How a Bitcoin transaction gets confirmed
Process map by Brian. 18 steps, 2 layers. Tags: crypto, tech, finance.
- You: Send bitcoin to an address
- Your wallet: Sign the transaction with your private key
- The network: Broadcast it to the network
- The network: Nodes check: valid signature and enough funds
- The network: Is it valid?
- Miners: Collected into a candidate block
- Miners: Race to solve a hard puzzle (proof of work)
- The blockchain: One miner wins and broadcasts the block
- The network: Nodes verify and add the block
- You: One confirmation: your payment is in a block
- You: Wait for more blocks on top, often six
- The blockchain: Practically irreversible
- The network: Rejected