you want the transaction to be confirmed on the blockchain.

• How could you use the notion of transaction inputs and outputs to increase privacy in your transaction?
  You could send BTC back to yourself using various different private key addresses obfuscating ownership.

[CryptoMindset]

1. Describe what Unspent Transaction Outputs (UTXO) are.
UTXO’s are transactions that my wallet haven’t spend yet which re transactions that have been done (inputs) from other wallets to my wallet.

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

3. How would a bitcoin wallet specify the transaction fee when creating a transaction?
Substracting the input by the output.

4. How could you use the notion of transaction inputs and outputs to increase privacy in your transaction?
I can send BTC to multiple wallets that I own.