Bitcoin is 15 years old.
But most "crypto natives" are just now learning about the Bitcoin UTXO model.
All because Runes protocol is bringing fun back to Bitcoin.
I spent the whole 2020-22 bull market without touching BTC.
It's because the extraordinary privilege of printing tokens was reserved for smart contract chains like BSC, Ethereum, Solana, Avalanche...
This bull run is different. And we're still early.
twitter.com/DefiIgnas/status/1...
And since we're on the UTXO topic:
Bitcoin uses a UTXO (Unspent Transaction Output) model to track user balances, unlike Ethereum's account-based system.
If you have a UTXO worth 1 BTC and want to send 0.3 BTC to someone, the transaction inputs the entire UTXO.
It then creates two new outputs: 0.3 BTC to the recipient and 0.7 BTC (less any transaction fees) returned to you as new UTXOs.
So, technically when you say: "I own 1 bitcoin", you should be saying: "I own some UTXOs that allow me to spend 1 bitcoin."
Once used in a transaction, the original 1 BTC UTXO is 'destroyed,' and two new UTXOs are created: one for the recipient and one for your change.
That's why for Runes you might want to split your balance into multiple UTXOs:
If your total Bitcoin balance is in one UTXO, you won't be able to mint/buy other Rune tokens until your first transaction is completed.
You'll just get an error saying "not enough balance" or smthg.
But if you have multiple UTXOs, you could submit multiple transactions for the same bitcoin block.
Did I get this right?
Sector:
From Twitter
Disclaimer: The content above is only the author's opinion which does not represent any position of Followin, and is not intended as, and shall not be understood or construed as, investment advice from Followin.
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