Can you explain the concept of public key cryptography in relation to cryptocurrency?

1 answers

• Jan 12, 2022 · 3 years ago
  Public key cryptography is a crucial component of cryptocurrency security. It ensures that transactions are secure and that only the intended recipient can access the funds. Let me break it down for you. When you create a cryptocurrency wallet, you generate a pair of keys: a public key and a private key. The public key is like your account number, while the private key is like your password. When you want to send a transaction, you use your private key to sign the transaction and generate a digital signature. This signature is then verified by the network using your public key. If the signature is valid, the transaction is considered legitimate and is added to the blockchain. This process ensures the integrity and security of cryptocurrency transactions.
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