UTXO Coin Comparison

in #utxo7 years ago

A UTXO is an unspent transaction output. In an accepted transaction in a valid blockchain payment system (such as Bitcoin), only unspent outputs can be used as inputs to a transaction. When a transaction takes place, inputs are deleted and outputs are created as new UTXOs that may then be consumed in future transactions.

In the Bitcoin network, which uses this model, a UTXO is the amount that is transferred to a Bitcoin address (along with information required to unlock the output amount*) during a transaction. (See r3 for more here: https://www.r3.com/blog/2017/07/18/what-is-a-utxo/)

Many other currencies are modelled on the same technical concept but how do they compare with one another. The image below shows some of the comparisons.

utxo comparison.jpg

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This article shows a really good visual representation of how UTXOs work on bitcoin.

https://www.ccn.com/bitcoin-transaction-really-works/

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